> For the complete documentation index, see [llms.txt](https://docs.nara.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.nara.io/nara/quickstart/faq.md). # FAQ #### What is NaraUSD? A synthetic dollar backed by a portfolio of liquid reserves and short-duration payment-financing positions. It is redeemable for a dollar and freely transferable. It is not a fiat-reserve stablecoin, not a deposit and not insured. NaraUSD. #### What is NaraUSD+? The staked form of NaraUSD. Its exchange rate against NaraUSD rises as the portfolio pays, and it takes portfolio losses after the Insurance Fund and before NaraUSD. NaraUSD+. #### Where does the yield come from? Payment companies borrow for the one-to-five-day gap between paying a recipient and receiving the sender's cleared fiat, and pay a premium for it. Nara funds that gap and the premium accrues to NaraUSD+. How Nara generates yield. #### What yield should I expect? Nara targets a 9% to 10% gross base yield, of which about 1% of assets a year (a 10% share at the target rate) is retained in the Insurance Fund as the holders' own buffer. That is a target, not a promise. The realized APR and its 7, 14 and 30-day averages are on the [dashboard](https://app.nara.io/transparency), and that is the only figure that reflects what the portfolio has paid. Yield is variable and not guaranteed. #### Who are the borrowers? Payment-financing positions with vetted originators and managers: at launch, Fasanara mGlobal (trade receivables via Midas), BlackOpal LiquidStone II (Brazilian card receivables) and Zynk (cross-border settlement liquidity). Each is listed with its terms on the Portfolio page. #### How is my capital protected? By underwriting before funding, concentration limits, position-level structure, a liquid reserve, and a $250,000 Insurance Fund seeded by the team and topped up by about 1% of assets a year (10% of gross yield at the target rate), which absorbs losses first. None of these eliminate risk; a loss larger than the fund reaches NaraUSD+, and a loss larger than the fund plus all of NaraUSD+ reaches NaraUSD. Insurance Fund · Loss waterfall. #### How long does it take to exit? Unstaking NaraUSD+ takes a 7-day cooldown. Redeeming NaraUSD is instant within the liquid buffer and otherwise queued with a 7-day target, so the primary route is up to 14 days in normal conditions and up to about 90 days under sustained redemption pressure. Selling on a secondary venue is immediate at market price. Exit paths and timing. #### Who can mint and redeem? Authorized Users who have completed KYC/KYB. Anyone can buy, hold, stake and sell. Eligibility and onboarding. #### What price do I get? Authorized Users mint and redeem NaraUSD at 1:1. Unstaking returns NaraUSD at the vault exchange rate at claim. Secondary prices can differ from both. #### Are there fees? At launch, the only deduction from gross yield is the share retained in the Insurance Fund (about 1% of assets a year, 10% of gross yield at the target rate), which stays in the holders' own buffer. There is no management, performance, mint or redeem fee. Any future protocol fee is announced on the NaraUSD+ page before it takes effect. #### Which chains? NaraUSD and NaraUSD+ are LayerZero OFTs with an Ethereum hub. Supported deposit assets and chains are on Supported assets; addresses are on Contract addresses. #### Is the code audited? Yes: Paladin (token layer, February 2026) and Cantina (BoringVault capital layer, August 2025). Findings and statuses are on Code audits. #### Who controls the protocol? Every privileged action is a 3-of-5 hardware multisig transaction through a maker → reviewer → executor process. Reward issuance is capped on-chain; the cap changes only through a hard-coded 2-day, vetoable timelock. A stop-only pauser can halt the protocol but cannot move funds. Roles, Multisig and Timelocks. #### What can go wrong? Borrowers can fail to repay, redemptions can be delayed, NaraUSD can trade away from a dollar, a stablecoin in the reserve can depeg, contracts or operations can fail. Risks lists each risk, who is exposed and what constrains it. --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation by asking a question. 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