# lvlUSD

## **Minting and Redeeming**

{% hint style="warning" %}
Level is now in redeem-only mode. Please visit <https://app.level.money/redeem> to get started
{% endhint %}

lvlUSD can be permissionlessly minted using USDC and USDT, or aUSDC, aUSDT or/and steakUSDC, which form the lvlUSD reserves. Redemptions are currently permissioned.

{% hint style="info" %}
*While only USDC, USDT, and Leding Protocols Receipt tokens can mint lvlUSD, other tokens are accepted and automatically converted before minting.*
{% endhint %}

## **Yield and Reward Generation**

The USDC and USDT in the lvlUSD reserves are used to generate yield in lending protocols.

Level supplies the USDC and USDT into blue-chip lending protocols to generate yield. Currently, all reserves are deployed to Aave and Morpho Steakhouse Vault, with plans to expand into additional lending venues soon.

The receipt tokens from these protocols (e.g. aUSDC or aUSDT from Aave) are then wrapped to become yield-accruing assets. A small portion of these assets are restaked in restaking protocols like Symbiotic but we are currently in the process of withdrawing all restaked assets.

## Yield and Reward Distribution

All the lending yield is initially accumulated by Level. Currently, Level passes back all yield and rewards to users. Lending yield is distributed to slvlUSD via the staking contract. More details in following sections.
