You stake USDfr and receive sUSDfr. But what happens underneath?
Your USDfr enters the yield-bearing vault, where capital is deployed into Forest Road’s specialty-finance loan book.
As those loans earn interest, that income is reflected in sUSDfr’s exchange rate, net of applicable fees. The yield is variable, and credit losses can reduce the value of sUSDfr.
So sUSDfr isn’t generating yield by itself.
It represents your share of capital being put to work in the underlying loan book.
You’re holding sUSDfr. Where does the yield actually come from?
Not token emissions. Not a fixed APY.
It comes from interest earned by FRV’s underlying specialty-finance loan book across Media & Entertainment, Renewable Energy, and Digital Assets.
That earned interest is reflected in sUSDfr’s exchange rate, net of fees.
So when the loan book performs, sUSDfr captures that performance. If credit losses reach depositor principal, its value can fall too.
The yield comes from the credit underneath
Already staked your USDfr?
You now hold sUSDfr, the yield-bearing vault share.
As Forest Road’s loan book earns interest, that value is reflected in the USDfr/sUSDfr exchange rate, net of applicable fees. The rate is variable and can also fall if credit losses reach sUSDfr.
Stake USDfr → Receive sUSDfr → Track your position.
You’re holding USDfr. Is it earning yield?
No.
USDfr is the stablecoin layer. It is minted 1:1 against USDC and backed by reserves plus the value deployed into FRV’s loan book, but simply holding USDfr does not earn the loan book’s yield.
To participate in that yield, USDfr is staked for sUSDfr.
sUSDfr is the yield-bearing vault share. Its exchange rate reflects interest earned by the underlying loan book, net of applicable fees, and that rate can fall if credit losses reach depositor principal.
USDfr is the dollar. sUSDfr is what puts it to work.
Worth noting: holding $USDfr actually earns more points than staking it into sUSDfr.
So there’s a trade-off depending on what you’re optimizing for:
USDfr → more points
sUSDfr → exposure to yield
Choose your lane.
Want to check how your sUSDfr position is doing?
Connect your wallet and open your position in the FRV app.
You’ll see your sUSDfr balance, current expected yield, projected income, historical gain, and applicable fees in one place
https://t.co/f264hLZZQB
Already holding $USDfr?
You can stake it to receive sUSDfr and move into the yield-bearing side of Forest Road Vault.
USDfr is the on-chain dollar.
sUSDfr is the vault share that reflects the performance of the underlying credit book.
USDfr → Stake → sUSDfr
Simple product flow. Different role for each asset.
Start here: https://t.co/vqvbKhn0vA
You’re holding sUSDfr. A borrower defaults. What happens next?
The loss doesn’t immediately fall on your principal.
FRV’s loss waterfall is designed so curator first-loss capital absorbs losses first. If that layer is exhausted, the sGROVE backstop comes next.
sUSDfr depositor principal is only exposed after both layers have been exhausted.
The protection is structural, not a guarantee against loss.
That’s what sits between a borrower default and depositor principal.
https://t.co/sPERCZxrlS
Have USDC and want to get into Forest Road Vault?
Start with the USDfr/USDC pool on Uniswap (can be accessed in the app).
Swap USDC for USDfr.
From there, you have two options:
Hold USDfr as the on-chain dollar.
Or stake USDfr to receive sUSDfr and move into the yield-bearing side of the protocol.
USDC → USDfr → Hold or Stake.
Simple entry. Clear next step.