First published 28 February 2021, the day after the protocol was reported in use. Expanded in October 2026 so a self-repaying loan is not described as a dollar in the bank. alUSD is a token that tries to stay near one US dollar. Alchemix mints it against a deposit. At launch that deposit was Dai, and the most you could mint was half of what you put in. What is Dai (DAI)? is that other token. alUSD is not Dai. The deposited Dai was sent into Yearn to earn yield, and the yield was supposed to pay the debt down over time. The early project used the name Scoopy Trooples. A self-repaying loan is a slogan. Yield can be smaller than the story, and the collateral sits in the protocol, not in your wallet.
The launch contract set a debt ceiling of 50 million alUSD. The team said a multisig could raise it after a wait. A ceiling a key can lift is not a fixed supply. There is a separate governance token, ALCX. This page is alUSD. Holding alUSD is not a vote, and it is not a claim that the debt has already been paid.
You can repay with alUSD or Dai, or leave the position. Those are the exits the launch post named. This page will not walk through one. ETH pays the fee. alUSD does not. Stablecoins: useful, not magic is the category, and this one is synthetic. Nothing here is an instruction to borrow, to stake the token, or to buy alUSD.
