USDai

USDai is a US dollar-pegged stablecoin issued by the USD.AI protocol. According to the protocol documentation, USDai is fully backed by PYUSD, PayPal's dollar stablecoin, and can be minted on the Arbitrum, Ethereum, Base and Plasma networks. By depositing PYUSD, users can obtain USDai or its yield-bearing version, sUSDai.

The protocol's distinguishing feature is its focus, on the yield side, on financing artificial intelligence infrastructure. USD.AI lends to companies that run AI infrastructure, taking graphics processing unit (GPU) servers as collateral; the yield for sUSDai holders comes from the interest on these loans. The base token USDai and the yield-bearing sUSDai have different risk profiles: for sUSDai, risks such as borrowers' repayment performance, the decline in hardware value and long redemption queues come to the fore. The protocol's governance is carried out with the CHIP token.

The dollar peg is a design goal and depends on the stability of the underlying stablecoin. DefiLlama lists the asset among stablecoins under the name USD.AI; the general category label in our catalogue may not fully reflect the product's function. The value shown for USDai on Lzzo.com is DefiLlama's US dollar reference and is for information only.