💵 $AUSD: The Backbone of Floor Protection

Hikari uses AUSD, the native stablecoin of the Katana Network, as the core asset backing its floor price guarantee. This choice aligns deeply with Katana’s ecosystem strengths and supports both price stability and on-chain yield generation.

🔍 What Is AUSD?

AUSD is a fully collateralized stablecoin developed by Agora, backed by a combination of:

  • U.S. cash reserves

  • Treasury bonds

  • Overnight repo agreements

AUSD is designed to maintain a 1:1 peg to USD. It also generates passive yield, which is shared with protocols across the Katana ecosystem.

🧠 Why Hikari Chose AUSD

✅ 1. Reliable Price Stability

AUSD’s real-world asset backing makes it a strong unit of account for enforcing Hikari’s on-chain floor price. This ensures that each token backed by Hikari has a clear, dollar-denominated redeemable value.

💰 2. Native Yield Participation

The AUSD held in Hikari’s treasury does more than just sit idle. Since AUSD accrues yield, the capital deployed in farming or held in the floor pool can earn passive returns. These returns are redirected into the floor treasury to further reinforce price stability.

🔗 3. Ecosystem Synergy

AUSD is widely adopted across Katana-native protocols including:

  • Sushi (DEX)

  • Morpho (Lending)

  • Vertex (Perp DEX)

  • VaultBridge (Cross-chain yield routing)

This allows Hikari to tap into shared liquidity, optimize farming strategies, and route capital more efficiently across the network.

♻️ 4. Yield-Backed Floor Strength

By using AUSD, Hikari benefits from both price stability and capital productivity. AUSD in the treasury can:

  • Be allocated to trusted farming strategies

  • Generate yield to reinforce the floor

  • Integrate with Katana’s yield infrastructure without fragmentation

🔐 Summary

AUSD is not just a stablecoin. It is a yield-generating, Katana-native asset that amplifies Hikari’s core design.

By anchoring its floor price mechanism to AUSD, Hikari ensures:

  • Stable, USD-pegged redemptions

  • Participation in network-wide yield

  • Efficient, ecosystem-aligned treasury usage

This foundation allows Hikari to protect token value while keeping capital productive and fully integrated within Katana.

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