Reserve Rights is a dual-token stablecoin platform
The Reserve Protocol interacts with three kinds of tokens:
The Reserve token (RSV) — a stable cryptocurrency that can be held and spent the way we use US dollars and other stable fiat money.
The Reserve Rights token (RSR) — a cryptocurrency used to keep the RSV stable at its $1.00 price target through a system of arbitrage opportunities.
Collateral tokens — other assets that are held by the Reserve smart contract in order to back the value of the Reserve token, similar to when the US government used to back the US dollar with gold. The protocol is designed to hold collateral tokens worth at least 100% of the value of all Reserve tokens. Many of the collateral tokens will be tokenized real-world assets such as tokenized bonds, property, and commodities. The portfolio will start off relatively simple and diversify over time as more asset classes are tokenized.