KuCoin launches KCUSD to provide daily yields on stablecoins

KuCoin has announced the launch of KCUSD, an Earn product designed to increase capital efficiency for stablecoin holders by generating daily yields supported by real-world assets. The product aims to convert idle stablecoin balances into productive capital for retail, high-net-worth, and institutional users.

KCUSD will initially support subscriptions starting from 1 USDT, USDC, or USDG with no subscription fees and same-asset redemption options. The product features a dynamic base APR of up to 4%, with a promotional APR of up to 6% available for users participating with qualifying new funds during the initial launch period. Returns are credited daily and automatically compounded.

To address the inefficiency of idle stablecoins used for margin or liquidity, KuCoin plans to eventually integrate KCUSD as collateral. This is intended to reduce the trade-off between earning returns and maintaining trading utility for market makers and professional trading firms.