bfUSD

bfUSD is BitFi's yield-bearing stablecoin backed by USDT and USDC.

Overview

bfUSD is minted on Ethereum by depositing USDT or USDC into BitFi's stablecoin contracts. Pricing is secured by Chainlink oracles, and the resulting bfUSD token is an ERC-20 asset that can move between BitFi and external DeFi protocols.

Horizon and Pulsar

bfUSD supports two ERC-4626 vaults with different risk profiles:

• Horizon (hbfUSD): Low-risk, delta-neutral vault with a steadily increasing share price and a supply cap of 100 million shares.
• Pulsar (pbfUSD): Higher-risk, higher-yield vault with a 2 million share cap that can experience drawdowns between epochs.

Horizon and Pulsar are linked by design: part of Horizon's revenue is used to boost Pulsar, and Pulsar's capital helps protect Horizon during stress events.

Insurance and Integrations

A protocol buffer, together with Pulsar's capital, is used to absorb losses before they impact Horizon depositors. All contracts are available via verified ABIs, and LayerZero helpers (send, quoteSend) support cross-chain transfers of bfUSD, hbfUSD, and pbfUSD.