Neutrl NUSD Redemption Rate Set at 51 Cents as Strata Tranche Faces Wipeout

Neutrl has announced a redemption program for its NUSD token, allowing holders to exchange their tokens at a rate of 0.51 $USDC per NUSD. This is a significant shortfall from the token's reference value of $1, representing a 49% loss in value.

The redemption program is visible in Neutrl's Ethereum contract, which shows an 18-decimal ratio equal to 0.51. The protocol has stated that holders may submit requests to redeem their tokens, receive $USDC, and have the corresponding tokens burned.

However, OAK Research has raised a legal concern about the redemption terms, stating that users must waive recourse against Neutrl across all their tokens, even if they redeem only part of their holdings. The protocol's public announcement does not explicitly describe this as a liability waiver, but rather encourages users to review the applicable terms.

Neutrl's disclosed liquid assets amount to approximately $27 million, which is roughly 50.6% of the listed NUSD supply. This figure closely tracks the 0.51 redemption ratio and suggests that the protocol may not have sufficient funds to cover the full value of outstanding tokens.