sUSDat is a yield-bearing tokenized credit backed by Stretch (STRC), a short-duration, high-yield preferred equity instrument providing Bitcoin-backed credit exposure with engineered price stability around par ($99–$101). STRC dividends reset monthly and are paid cumulatively, forming the yield engine behind sUSDat's returns. The resulting product behaves as an income-oriented tokenized credit.
The performance of sUSDat's underlying collateral, STRC, directly informs the yield stability and risk profile of sUSDat holders.
Based on daily price data, STRC has exhibited moderate market volatility, with a notable improvement in stability following December 2025.
To evaluate the economic experience of a long-term sUSDat holder, we constructed a NAV simulation assuming a $100M investment on August 1, 2025, with monthly STRC dividends reinvested over 20 trading days at market prices. Dividends are modeled as cash payments equal to the stated rate as a percentage of par ($100), with NAV marked daily at closing prices.
The simulated NAV path demonstrates that sUSDat returns are primarily driven by dividend accrual from STRC, with price volatility in the collateral introducing short-term fluctuations but limited persistence of drawdowns. NAV exhibits discrete step-ups on dividend payment dates and stable growth over medium-term horizons.
| Metric | 1D Return | 7D Return | 1M Return | 3M Return |
|---|---|---|---|---|
| % Negative periods | 30.86% | 28.40% | 14.84% | 0.89% |
| Minimum return | -4.32% | -6.92% | -5.17% | -2.78% |
| Median return | 0.09% | 0.48% | 1.44% | 4.53% |
| Mean return | 0.09% | 0.49% | 1.55% | 4.58% |
| Maximum return | 4.48% | 6.38% | 8.15% | 11.48% |
Across time horizons, median and mean returns remain positive, indicating that dividends increasingly overwhelms price noise over time. Even at the one-month horizon, the worst observed rolling losses remains moderate compared to dividend income.
Price stabilization in the underlying collateral is a key input to sUSDat's risk model. STRC hasn't just traded closer to par more consistently - its below-par episodes have also become less disruptive over time.
Since inception, there have been 10 instances where STRC traded below par. What matters, however, is the speed of recovery. The first return to par - from IPO back to peg - took 66 calendar days. By contrast, the last five below-par episodes have each returned to par in under 10 days.
If you focus on the three largest below-par events in STRC’s history (highlighted in orange), the trend becomes even clearer. With each event, the time required to return to par has shortened, and the depth of the discount relative to Bitcoin has narrowed.