# What is $USC?

$USC is Orby's decentralized, overcollateralized **stablecoin** that is soft-pegged to the **US dollar.** 

$USC will essentially function as 3 things:

* **A store of value.** As a stablecoin, $USC is designed to **hold its value** to a peg in spite of volatility
* **A unit of exchange.** With the above property as a stable store of value, $USC is designed to be used to facilitate transactions
* **A unit of account.** $USC will function as a unit of measurement for on-chain products, similar to how FIAT currencies denominate off-chain goods and services

Maintaining peg stability is critical for any stablecoin. That's why Orby is designed around ensuring and incentivising $USC's resiliency. Our robust risk management features are summarized below: 

<figure><img src="https://2913283598-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FnM953569lZ20u1dw1aCu%2Fuploads%2FyMUFU3HlAd50LJta8pvO%2FScreenshot%202024-02-08%20at%207.07.41%20AM.png?alt=media&#x26;token=1e1d2d60-f073-42a1-b5d8-dd1ef9a5b1bb" alt=""><figcaption></figcaption></figure>

To read in more detail about these features:&#x20;

[Overcollateralization](https://doc.orby.network/overview/supported-collateral/collateral-risk-parameters)

[Recovery Mode](https://doc.orby.network/overview/recovery-mode)

[Instant Liquidation](https://doc.orby.network/overview/liquidations-and-the-stability-pool/stability-pool)

[Redemptions](https://doc.orby.network/overview/usduscs-peg-stability-and-redemptions/redemption-mechanism)

[Arbitrage](https://doc.orby.network/overview/usduscs-peg-stability-and-redemptions)<br>