Bucket Protocol BUCK Stablecoin PriceBUCK

What is Bucket Protocol BUCK Stablecoin (BUCK)?

Bucket Protocol BUCK Stablecoin (BUCK) is a decentralized, over-collateralized stablecoin issued on the Sui blockchain that is designed to track a soft peg of one U.S. dollar. It is minted through Bucket Protocol, a decentralized finance platform that allows users to deposit crypto assets into smart contracts and create Collateralized Debt Positions (CDPs). By borrowing against their deposited collateral, users generate BUCK liquidity instantly without incurring unforeseen interest payments. The protocol supports multiple collateral types, including SUI, BTC, ETH and others, and is positioned as a programmable currency backed by the Sui ecosystem. BUCK is described as being designed for long-term SUI and BTC bulls, offering a fixed interest rate and predictable cost, with a maximum loan-to-value ratio of 90.9. The stablecoin launched on May 14, 2024, and has since maintained a circulating supply of approximately 25.96 million BUCK, with a market capitalization in the range of $25.85 million to $25.95 million. The protocol also references a related stablecoin called USDB, which serves as another programmable currency within the same ecosystem. BUCK is part of the broader Sui Ecosystem and MoveVM category, and it is tracked across multiple data platforms under the ticker BUCK.

Key Specifications & Tokenomics

• Name: Bucket Protocol BUCK Stablecoin
• Ticker / Symbol: BUCK
• Blockchain / Platform: Sui Network
• Category / Tags: Sui Ecosystem, MoveVM (MVM), stablecoin, Real World Assets
• Protocol Type: Collateralized Debt Position (CDP) protocol
• Supported Collateral: SUI, BTC, ETH and others
• Minimum Collateral Ratio: 110%, varying by collateral type
• Interest Model: Fixed interest rate with predictable cost
• Max. LTV: 90.9
• Circulating Supply: Approximately 25.96 million BUCK
• Market Cap: Approximately $25.85 million to $25.95 million
• Fully Diluted Valuation: $25.85 million
• Total Supply (Yahoo Finance data): 1,623,626,333,038,786
• Max Supply: Not fixed
• Dividends: None
• Official Website: https://bucketprotocol.io/
• Start Date: May 14, 2024
• CertiK Rating (related BUT token): 4.1

Who created Bucket Protocol BUCK Stablecoin?

Detailed public information about the founding team and individual creators of Bucket Protocol BUCK Stablecoin is currently limited. The project operates as a decentralized stablecoin protocol on the Sui blockchain and references DAO governance as a key component of its operational framework. The efficiency of DAO governance is cited as a key driver for the protocol's long-term yield stability and user retention. While specific founders or development entities are not publicly disclosed in available references, the protocol maintains an official website and is listed across multiple cryptocurrency data platforms, including CoinGecko, CoinMarketCap, Yahoo Finance and others. The related BUT token has received a CertiK rating of 4.1, indicating some level of third-party security assessment for the broader Bucket Protocol ecosystem.

How does Bucket Protocol BUCK Stablecoin work?

Bucket Protocol operates as a Collateralized Debt Position protocol on the Sui network. Users deposit crypto assets such as SUI, BTC, ETH and others into a smart contract, creating a CDP that is sometimes referred to as a Bottle. Each CDP must maintain a minimum collateral ratio of 110%, although this ratio may vary depending on the specific collateral type used. Once a CDP is established, users can borrow BUCK, a stablecoin pegged to the U.S. dollar, against their deposited collateral. The protocol charges a fixed interest rate, providing predictable costs for borrowers. BUCK holders have the option at any point to exchange their stablecoins for the underlying collateral through a redemption mechanism. The protocol includes several modules, including PSM, CDP, Tank and redeem modules, which work together to maintain the stability and functionality of the system. BUCK has maintained a $1 peg and an annualized yield of approximately 7%, balancing both liquidity and profitability for its users. The protocol's design emphasizes maximizing the financial efficiency of crypto assets without unforeseen interest payments.

What makes Bucket Protocol BUCK Stablecoin unique and valuable?

Bucket Protocol BUCK Stablecoin distinguishes itself through several key features. First, it offers a fixed interest rate with predictable costs, which is designed to appeal to long-term holders of SUI and BTC who seek stability in their borrowing arrangements. Second, the protocol supports multiple collateral types, including SUI, BTC and ETH, providing flexibility for users with diverse crypto portfolios. Third, BUCK maintains a soft peg to the U.S. dollar while offering an annualized yield of approximately 7%, creating an attractive balance between stability and profitability. Fourth, the protocol's maximum loan-to-value ratio of 90.9 allows users to access significant liquidity relative to their deposited collateral. Fifth, the redemption mechanism gives BUCK holders the option to exchange their stablecoins for underlying collateral at any time, adding a layer of confidence in the stablecoin's value. Finally, the protocol operates within the growing Sui ecosystem, positioning itself as a programmable currency backed by Sui ecosystem assets. These features collectively position BUCK as a tool for maximizing financial efficiency in decentralized finance.

What is Bucket Protocol BUCK Stablecoin used for?

BUCK serves multiple functions within the Bucket Protocol ecosystem and the broader Sui network. Its primary use is as a stablecoin pegged to the U.S. dollar, allowing users to borrow against their crypto collateral without selling their underlying assets. This enables users to access liquidity while maintaining exposure to their SUI, BTC, ETH or other deposited assets. BUCK can be used as a medium of exchange within the Sui ecosystem, and its programmable nature makes it suitable for various decentralized finance applications. The stablecoin also functions as a tool for users who wish to take advantage of the protocol's fixed interest rate and predictable cost structure. Additionally, BUCK holders can participate in the redemption mechanism, exchanging their stablecoins for underlying collateral when desired. The protocol also references USDB, another stablecoin within the same ecosystem, which serves similar programmable currency functions. BUCK's role as a stablecoin makes it suitable for trading, lending, borrowing and other DeFi activities on the Sui blockchain.

How Is the Bucket Protocol BUCK Stablecoin ecosystem developing?

The Bucket Protocol ecosystem is developing within the broader Sui Network, which includes a range of related projects and tokens. Supported collateral assets include SUI, BTC, ETH and others, providing a foundation for the protocol's CDP mechanism. The protocol comprises several modules, including PSM, CDP, Tank and redeem modules, which support its stablecoin operations. According to protocol metrics from bucketprotocol.io, the circulating supply of USDB stands at $11,548,769, total value locked is $49,876,801 and total deposits are $6,751,774. The Sui ecosystem context includes tokens such as Sui (SUI), DeepBook Protocol (DEEP), Walrus (WAL), Magma Finance (MAGMA), Momentum (MMT), Swarm Network (TRUTH), Cetus Protocol (CETUS), NAVI Protocol (NAVX), Bluefin (BLUE), Ika (IKA), Suilend (SEND), Sui Name Service (NS), LOFI (LOFI), Chirp (CHIRP), sudeng (HIPPO), Turbos Finance (TURBOS), Scallop (SCA), xMoney (XMN), IDNGold (IDNG) and Axol (AXOL). However, compliance restrictions pose tangible barriers to liquidity and scaling, as the protocol is not accessible to US users. The performance of underlying assets and the efficiency of DAO governance are noted as key drivers for the ecosystem's development, and if management capabilities or asset returns fail to meet expectations, it could affect long-term yield stability and user retention.

How to mine Bucket Protocol BUCK Stablecoin?

BUCK is not mined through traditional proof-of-work or proof-of-stake mechanisms. Instead, it is minted through the Bucket Protocol's CDP system on the Sui blockchain. Users deposit crypto assets such as SUI, BTC, ETH or others as collateral, creating a Collateralized Debt Position. Against this collateral, they can borrow or mint BUCK stablecoins. The protocol charges a fixed interest rate on the borrowed amount, providing predictable costs. To maintain the position, users must ensure their CDP maintains a minimum collateral ratio of 110%, which may vary by collateral type. There is no traditional mining process for BUCK. The related BUT token, which is part of the Bucket Protocol ecosystem, has a total supply of 1 billion BUT and a self-reported circulating supply of approximately 395.05 million BUT. BUCK itself does not pay dividends, and its supply is managed through the protocol's minting and redemption mechanisms rather than through mining rewards.

How to keep your Bucket Protocol BUCK Stablecoin safe?

Keeping BUCK safe requires attention to both the underlying protocol mechanics and general cryptocurrency security practices. Since BUCK is a stablecoin minted through CDPs on the Sui blockchain, users should monitor their collateral ratios carefully to avoid liquidation if the value of their deposited collateral declines. Maintaining a collateral ratio above the 110% minimum is essential, and users should consider the volatility of their chosen collateral assets. The protocol's redemption mechanism allows BUCK holders to exchange their stablecoins for underlying collateral, which can serve as a safety valve. However, users should be aware that BUCK is not accessible to US users due to compliance restrictions, and this may affect liquidity and exit options in certain jurisdictions. General security practices apply, including using reputable wallets, safeguarding private keys, enabling two-factor authentication where available and staying informed about protocol updates and governance decisions. The related BUT token has received a CertiK rating of 4.1, suggesting some level of security review for the broader ecosystem, but users should always conduct their own research and remain aware of the significant market risks associated with crypto-assets, including extreme volatility and the potential loss of entire capital.