> ## Documentation Index
> Fetch the complete documentation index at: https://docs.ondo.finance/llms.txt
> Use this file to discover all available pages before exploring further.

# USDY vs Rebasing USDY (rUSDY)

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  ### **What's the difference between USDY and rUSDY?**

  The 'r' in rUSDY stands for 'rebasing'. rUSDY is intended to maintain a price of \$1.00 per token (with the accruing yield being represented by the division of rUSDY tokens into more tokens via [rebasing](/general-access-products/usdy/rebasing)). By contrast, the accruing yield of  USDY tokens gets 'accumulated' into the price, such that the price of USDY is intended to appreciate over time. For example, let's say you held 100 rUSDY tokens and 100 USDY tokens that were each worth a dollar. The next day the USDY price per token increased to \$1.01 per token. After the price update and rebasing, your holdings of both rUSDY and USDY would each be worth \$101.00. You would still have a balance of 100 USDY tokens worth \$1.01 apiece. However, due to the rebasing nature of rUSDY tokens, you would now hold 101 rUSDY tokens worth \$1.00 per token.

  ### **How do I decide between USDY and rUSDY?**

  While we believe many tokenholders will want to hold rUSDY because of its intended price stability, certain protocols, exchanges, or custodians may not support rebasing tokens. Regardless, converting between USDY and rUSDY is [easy](/general-access-products/usdy/usdy-vs-rebasing-usdy#how-do-i-convert-between-usdy-and-rusdy).

  ### **How do I convert between USDY and rUSDY?**

  Use the [Ondo Converter](https://ondo.finance/convert) on our website to easily convert between USDY and rUSDY.

  <Snippet file="usdy-legal-notice.mdx" />
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