USDAI
  • Introduction
  • Why Compute-Backed?
  • Vision & Purpose
  • GPU.NET Ecosystem
    • What is GPU.NET?
    • Key Components of GPU.NET
    • GPU.NET’s Mission
    • USDAI’s Role in the Ecosystem
  • USDAI Mechanics
    • How USDAI Works
    • Pegging Mechanism
    • Collateralization
    • Issuance and Redemption
    • Stability Mechanisms
    • Why It Works
  • USDAI Architecture
    • Architecture
    • Supported Blockchains
    • Interoperability
    • Smart Contracts
    • Security Features
  • Use Cases
    • USDAI Applications
    • AI/ML Workload Payments
    • DeFi Integrations
    • Compute Reservations
    • Broader Implications
  • Acquiring USDAI
    • How to Acquire USDAI
    • Using USDAI
    • Developer Integration
  • Governance and Community
    • Governance
    • Roadmap
    • FAQ
    • Support & Community
Powered by GitBook
On this page
  1. USDAI Mechanics

How USDAI Works

USDAI is a groundbreaking stablecoin that derives its value and stability from GPU compute credits within the GPU.NET ecosystem. This section explores the intricate mechanisms that power USDAI, detailing how it maintains its peg, manages collateral, handles issuance and redemption, and ensures stability through advanced technological processes. Understanding these mechanics is key to appreciating USDAI’s role as a reliable, compute-backed currency for AI-driven transactions.

At its core, USDAI is collateralized by GPU compute credits issued on GPU.NET’s decentralized application (Dapp.gpu.net). Unlike traditional stablecoins tied to fiat reserves or volatile cryptocurrencies, USDAI’s value is anchored to a tangible, real-world asset: computational power. This unique backing aligns USDAI with the growing demand for GPU resources in AI, machine learning (ML), and high-performance computing (HPC), making it a stable and practical medium of exchange within the GPU.NET ecosystem.

USDAI’s stability is not left to chance—it’s maintained through a sophisticated blend of dynamic pricing oracles, algorithmic supply adjustments, and Proof-of-Compute (PoC) mechanisms. These systems work in tandem to ensure that 1 USDAI consistently equates to $1 USD worth of GPU compute, providing users with predictable pricing and reliable access to computational resources. Below, we break down each component of USDAI’s mechanics in detail.

PreviousUSDAI’s Role in the EcosystemNextPegging Mechanism

Last updated 3 months ago