Ondo US Dollar Yield USDY

The difference from a settlement stablecoin is fundamental. The token does not promise a price of exactly one dollar: the base version appreciates as interest accrues, while a parallel variant delivers the same return by increasing the token count at a fixed price. This is a debt instrument, not a means of payment.

Access is restricted — primary purchase is closed to US persons and requires identity checks, and transfer is possible only after a set holding period. Buyers want dollar yield on-chain rather than instant settlement, and the decisive question is disclosure quality rather than technology.

USDY earns yield and is therefore not a payment token: its price is not one dollar, and using it as a settlement unit is a misuse.