LUSD wallet

What is LUSD (LUSD)?

Every LUSD in existence was borrowed into being against ether. Liquity lets a borrower lock ETH in a trove and mint LUSD against it, with no interest running on the debt and a one-off fee charged at issue instead. The floor under the dollar peg is redemption: LUSD can be returned to the protocol for the ether backing it, which gives arbitrage a direct route whenever the token trades below a dollar. Nothing about it depends on a bank account holding reserves; the collateral is on-chain and visible.

For someone deciding where to keep it, the important detail is which LUSD they actually have. The token is native to Ethereum, where the troves and the Stability Pool live. A LUSD balance on BNB Smart Chain is a bridged representation issued by whoever operates the bridge, and it cannot be redeemed against Liquity collateral directly; it has to travel back to Ethereum first. Same name, same ticker, different thing in your hands.

Supported networks in Tangem (2): Ethereum, BNB Smart Chain.

Tangem keeps each chain's LUSD as its own line with its own balance, and the network a transfer leaves on is stated on screen before the card is tapped to sign it. Since addresses look identical across EVM chains, that read-before-signing moment is the one chance to confirm you are sending the version the other side expects. Holding a bridged and a native balance side by side without confusing them is the reason this setup suits LUSD.