What is GUILD?
GUILD is the stable currency at the heart of 3.Finance. But it's not just another stablecoin—it's designed to be a sovereign, self-sustaining digital money that doesn't depend on any company, government, or algorithm to maintain its value.
The Simple Explanation
Imagine you have a piggy bank that:
- Earns its own money — It invests and generates returns automatically
- Protects itself — If someone tries to break it, it has multiple layers of defense
- Guarantees your withdrawal — You can always get your money out at a known rate
- Runs without a manager — No CEO, no company, just code that follows rules
That's GUILD. It's digital money designed to be stable, reliable, and completely independent.
How GUILD Compares to Other Stablecoins
| Type | How It Works | The Risk | Example |
|---|---|---|---|
Centralized | A company holds dollars in a bank. You trust them to have the money. | Company can fail, freeze funds, or lie | USDT, USDC |
Algorithmic | Math formulas balance supply and demand. No real backing. | Can collapse in a "death spiral" | UST (failed) |
Over-collateralized | Users lock up more crypto than they borrow. Backed by collateral. | Collateral can lose value rapidly | DAI, LUSD |
GUILD | Protocol owns real assets and generates revenue. Self-sustaining. | Multiple defense layers, coded shutdown plan | GUILD |
GUILD's Three Promises
These aren't marketing claims—they're built into the code itself.
The Settlement Pledge
You can always exchange 1 GUILD for 1 crvUSD (a stable dollar equivalent). This is a hard-coded guarantee, not a promise from a company.
Real Asset Backing
GUILD is backed by a treasury of real, yield-generating assets that the protocol owns—not IOUs, not algorithms, but actual value.
Self-Sustaining
The protocol generates its own revenue and reinvests it. No need for external funding, donations, or token sales to keep running.
Think of GUILD Like a Living Cell
The Nucleus (Treasury)
At the center is the treasury—the core that holds all the valuable assets and generates energy (revenue) for the whole system.
The Membrane (Settlement Pledge)
The outer layer controls what goes in and out. It ensures you can always withdraw your value at the guaranteed rate.
The Organelles (Sub-Protocols)
Specialized components handle different functions—The Guild issues currency, The Reserve manages assets, The Grove handles operations.
The Energy Flow (Distribution Engine)
Revenue flows through the system like ATP in a cell, powering development, rewards, and growth.
Common Questions
Is GUILD pegged to the US dollar?
Not exactly. GUILD is designed to be exchangeable 1:1 with crvUSD (a stablecoin that tracks the dollar) through the Settlement Pledge. But the long-term goal is for GUILD to derive its value from the protocol's own assets, not from any external currency.
What happens if everyone tries to withdraw at once?
This is called a 'bank run,' and 3.Finance has multiple defenses. First, the Settlement Pledge provides immediate liquidity. Second, the Redirect Variable automatically diverts more revenue to refill the pledge. Third, the Protocol-Controlled Vault serves as a final backstop.
Who controls GUILD?
No single person or company. The protocol is designed to be 'sovereign'—meaning it runs according to code, not human decisions. Governance exists for upgrades and parameters, but core operations are automated.
How does GUILD make money?
The protocol's treasury holds yield-generating assets. The Arbitrage Master Node also finds and exploits price differences in the market. All this revenue flows back into the system.