{"id":56295,"date":"2025-11-07T18:00:54","date_gmt":"2025-11-07T15:00:54","guid":{"rendered":"https:\/\/coinengineer.net\/blog\/?p=56295"},"modified":"2025-11-07T12:50:44","modified_gmt":"2025-11-07T09:50:44","slug":"what-is-venus-busd-vbusd","status":"publish","type":"post","link":"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/","title":{"rendered":"What Is Venus BUSD (vBUSD)?"},"content":{"rendered":"<p data-start=\"206\" data-end=\"579\"><a href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-protocol-xvs\/\"><strong>Venus Protocol<\/strong><\/a> is a decentralized lending and <a href=\"https:\/\/coinengineer.net\/blog\/bank-of-england-aligns-stablecoin-regulations-with-the-united-states\/\"><strong>stablecoin<\/strong> <\/a>platform that launched on BNB Chain in 2020. By combining Maker\u2019s collateral-backed stablecoin model with Compound\u2019s algorithmic money markets, Venus introduced an accessible and efficient DeFi structure. Thanks to this hybrid design, it quickly became one of the most widely used applications in the Web3 ecosystem.<\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_71 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#What_Is_Venus_BUSD_vBUSD\" title=\"What Is Venus BUSD (vBUSD)?\">What Is Venus BUSD (vBUSD)?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#How_Does_Venus_Protocol_Work\" title=\"How Does Venus Protocol Work?\">How Does Venus Protocol Work?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#Key_Innovations_in_Venus_Protocol_V4\" title=\"Key Innovations in Venus Protocol V4\">Key Innovations in Venus Protocol V4<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#Risk_Management\" title=\"Risk Management\">Risk Management<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#Decentralization_Enhancements\" title=\"Decentralization Enhancements\">Decentralization Enhancements<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#Improved_User_Experience\" title=\"Improved User Experience\">Improved User Experience<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#Resilient_Price_Oracle\" title=\"Resilient Price Oracle\">Resilient Price Oracle<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#Isolated_Pools\" title=\"Isolated Pools\">Isolated Pools<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#E-Mode_Efficiency_Mode\" title=\"E-Mode (Efficiency Mode)\">E-Mode (Efficiency Mode)<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#Venus_Reward_Distributor\" title=\"Venus Reward Distributor\">Venus Reward Distributor<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#Peg_Stability_Module_PSM\" title=\"Peg Stability Module (PSM)\">Peg Stability Module (PSM)<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#Venus_vBUSD_Tokenomics\" title=\"Venus (vBUSD) Tokenomics\">Venus (vBUSD) Tokenomics<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#XVS_Token_Governance_Staking\" title=\"XVS Token (Governance + Staking)\">XVS Token (Governance + Staking)<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#Token_Converter\" title=\"Token Converter\">Token Converter<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#What_Is_Venus_Prime\" title=\"What Is Venus Prime?\">What Is Venus Prime?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#Prime_Token_Types\" title=\"Prime Token Types\">Prime Token Types<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#Reward_Calculation_Formula\" title=\"Reward Calculation Formula\">Reward Calculation Formula<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#Venus_BUSD_vBUSD_Team\" title=\"Venus BUSD (vBUSD) Team\">Venus BUSD (vBUSD) Team<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#Official_Links\" title=\"Official Links\">Official Links<\/a><\/li><\/ul><\/nav><\/div>\n<h2 data-start=\"581\" data-end=\"612\"><span class=\"ez-toc-section\" id=\"What_Is_Venus_BUSD_vBUSD\"><\/span>What Is Venus BUSD (vBUSD)?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p data-start=\"614\" data-end=\"995\"><strong>Venus BUSD (vBUSD)<\/strong> is the interest-bearing token of the Venus Protocol, operating on Binance Smart Chain (BSC). When users deposit BUSD into Venus, they receive vBUSD in return\u2014this token represents the liquidity they have supplied to the protocol. As interest accrues in the market, the value of vBUSD increases, allowing users to withdraw more BUSD than they initially deposited.<\/p>\n<p data-start=\"997\" data-end=\"1276\">Because the system is fully operated through smart contracts, users can earn yield without relying on any centralized authority. Venus also enables borrowing against deposited collateral, making vBUSD both a yield-generating asset and a liquidity tool within the Venus ecosystem.<\/p>\n<p data-start=\"997\" data-end=\"1276\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-181144 aligncenter\" src=\"https:\/\/coinmuhendisi.com\/blog\/wp-content\/uploads\/2025\/11\/venus-busd-vbusd.png\" alt=\"\" width=\"1360\" height=\"621\" \/><\/p>\n<h2 data-start=\"1283\" data-end=\"1315\"><span class=\"ez-toc-section\" id=\"How_Does_Venus_Protocol_Work\"><\/span>How Does Venus Protocol Work?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p data-start=\"1317\" data-end=\"1402\">Venus operates as a decentralized marketplace for lending and borrowing on BNB Chain.<\/p>\n<p data-start=\"1404\" data-end=\"1414\">Users can:<\/p>\n<ul data-start=\"1416\" data-end=\"1509\">\n<li data-start=\"1416\" data-end=\"1451\">\n<p data-start=\"1418\" data-end=\"1451\">Deposit assets to earn interest<\/p>\n<\/li>\n<li data-start=\"1452\" data-end=\"1509\">\n<p data-start=\"1454\" data-end=\"1509\">Use those assets as collateral to borrow other tokens<\/p>\n<\/li>\n<\/ul>\n<p data-start=\"1511\" data-end=\"1821\">All deposited funds remain in smart contracts, and users receive vTokens representing their positions. These vTokens can be redeemed at any time. While the platform is permissionless, it is not risk-free; smart contract vulnerabilities and liquidation risks exist, although the code is open-source and audited.<\/p>\n<h2 data-start=\"1828\" data-end=\"1867\"><span class=\"ez-toc-section\" id=\"Key_Innovations_in_Venus_Protocol_V4\"><\/span>Key Innovations in Venus Protocol V4<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3 data-start=\"1869\" data-end=\"1892\"><span class=\"ez-toc-section\" id=\"Risk_Management\"><\/span>Risk Management<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul data-start=\"1894\" data-end=\"2224\">\n<li data-start=\"1894\" data-end=\"2013\">\n<p data-start=\"1896\" data-end=\"2013\">Isolated Pools: Each pool has independent risk parameters, preventing issues in one pool from affecting others.<\/p>\n<\/li>\n<li data-start=\"2014\" data-end=\"2139\">\n<p data-start=\"2016\" data-end=\"2139\">Advanced parameter controls: Collateral factors, liquidation thresholds, and borrow rates are managed more precisely.<\/p>\n<\/li>\n<li data-start=\"2140\" data-end=\"2224\">\n<p data-start=\"2142\" data-end=\"2224\">Risk Fund: Each isolated pool maintains a fund dedicated to covering bad debt.<\/p>\n<\/li>\n<\/ul>\n<h3 data-start=\"2226\" data-end=\"2263\"><span class=\"ez-toc-section\" id=\"Decentralization_Enhancements\"><\/span>Decentralization Enhancements<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul data-start=\"2265\" data-end=\"2426\">\n<li data-start=\"2265\" data-end=\"2426\">\n<p data-start=\"2267\" data-end=\"2304\">A new governance framework featuring:<\/p>\n<ul data-start=\"2307\" data-end=\"2426\">\n<li data-start=\"2307\" data-end=\"2360\">\n<p data-start=\"2309\" data-end=\"2360\">Faster VIP (Venus Improvement Proposal) execution<\/p>\n<\/li>\n<li data-start=\"2363\" data-end=\"2389\">\n<p data-start=\"2365\" data-end=\"2389\">Role-based permissions<\/p>\n<\/li>\n<li data-start=\"2392\" data-end=\"2426\">\n<p data-start=\"2394\" data-end=\"2426\">More granular pause mechanisms<\/p>\n<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h3 data-start=\"2428\" data-end=\"2460\"><span class=\"ez-toc-section\" id=\"Improved_User_Experience\"><\/span>Improved User Experience<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul data-start=\"2462\" data-end=\"2633\">\n<li data-start=\"2462\" data-end=\"2481\">\n<p data-start=\"2464\" data-end=\"2481\">A redesigned UI<\/p>\n<\/li>\n<li data-start=\"2482\" data-end=\"2520\">\n<p data-start=\"2484\" data-end=\"2520\">More efficient reward distribution<\/p>\n<\/li>\n<li data-start=\"2521\" data-end=\"2561\">\n<p data-start=\"2523\" data-end=\"2561\">Support for isolated lending markets<\/p>\n<\/li>\n<li data-start=\"2562\" data-end=\"2633\">\n<p data-start=\"2564\" data-end=\"2633\">Upcoming features: fixed-rate borrowing and Venus Prime SBT program<\/p>\n<\/li>\n<\/ul>\n<h2 data-start=\"2640\" data-end=\"2665\"><span class=\"ez-toc-section\" id=\"Resilient_Price_Oracle\"><\/span>Resilient Price Oracle<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p data-start=\"2667\" data-end=\"2720\">V4 introduces a new multi-source oracle system.<br data-start=\"2714\" data-end=\"2717\" \/>It:<\/p>\n<ul data-start=\"2722\" data-end=\"2872\">\n<li data-start=\"2722\" data-end=\"2767\">\n<p data-start=\"2724\" data-end=\"2767\">Aggregates data from multiple price feeds<\/p>\n<\/li>\n<li data-start=\"2768\" data-end=\"2817\">\n<p data-start=\"2770\" data-end=\"2817\">Reduces susceptibility to market manipulation<\/p>\n<\/li>\n<li data-start=\"2818\" data-end=\"2872\">\n<p data-start=\"2820\" data-end=\"2872\">Allows per-token oracle activation or deactivation<\/p>\n<\/li>\n<\/ul>\n<h2 data-start=\"2879\" data-end=\"2896\"><span class=\"ez-toc-section\" id=\"Isolated_Pools\"><\/span>Isolated Pools<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p data-start=\"2898\" data-end=\"2986\">Isolated pools operate independently with their own risk settings.<br data-start=\"2964\" data-end=\"2967\" \/>Advantages include:<\/p>\n<ul data-start=\"2988\" data-end=\"3118\">\n<li data-start=\"2988\" data-end=\"3024\">\n<p data-start=\"2990\" data-end=\"3024\">Containing risk within each pool<\/p>\n<\/li>\n<li data-start=\"3025\" data-end=\"3067\">\n<p data-start=\"3027\" data-end=\"3067\">Allowing users to choose risk profiles<\/p>\n<\/li>\n<li data-start=\"3068\" data-end=\"3118\">\n<p data-start=\"3070\" data-end=\"3118\">Customizable reward structures for each market<\/p>\n<\/li>\n<\/ul>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-181148 aligncenter\" src=\"https:\/\/coinmuhendisi.com\/blog\/wp-content\/uploads\/2025\/11\/izole.avif\" alt=\"\" width=\"768\" height=\"464\" \/><\/p>\n<h2 data-start=\"3125\" data-end=\"3152\"><span class=\"ez-toc-section\" id=\"E-Mode_Efficiency_Mode\"><\/span>E-Mode (Efficiency Mode)<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p data-start=\"3154\" data-end=\"3208\">A new optimization system for the BNB Chain Core Pool.<\/p>\n<p data-start=\"3210\" data-end=\"3216\">Goals:<\/p>\n<ul data-start=\"3218\" data-end=\"3393\">\n<li data-start=\"3218\" data-end=\"3290\">\n<p data-start=\"3220\" data-end=\"3290\">Improve capital efficiency for stablecoins and ETH-correlated assets<\/p>\n<\/li>\n<li data-start=\"3291\" data-end=\"3355\">\n<p data-start=\"3293\" data-end=\"3355\">Provide higher collateral factors and liquidation thresholds<\/p>\n<\/li>\n<li data-start=\"3356\" data-end=\"3393\">\n<p data-start=\"3358\" data-end=\"3393\">Offer lower liquidation penalties<\/p>\n<\/li>\n<\/ul>\n<p data-start=\"3395\" data-end=\"3498\">Users remain in the core pool by default but can opt into an E-Mode pool for better capital efficiency.<\/p>\n<p data-start=\"3395\" data-end=\"3498\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-181146 aligncenter\" src=\"https:\/\/coinmuhendisi.com\/blog\/wp-content\/uploads\/2025\/11\/e-mode.png\" alt=\"\" width=\"431\" height=\"502\" \/><\/p>\n<h2 data-start=\"3505\" data-end=\"3532\"><span class=\"ez-toc-section\" id=\"Venus_Reward_Distributor\"><\/span>Venus Reward Distributor<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p data-start=\"3534\" data-end=\"3581\">The upgraded reward mechanism enables Venus to:<\/p>\n<ul data-start=\"3583\" data-end=\"3706\">\n<li data-start=\"3583\" data-end=\"3616\">\n<p data-start=\"3585\" data-end=\"3616\">Distribute rewards per market<\/p>\n<\/li>\n<li data-start=\"3617\" data-end=\"3666\">\n<p data-start=\"3619\" data-end=\"3666\">Support multiple reward tokens simultaneously<\/p>\n<\/li>\n<li data-start=\"3667\" data-end=\"3706\">\n<p data-start=\"3669\" data-end=\"3706\">Reward both suppliers and borrowers<\/p>\n<\/li>\n<\/ul>\n<p data-start=\"3708\" data-end=\"3774\">Users can claim rewards from any market with a single transaction.<\/p>\n<h2 data-start=\"3781\" data-end=\"3810\"><span class=\"ez-toc-section\" id=\"Peg_Stability_Module_PSM\"><\/span>Peg Stability Module (PSM)<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p data-start=\"3812\" data-end=\"3894\">The PSM is designed to maintain VAI\u2019s peg to 1 USD, similar to MakerDAO\u2019s DAI-PSM.<\/p>\n<p data-start=\"3896\" data-end=\"3912\">Through the PSM:<\/p>\n<ul data-start=\"3914\" data-end=\"4071\">\n<li data-start=\"3914\" data-end=\"3957\">\n<p data-start=\"3916\" data-end=\"3957\">Users can swap VAI \u2194 USDT at a 1:1 rate<\/p>\n<\/li>\n<li data-start=\"3958\" data-end=\"4012\">\n<p data-start=\"3960\" data-end=\"4012\">Fees (feeIn \/ feeOut) are determined by governance<\/p>\n<\/li>\n<li data-start=\"4013\" data-end=\"4071\">\n<p data-start=\"4015\" data-end=\"4071\">Excess VAI is burned and fees are sent to the treasury<\/p>\n<\/li>\n<\/ul>\n<p data-start=\"4073\" data-end=\"4141\">Conversions use oracle price data, ensuring accurate exchange rates.<\/p>\n<p data-start=\"4073\" data-end=\"4141\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-181147 aligncenter\" src=\"https:\/\/coinmuhendisi.com\/blog\/wp-content\/uploads\/2025\/11\/peg.png\" alt=\"\" width=\"713\" height=\"428\" \/><\/p>\n<h2 data-start=\"4148\" data-end=\"4175\"><span class=\"ez-toc-section\" id=\"Venus_vBUSD_Tokenomics\"><\/span>Venus (vBUSD) Tokenomics<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3 data-start=\"4177\" data-end=\"4213\"><span class=\"ez-toc-section\" id=\"XVS_Token_Governance_Staking\"><\/span>XVS Token (Governance + Staking)<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p data-start=\"4215\" data-end=\"4267\">Protocol Revenue Allocation (PROTOCOL_RESERVES):<\/p>\n<ul data-start=\"4269\" data-end=\"4363\">\n<li data-start=\"4269\" data-end=\"4286\">\n<p data-start=\"4271\" data-end=\"4286\">Treasury: 15%<\/p>\n<\/li>\n<li data-start=\"4287\" data-end=\"4305\">\n<p data-start=\"4289\" data-end=\"4305\">XVS Vault: 20%<\/p>\n<\/li>\n<li data-start=\"4306\" data-end=\"4326\">\n<p data-start=\"4308\" data-end=\"4326\">Venus Prime: 20%<\/p>\n<\/li>\n<li data-start=\"4327\" data-end=\"4345\">\n<p data-start=\"4329\" data-end=\"4345\">Risk Fund: 20%<\/p>\n<\/li>\n<li data-start=\"4346\" data-end=\"4363\">\n<p data-start=\"4348\" data-end=\"4363\">BNB Burn: 25%<\/p>\n<\/li>\n<\/ul>\n<p data-start=\"4365\" data-end=\"4409\">Additional Revenue (e.g., liquidations):<\/p>\n<ul data-start=\"4411\" data-end=\"4484\">\n<li data-start=\"4411\" data-end=\"4428\">\n<p data-start=\"4413\" data-end=\"4428\">Treasury: 35%<\/p>\n<\/li>\n<li data-start=\"4429\" data-end=\"4447\">\n<p data-start=\"4431\" data-end=\"4447\">XVS Vault: 20%<\/p>\n<\/li>\n<li data-start=\"4448\" data-end=\"4466\">\n<p data-start=\"4450\" data-end=\"4466\">Risk Fund: 20%<\/p>\n<\/li>\n<li data-start=\"4467\" data-end=\"4484\">\n<p data-start=\"4469\" data-end=\"4484\">BNB Burn: 25%<\/p>\n<\/li>\n<\/ul>\n<p data-start=\"4486\" data-end=\"4554\">Base XVS Vault Rewards: 308.7 XVS per day (reset every 6 months)<\/p>\n<p data-start=\"4486\" data-end=\"4554\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-181145 aligncenter\" src=\"https:\/\/coinmuhendisi.com\/blog\/wp-content\/uploads\/2025\/11\/vbusd-tokenomics.png\" alt=\"\" width=\"810\" height=\"482\" \/><\/p>\n<h2 data-start=\"4561\" data-end=\"4579\"><span class=\"ez-toc-section\" id=\"Token_Converter\"><\/span>Token Converter<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p data-start=\"4581\" data-end=\"4631\">A fully on-chain automated conversion system that:<\/p>\n<ul data-start=\"4633\" data-end=\"4799\">\n<li data-start=\"4633\" data-end=\"4655\">\n<p data-start=\"4635\" data-end=\"4655\">Works autonomously<\/p>\n<\/li>\n<li data-start=\"4656\" data-end=\"4719\">\n<p data-start=\"4658\" data-end=\"4719\">Continuously channels protocol revenue into selected tokens<\/p>\n<\/li>\n<li data-start=\"4720\" data-end=\"4763\">\n<p data-start=\"4722\" data-end=\"4763\">Creates natural arbitrage opportunities<\/p>\n<\/li>\n<li data-start=\"4764\" data-end=\"4799\">\n<p data-start=\"4766\" data-end=\"4799\">Operates transparently on-chain<\/p>\n<\/li>\n<\/ul>\n<h2 data-start=\"4806\" data-end=\"4829\"><span class=\"ez-toc-section\" id=\"What_Is_Venus_Prime\"><\/span>What Is Venus Prime?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p data-start=\"4831\" data-end=\"4892\">Venus Prime is a new incentive model for users who stake XVS.<\/p>\n<p data-start=\"4894\" data-end=\"4903\">Features:<\/p>\n<ul data-start=\"4905\" data-end=\"5021\">\n<li data-start=\"4905\" data-end=\"4952\">\n<p data-start=\"4907\" data-end=\"4952\">Rewards come entirely from protocol revenue<\/p>\n<\/li>\n<li data-start=\"4953\" data-end=\"5021\">\n<p data-start=\"4955\" data-end=\"5021\">Stakers receive a Soulbound Token (SBT) that boosts reward rates<\/p>\n<\/li>\n<\/ul>\n<h3 data-start=\"5023\" data-end=\"5044\"><span class=\"ez-toc-section\" id=\"Prime_Token_Types\"><\/span>Prime Token Types<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p data-start=\"5046\" data-end=\"5071\">Revocable Prime Token<\/p>\n<ul data-start=\"5073\" data-end=\"5230\">\n<li data-start=\"5073\" data-end=\"5123\">\n<p data-start=\"5075\" data-end=\"5123\">Requires staking at least 1000 XVS for 90 days<\/p>\n<\/li>\n<li data-start=\"5124\" data-end=\"5148\">\n<p data-start=\"5126\" data-end=\"5148\">Minted after 90 days<\/p>\n<\/li>\n<li data-start=\"5149\" data-end=\"5198\">\n<p data-start=\"5151\" data-end=\"5198\">Burned if the staked balance drops below 1000<\/p>\n<\/li>\n<li data-start=\"5199\" data-end=\"5230\">\n<p data-start=\"5201\" data-end=\"5230\">Max supply: 500 (BNB Chain)<\/p>\n<\/li>\n<\/ul>\n<p data-start=\"5232\" data-end=\"5264\">Irrevocable (OG) Prime Token<\/p>\n<ul data-start=\"5266\" data-end=\"5308\">\n<li data-start=\"5266\" data-end=\"5308\">\n<p data-start=\"5268\" data-end=\"5308\">Will be introduced in the second phase<\/p>\n<\/li>\n<\/ul>\n<h3 data-start=\"5310\" data-end=\"5340\"><span class=\"ez-toc-section\" id=\"Reward_Calculation_Formula\"><\/span>Reward Calculation Formula<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p data-start=\"5342\" data-end=\"5421\">Rewards are determined using a simplified Cobb\u2013Douglas function that considers:<\/p>\n<ul data-start=\"5423\" data-end=\"5536\">\n<li data-start=\"5423\" data-end=\"5444\">\n<p data-start=\"5425\" data-end=\"5444\">User\u2019s staked XVS<\/p>\n<\/li>\n<li data-start=\"5445\" data-end=\"5475\">\n<p data-start=\"5447\" data-end=\"5475\">Borrowing\/lending activity<\/p>\n<\/li>\n<li data-start=\"5476\" data-end=\"5498\">\n<p data-start=\"5478\" data-end=\"5498\">Market multipliers<\/p>\n<\/li>\n<li data-start=\"5499\" data-end=\"5536\">\n<p data-start=\"5501\" data-end=\"5536\">Protocol-wide performance metrics<\/p>\n<\/li>\n<\/ul>\n<h2 data-start=\"5543\" data-end=\"5569\"><span class=\"ez-toc-section\" id=\"Venus_BUSD_vBUSD_Team\"><\/span>Venus BUSD (vBUSD) Team<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p data-start=\"5571\" data-end=\"5956\">The driving force behind Venus BUSD is Joselito Lizarondo, a well-known entrepreneur in the crypto and DeFi ecosystem. Joselito entered the industry through Bitcoin mining and OTC trading before founding Swipe in 2018\u2014a platform that enabled real-time crypto-to-fiat spending via Visa cards and quickly scaled globally, eventually leading to its acquisition by Binance in 2020.<\/p>\n<p data-start=\"5958\" data-end=\"6287\">During this period, he also launched Venus Protocol, which became one of the core lending infrastructures on BNB Chain. With extensive experience building both centralized and decentralized systems, Joselito continues to advise various projects and advocates for a future shaped by open finance and user-centric technologies.<\/p>\n<p data-start=\"5958\" data-end=\"6287\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-181143 aligncenter\" src=\"https:\/\/coinmuhendisi.com\/blog\/wp-content\/uploads\/2025\/11\/venus-vbusd.png\" alt=\"\" width=\"1188\" height=\"408\" \/><\/p>\n<h2 data-start=\"5958\" data-end=\"6287\"><span class=\"ez-toc-section\" id=\"Official_Links\"><\/span>Official Links<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li><a href=\"https:\/\/app.venus.io\/\">Website<\/a><\/li>\n<li><a href=\"https:\/\/x.com\/VenusProtocol\">X (Twitter)<\/a><\/li>\n<li><a href=\"https:\/\/docs-v4.venus.io\/\">Whitepaper<\/a><\/li>\n<\/ul>\n<p><script type=\"text\/javascript\" src=\"https:\/\/files.coinmarketcap.com\/static\/widget\/currency.js\"><\/script><\/p>\n<div class=\"coinmarketcap-currency-widget\" data-currencyid=\"7959\" data-base=\"USD\" data-secondary=\"\" data-ticker=\"true\" data-rank=\"true\" data-marketcap=\"true\" data-volume=\"true\" data-statsticker=\"true\" data-stats=\"USD\"><\/div>\n<p>&nbsp;<\/p>\n<p>You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don\u2019t forget to follow us on our\u00a0<a class=\"darkmysite_style_txt_border darkmysite_style_link darkmysite_processed\" href=\"https:\/\/t.me\/coinengineernews\" target=\"_blank\" rel=\"noreferrer noopener nofollow\" data-darkmysite_alpha_bg=\"rgba(0, 0, 0, 0)\">Telegram,\u00a0<\/a><a class=\"darkmysite_style_txt_border darkmysite_style_link darkmysite_processed\" href=\"https:\/\/www.youtube.com\/@CoinEngineer\" target=\"_blank\" rel=\"noreferrer noopener nofollow\" data-darkmysite_alpha_bg=\"rgba(0, 0, 0, 0)\">YouTube<\/a>,\u00a0and\u00a0<a class=\"darkmysite_style_txt_border darkmysite_style_link darkmysite_processed\" href=\"https:\/\/twitter.com\/coinengineers\" target=\"_blank\" rel=\"nofollow noopener\" data-darkmysite_alpha_bg=\"rgba(0, 0, 0, 0)\">Twitter<\/a>\u00a0channels for\u00a0the latest\u00a0<a class=\"darkmysite_style_txt_border darkmysite_style_link darkmysite_processed\" title=\"News\" href=\"https:\/\/coinengineer.net\/blog\/news\/\" data-internallinksmanager029f6b8e52c=\"7\" data-darkmysite_alpha_bg=\"rgba(0, 0, 0, 0)\">news<\/a>\u00a0and updates.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Venus Protocol is a decentralized lending and stablecoin platform that launched on BNB Chain in 2020. By combining Maker\u2019s collateral-backed stablecoin model with Compound\u2019s algorithmic money markets, Venus introduced an accessible and efficient DeFi structure. Thanks to this hybrid design, it quickly became one of the most widely used applications in the Web3 ecosystem. What<\/p>\n","protected":false},"author":29,"featured_media":56309,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[18,5],"tags":[11772,488,25397,25398,25396,25395],"class_list":["post-56295","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-altcoin-projects","category-project-review","tag-rate","tag-stablecoin","tag-vbusd-coin","tag-vbusd-token","tag-venus","tag-what-is-venus-busd-vbusd"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.6 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>What Is Venus BUSD (vBUSD)? - Coin Engineer<\/title>\n<meta name=\"description\" content=\"Venus BUSD (vBUSD) is the interest-bearing token of the Venus Protocol, operating on Binance Smart Chain (BSC).\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"What Is Venus BUSD (vBUSD)? - Coin Engineer\" \/>\n<meta property=\"og:description\" content=\"Venus BUSD (vBUSD) is the interest-bearing token of the Venus Protocol, operating on Binance Smart Chain (BSC).\" \/>\n<meta property=\"og:url\" content=\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/\" \/>\n<meta property=\"og:site_name\" content=\"Coin Engineer\" \/>\n<meta property=\"article:published_time\" content=\"2025-11-07T15:00:54+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-11-07T09:50:44+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/coinengineer.net\/blog\/wp-content\/uploads\/2025\/11\/what-is-venus-vbusd.png\" \/>\n\t<meta property=\"og:image:width\" content=\"1920\" \/>\n\t<meta property=\"og:image:height\" content=\"1080\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Emre Yumlu\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Emre Yumlu\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"6 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/\",\"url\":\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/\",\"name\":\"What Is Venus BUSD (vBUSD)? - Coin Engineer\",\"isPartOf\":{\"@id\":\"https:\/\/coinengineer.net\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/coinengineer.net\/blog\/wp-content\/uploads\/2025\/11\/what-is-venus-vbusd.png\",\"datePublished\":\"2025-11-07T15:00:54+00:00\",\"dateModified\":\"2025-11-07T09:50:44+00:00\",\"author\":{\"@id\":\"https:\/\/coinengineer.net\/blog\/#\/schema\/person\/f99e7d0d5039cb3b36bd759a12c1216c\"},\"description\":\"Venus BUSD (vBUSD) is the interest-bearing token of the Venus Protocol, operating on Binance Smart Chain (BSC).\",\"breadcrumb\":{\"@id\":\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#primaryimage\",\"url\":\"https:\/\/coinengineer.net\/blog\/wp-content\/uploads\/2025\/11\/what-is-venus-vbusd.png\",\"contentUrl\":\"https:\/\/coinengineer.net\/blog\/wp-content\/uploads\/2025\/11\/what-is-venus-vbusd.png\",\"width\":1920,\"height\":1080},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/coinengineer.net\/blog\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"What Is Venus BUSD (vBUSD)?\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/coinengineer.net\/blog\/#website\",\"url\":\"https:\/\/coinengineer.net\/blog\/\",\"name\":\"Coin Engineer\",\"description\":\"Btc, Coins, Pre-Sale, DeFi, NFT\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/coinengineer.net\/blog\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/coinengineer.net\/blog\/#\/schema\/person\/f99e7d0d5039cb3b36bd759a12c1216c\",\"name\":\"Emre Yumlu\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/coinengineer.net\/blog\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/3618e7041e2880ae9fdfeec9b77592ba6e9417ff89cfe4db07e0d1687a477d7b?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/3618e7041e2880ae9fdfeec9b77592ba6e9417ff89cfe4db07e0d1687a477d7b?s=96&d=mm&r=g\",\"caption\":\"Emre Yumlu\"},\"url\":\"https:\/\/coinengineer.net\/blog\/author\/ceemre\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"What Is Venus BUSD (vBUSD)? - Coin Engineer","description":"Venus BUSD (vBUSD) is the interest-bearing token of the Venus Protocol, operating on Binance Smart Chain (BSC).","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/","og_locale":"en_US","og_type":"article","og_title":"What Is Venus BUSD (vBUSD)? - Coin Engineer","og_description":"Venus BUSD (vBUSD) is the interest-bearing token of the Venus Protocol, operating on Binance Smart Chain (BSC).","og_url":"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/","og_site_name":"Coin Engineer","article_published_time":"2025-11-07T15:00:54+00:00","article_modified_time":"2025-11-07T09:50:44+00:00","og_image":[{"width":1920,"height":1080,"url":"https:\/\/coinengineer.net\/blog\/wp-content\/uploads\/2025\/11\/what-is-venus-vbusd.png","type":"image\/png"}],"author":"Emre Yumlu","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Emre Yumlu","Est. reading time":"6 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/","url":"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/","name":"What Is Venus BUSD (vBUSD)? - Coin Engineer","isPartOf":{"@id":"https:\/\/coinengineer.net\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#primaryimage"},"image":{"@id":"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#primaryimage"},"thumbnailUrl":"https:\/\/coinengineer.net\/blog\/wp-content\/uploads\/2025\/11\/what-is-venus-vbusd.png","datePublished":"2025-11-07T15:00:54+00:00","dateModified":"2025-11-07T09:50:44+00:00","author":{"@id":"https:\/\/coinengineer.net\/blog\/#\/schema\/person\/f99e7d0d5039cb3b36bd759a12c1216c"},"description":"Venus BUSD (vBUSD) is the interest-bearing token of the Venus Protocol, operating on Binance Smart Chain (BSC).","breadcrumb":{"@id":"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#primaryimage","url":"https:\/\/coinengineer.net\/blog\/wp-content\/uploads\/2025\/11\/what-is-venus-vbusd.png","contentUrl":"https:\/\/coinengineer.net\/blog\/wp-content\/uploads\/2025\/11\/what-is-venus-vbusd.png","width":1920,"height":1080},{"@type":"BreadcrumbList","@id":"https:\/\/coinengineer.net\/blog\/what-is-venus-busd-vbusd\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/coinengineer.net\/blog\/"},{"@type":"ListItem","position":2,"name":"What Is Venus BUSD (vBUSD)?"}]},{"@type":"WebSite","@id":"https:\/\/coinengineer.net\/blog\/#website","url":"https:\/\/coinengineer.net\/blog\/","name":"Coin Engineer","description":"Btc, Coins, Pre-Sale, DeFi, NFT","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/coinengineer.net\/blog\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/coinengineer.net\/blog\/#\/schema\/person\/f99e7d0d5039cb3b36bd759a12c1216c","name":"Emre Yumlu","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/coinengineer.net\/blog\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/3618e7041e2880ae9fdfeec9b77592ba6e9417ff89cfe4db07e0d1687a477d7b?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/3618e7041e2880ae9fdfeec9b77592ba6e9417ff89cfe4db07e0d1687a477d7b?s=96&d=mm&r=g","caption":"Emre Yumlu"},"url":"https:\/\/coinengineer.net\/blog\/author\/ceemre\/"}]}},"_links":{"self":[{"href":"https:\/\/coinengineer.net\/blog\/wp-json\/wp\/v2\/posts\/56295","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinengineer.net\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinengineer.net\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinengineer.net\/blog\/wp-json\/wp\/v2\/users\/29"}],"replies":[{"embeddable":true,"href":"https:\/\/coinengineer.net\/blog\/wp-json\/wp\/v2\/comments?post=56295"}],"version-history":[{"count":2,"href":"https:\/\/coinengineer.net\/blog\/wp-json\/wp\/v2\/posts\/56295\/revisions"}],"predecessor-version":[{"id":56297,"href":"https:\/\/coinengineer.net\/blog\/wp-json\/wp\/v2\/posts\/56295\/revisions\/56297"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinengineer.net\/blog\/wp-json\/wp\/v2\/media\/56309"}],"wp:attachment":[{"href":"https:\/\/coinengineer.net\/blog\/wp-json\/wp\/v2\/media?parent=56295"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinengineer.net\/blog\/wp-json\/wp\/v2\/categories?post=56295"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinengineer.net\/blog\/wp-json\/wp\/v2\/tags?post=56295"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}