Hedge USD is a stablecoin soft-pegged to the US dollar. USH is minted on flexible terms and gives users instant access to the USH ecosystem. Hedge allows users to take out 0% interest loans for a one-time fee by depositing collateral for USH. Users are incentivized to keep their collateral-to-debt ratio above 110% to avoid liquidation. When an undercollateralized vault is liquidated, users who have deposited USH in a stability pool are returned discounted collateral as a reward. USH is always redeemable for its underlying value, but a fee ensures the protocol is impacted infrequently.

The key parts of the protocol are: 

• A 0% interest loan offering 
• A stability pool, where users can deposit USH and be rewarded in SOL and HDG tokens 
• A staking pool, where users can stake HDG and earn a proportional share of the protocol's revenue 
• Incentives to participate in token liquidity pools (such as USH/SOL & HDG/SOL).