RSR

RSR, short for Reserve Rights, is the native governance and utility token of the Reserve Protocol, a decentralized framework designed to support price-stable digital currencies. The protocol operates a two-token system that includes RSV, a stablecoin pegged to the U.S. dollar, and RSR, a token used for governance and for stabilizing the system’s operations. The combination aims to provide a resilient means of value transfer in regions with unstable local currencies and limited access to traditional financial services.

RSR is primarily an ERC-20 token on Ethereum, with ongoing efforts to extend across multiple chains through bridges. Tokenholders participate in on-chain governance, voting on protocol parameters such as collateral rules, stability mechanisms, and upgrade proposals. In addition to governance, RSR is designed to act as a backstop within the Reserve Protocol’s stability framework, helping absorb shortfalls and supporting the peg when RSV drifts away from its target price.

In terms of tokenomics, RSR has been distributed to investors and the community as part of the protocol’s initial funding and ecosystem growth. The supply dynamics are tied to the protocol’s stability needs and governance decisions, with holders incentivized to participate in decision-making and long-term stability. RSV remains the primary spendable unit for everyday transactions within the system, while RSR serves to align incentives, maintain credibility, and enable decentralized governance over the Reserve Protocol’s development and stability parameters.

Overall, RSR and the Reserve Protocol represent an approach to decentralized stablecoins, combining a pegged asset with a governance-backed backstop to support price stability in a decentralized, permissionless manner.