Lorenzo's sUSD 1+ showcased its resilience during the extreme market volatility on October 11, 2025, when over $190 billion in crypto positions were liquidated. The volatility was sparked by Trump's unexpected 100% tariff proposal on China, leading to liquidity crunches and forced deleveraging across perpetual markets. Despite the turmoil, Lorenzo's sUSD 1+ maintained stable returns, achieving a daily yield of approximately 1.1% and a 7-day average APR exceeding 50%.
The product's success is attributed to its engineered risk controls and a strategy that combines market-making spreads, basis trading, and funding fees into a unified on-chain fund model. This approach allows sUSD 1+ to monetize volatility through structured cash flows, ensuring principal protection and consistent performance regardless of market conditions.
Lorenzo's sUSD 1+ Delivers Stable Returns Amid Market Turmoil
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