Minted Protocol issues two structurally and legally distinct products: mUSD, a non-yield-bearing Canton-native institutional stable settlement token compliant with the GENIUS Act, and smUSD, a separate opt-in institutional yield vault that routes capital into approved Canton-native instruments.
mUSD is a non-yield-bearing payment stablecoin backed 1:1 by liquid reserves — cash, short-term U.S. Treasury securities, and Canton-native tokenized institutional collateral (USYC, Franklin Benji/FOBXX, sovereign digital bonds). mUSD does not pay interest, yield, or rewards to holders. It is designed as the neutral cash leg for institutional settlement, repo, treasury, and tokenized securities collateral mobility on Canton Network.
The GENIUS Act (signed into law July 18, 2025) restricts yield payments on payment stablecoins. By keeping mUSD non-yield-bearing and routing yield through the structurally separate smUSD vault, Minted avoids the classification risk that would arise from collapsing settlement and yield into a single instrument. This separation is intentional and architectural, not cosmetic.
smUSD is a separate opt-in institutional yield vault, structurally and legally distinct from mUSD. Approved institutional participants gain controlled access to higher-yield Canton-native instruments. Target net APY: 9-12 percent. smUSD is not a payment stablecoin under GENIUS Act and is not redeemable on-demand the way mUSD is.
smUSD takes off-chain credit, duration, and illiquidity risk on regulated yield strategies. The 9-12% target APY is the smUSD vault target, not mUSD. Smart-contract risk on the protocol layer is minimal (audited, validated); underlying-asset risk on the yield strategies is real and is the basis of the yield. Reg D 506(b) and Reg S distribution; accredited/qualified institutional verification required.
The Canton Network institutional cash market today is split between proprietary closed-rail tokens and bank-issued tokenized deposits. mUSD occupies a distinct lane: the only Canton-native cash instrument that lets institutions mint cash directly from tokenized securities without liquidating collateral.
| Instrument | Issuer | Open / Closed | Mintable from collateral | Architecture |
|---|---|---|---|---|
| Minted mUSD | MintedAssociates Corp | Open to every Canton institution | Yes — first instrument with this mechanic | Canton-native, designed for GENIUS Act alignment, non-yield-bearing |
| JPM Coin | JPMorgan | Closed (JPM clients only) | No | Bank deposit token, single-counterparty |
| Goldman tokens | Goldman Sachs | Closed (Goldman clients only) | No | Bank deposit token, single-counterparty |
| USDCx | Circle (xReserve) | Open | No (cash-in only) | Canton-native USDC variant |
| LSEG DiSH | Multiple commercial banks | Open | No (deposit-token wrapper) | Tokenized commercial bank deposits |
| HSBC TDS | HSBC | HSBC clients | No | Tokenized deposit service, single-bank |
Current production architecture is 100% Canton-native. No Ethereum bridge. No cross-chain. mUSD uses Canton Network's Global Synchronizer for cross-network settlement — atomic, private, compliant, no wrapped tokens. Earlier cross-chain DAML+Solidity architecture has been fully deprecated and is not part of the current protocol.
Investor materials, audit reports, validation report, whitepaper, technical architecture, competitive landscape, and pro forma model are available at deck.minted.app. Machine-readable summary at deck.minted.app/llms.txt. Verified Canton ecosystem endorsement record at deck.minted.app/validation.html.