Evolve
About
Evolve issues eUSD, a yield-bearing stablecoin on the SEI blockchain whose token price auto-compounds returns from a diversified portfolio of real-world asset (RWA) yield, AI infrastructure cashflow opportunities, and SEI-native lending yields. Designed for capital allocators, DAO treasuries, DeFi power users, and distribution partners, eUSD is a fully transferable token meant to serve as programmable, composable money that can be used as collateral in DeFi, lent, or integrated into partner "Earn" experiences without rebuilding a full product stack.
Where Does Yield Come From?
The yield on eUSD comes from three separate sources:
- Real-world asset (RWA) yield — returns from loans or investments backed by physical-world assets. The specific structure and who you are lending to is shared where possible.
- AI infrastructure yield — cash flows from deals involving computing power or data-center capacity, again through named strategies and partners.
- SEI lending yield tokens — interest earned from lending on the SEI blockchain. Right now this works through ForDeFi vaults that lend into Yei Finance.
How you see the yield: You do not receive regular interest payments. Instead, eUSD's token price rises over time (its "net asset value," or NAV, goes up), which means the value of each token grows.
How NAV updates work: If the NAV goes up (good news), that increase is spread out over a defined period (called an epoch) to prevent people from jumping in just before the gain. If the NAV goes down (bad news), that drop applies immediately. When you redeem, you get whichever is lower: the current NAV or the end-of-epoch NAV.
Minting and redeeming: To create eUSD, you deposit a supported asset like USDC at the current NAV. When you want to cash out, your redemption enters a RedeemQueue (you can cancel before it processes). The eUSD is then burned, and the underlying asset is paid out.
Fees: Evolve charges a 1% annual management fee on the total eUSD in circulation. The APY you see displayed already subtracts this fee.
Safety structure: The portfolio sits in a bankruptcy-remote vault — a legally separate container so that eUSD holder claims are kept apart from Evolve's own general assets.
Audits
| Audit / Date | Findings | Verdict |
|---|---|---|
Sherlock14-01-2026 |
| The audit reveals several critical and high-severity vulnerabilities including a NAV vesting exploit enabling user dilution and Chainlink sequencer integration flaws causing potential DoS; most issues appear to have been addressed (marked RESOLVED) but the severity profile warrants careful verification of all remediations before mainnet deployment. |
Cyfrin26-05-2025 - 27-05-2025 |
| The audit found no high or medium severity issues; the codebase was well-designed and thoroughly tested, with one low-risk finding (acknowledged, not currently exploitable) and three informational items. The post-deployment critical over-minting incident was resolved outside the audit period and does not reflect on the reviewed code quality. |
Cyfrin26-05-2025 - 27-05-2025 |
| The audit found no critical, high, or medium severity issues within the defined scope, and the one low-risk finding was acknowledged with no current fee impact, indicating the codebase was well-structured and thoroughly tested. |
Cyfrin24-04-2025 |
| The two critical CCIP vulnerabilities and the high-severity ownership bug were particularly severe but all have been resolved, significantly reducing risk; however, the protocol remains subject to centralization risks due to multisig-operated core operations and off-chain services, as highlighted by the auditors. |
Cyfrin01-04-2025 - 10-04-2025 |
| The audit uncovered severe flaws in the new CCIP bridge (two criticals that could drain funds or break cross-chain messaging entirely), all of which were fixed before deployment. While the protocol retains centralization risks (multisig-dependent operations and off-chain services), the resolved findings indicate a materially improved security posture for the deployed contracts. |
| The audit report for YieldFi (Evolve) could not be retrieved because the URL is broken or the listing page no longer exists on Halborn's website, making it impossible to assess the protocol's security posture from this source. | |
Halborn22-10-2024 - 07-11-2024 |
| The Halborn audit found 3 High and 1 Medium severity issues in the YieldFi smart contracts, all of which were resolved by the team, making the codebase significantly safer for deployment with proper blacklist enforcement, gas validation, oracle checks, and access controls in place. |
Cantina (Spearbit)29-10-2024 - 05-11-2024 |
| The audit found no critical or high-severity vulnerabilities, and all identified findings (1 medium, 1 low, 2 informational, 1 gas) were fixed, indicating a solid security posture for the contracted codebase. |
Cantina (Spearbit)12-11-2024 |
| The audit found no critical or high-risk vulnerabilities, and the single medium-risk issue (withdrawal cooling-period reset) along with all other findings were promptly fixed, indicating a solid security posture for the YieldFi contracts at the time of review. |
Legal
Status and notes
The issuer is identified only as "Evolve" (Evolve, the Issuer, we, us, our) with contact email [email protected]. A full legal documentation suite is published on docs.goevolve.xyz/legal-documents/, comprising Terms & Conditions, Privacy Policy, Token Terms (eUSD on SEI), Risk Disclosures, Investment Disclaimer, Eligibility Criteria, Verifications and Screenings, and Segregation & Bankruptcy-Remote Structure Disclosure. The Terms & Conditions state tokens are not equity and confer no ownership or governance rights. Smart contract and vault infrastructure is powered by YieldFi as the infrastructure provider. The Eligibility Criteria explicitly exclude U.S. Persons, persons in the United Kingdom, China, and sanctioned jurisdictions. However, no specific legal form (e.g., foundation, LLC, corporation), jurisdiction of incorporation, or registry/company number is disclosed anywhere on the website or in any legal document.