Reservoir Protocol

Rejected venues wait the longest for re-review; a rejection has to earn another look before the scheduled date.

Reservoir is a stablecoin protocol on Ethereum issuing rUSD, a yielding version srUSD, and a term-based version trUSD, with yield drawn in part from real-world assets. At $50M TVL at the 2026-08-14 survey it sits at half our $100M materiality line. Rejected on size: an advisory book moved into a venue this size on the same research becomes the exit crush, whatever the protocol’s quality. If it crosses the line and holds, the reopened memo would need to establish what backs each of the three tokens and how fast that backing can be liquidated when holders redeem.

Kill criteria: the events that revoke this verdict
• TVL sustained above $100M for 30 days

The research file

Mechanism applicability

Reservoir documentation describes a protocol balance sheet funded by rUSD, with holders able to place rUSD into savings forms srUSD or wsrUSD or fixed-maturity trUSD. Governance can allocate backing to DeFi protocols, money markets, crypto-backed loans, market-making and real-world assets. That asset-liability structure establishes stablecoin and yield-protocol membership. It does not establish reserve quality, legal recourse, governance safety or the suitability of any token.

Current observation and scope

The DefiLlama protocol API read on 2026-08-15 showed about $33.2M of tracked TVL across Reservoir’s listed deployments, below the shared v1 dossier’s $100M gate. The API’s broader current chain list also shows why this application should not be mistaken for deployment-by-deployment diligence. Asset adapters, reserve composition and duration, governance and upgrade roles, audits, incidents and chain reachability remain expressly unverified.

Exit applicability

Reservoir says rUSD redemption into approved stable collateral is routed through a peg-stability module, savings-token redemption is available only up to PSM liquidity, and trUSD returns to rUSD after its maturity. The protocol’s own risk disclosure says reserve value and 1:1 redemption capacity are not guaranteed. Those differentiated exits make balance-sheet liquidity and maturity directly relevant, while current TVL means an advised sleeve could be material to the available PSM or venue liquidity.

Why the class rule decides

The shared v1 below-materiality dossier controls this application before an individual reserve review is warranted. Reopen only after a reproducible survey shows at least $100M of protocol TVL continuously for 30 days. The reopened file must then verify live collateral and legal ownership, governance and adapter controls, security and incident history, PSM depth, reserve duration, and stressed exits for rUSD, srUSD and each trUSD maturity. Crossing the threshold would trigger that work, not confer approval.

Sources

The claims above trace to these. Where a number could not be independently verified, the thesis says so.

• Reservoir Docs — proof of reserves and token liabilities · primary · accessed 2026-08-15
  Supports: reserve assets, rUSD, srUSD, trUSD, PSM redemption, governance allocation
• Reservoir Docs — protocol risk factors · primary · accessed 2026-08-15
  Supports: reserve risk, redemption limits, 1:1 redemption uncertainty, foundation relationship
• DefiLlama — Reservoir Protocol survey record · secondary · accessed 2026-08-15
  Supports: current TVL, chains, CDP category

Inherited controls

The verdict above grades the protocol layer. Every position also inherits the asset it holds and the chain it settles on. The least safe layer sets the position’s grade, and the position table names which one that is.