Introduction

USYC (US Yield Coin) is the on-chain representation of Hashnote’s Short Duration Yield Fund (SDYF). SDYF invests in short-term US Treasury Bills and performs repo / reverse-repo activity as the underlying asset of the USYC token.

USYC earns short-term risk-free rate returns. The fund benefits from the transaction speed, transparency, and composability of tokenization while eliminating virtually all of the protocol, custody, regulatory, and credit risks associated with other token projects.

Liquidity

We understand the importance of liquidity in all market environments. To help investors enter and exit their positions efficiently, we structured our operation so investors can mint or redeem on the same day (T+0) or the next (T+1) into USDC or PYUSD. The minting process is atomic and instant on the blockchain, and investors can redeem at any time of the day. We also developed our own Smart Contract Teller, so investors can self-serve at their convenience.

Security

Hashnote Management LLC is registered as a Commodity Pool Operator (CPO) and Commodity Trading Advisor (CTA) with the National Futures Association (NFA), and it is regulated by the Commodity Futures Trading Commission (CFTC). Hashnote’s US funds are regulated by CFTC, and the offshore fund is registered as a mutual fund, regulated by the Cayman Islands Monetary Authority (CIMA). We adhere to strict regulations, ensuring our operations meet institutional investment standards.

Our platform offers institutional investors a secure environment free from the everyday risks linked to credit intermediaries because we do not provide loans. Assets are protected through segregated custodial accounts at BNY Mellon, guaranteeing direct access for shareholders and a high level of asset security. This straightforward and secure approach gives investors the confidence to focus on their investment goals. Trust and transparency are the pillars of our service, making us dependable in the digital asset market.

Transparency

Assets and token prices are regularly published via an Oracle feed. All fees—including service, redemption, and custodian fees—are disclosed upfront. Our ERC-20 token has been externally audited and verified on Etherscan, ensuring reliability and security.

Fund Management

We are an experienced in-house fixed-income team with a track record of delivering consistent, risk-adjusted returns and liquidity management. Assets are deployed in reverse repo, with some allocated to T-Bills, to ensure maximum liquidity and minimum duration risk*.

*Fixed income assets such as Treasury Bills may lose value.