Bucket Protocol BUCK Stablecoin (BUCK)

Bucket Protocol follows the CDP model used by several major DeFi lending and stablecoin systems. Users lock assets into smart contracts and can borrow BUCK up to a limit determined by collateral requirements. The supported collateral set includes assets such as SUI, Bitcoin, Ethereum, and liquid staking tokens, giving users a way to access liquidity without immediately selling their holdings. Because BUCK is over-collateralised, the value of deposited collateral is intended to exceed the amount of stablecoin issued, helping protect the system against market volatility.

BUCK’s role is to provide a stable unit of account and medium of exchange within the Sui ecosystem. Stablecoins are widely used in DeFi for trading, lending, liquidity provision, payments, and risk management because they reduce exposure to the price swings of native crypto assets. On Sui, BUCK is positioned as a native stablecoin option backed by on-chain collateral rather than by traditional bank deposits.

The stability and usefulness of BUCK depend on the design of Bucket Protocol, the quality and liquidity of its collateral, liquidation mechanisms, and adoption by Sui-based applications. It is not an equity instrument; it is a crypto stablecoin whose main purpose is to maintain a stable value while enabling collateral-backed borrowing on-chain.