# paUSD paUSD is a USD stablecoin backed by collaterals, and can only be minted with governance-approved collaterals. paUSD are created when users deposit accepted tokens (such as WETH, WBTC, USDC, etc) as collateral in vaults and in turn receive a loan against that collateral. **Token Symbol:** paUSD | Blockchain | Contract Address | | ----------- | ----------------------------------------------------------------------------------------------------------------------------- | | Ethereum | [0x571f54D23cDf2211C83E9A0CbD92AcA36c48Fa02](https://etherscan.io/address/0x571f54D23cDf2211C83E9A0CbD92AcA36c48Fa02#code) | | Polygon PoS | [0x8054d4D130C3A84852f379424Bcac75673a7486B](https://polygonscan.com/address/0x8054d4D130C3A84852f379424Bcac75673a7486B#code) | ### paUSD is non-custodial There are no counterparties involved in the minting and burning of paUSD tokens, as actors in the network transact directly with the paUSD smart contracts. Vaults are non-custodial, with each borrower having full control over their collateral and borrowed paUSD balances, provided it meets the minimum health factor governed by the protocol as a whole. {% hint style="info" %} You can use paUSD to earn yield by [Providing Liquidity](broken://pages/Yce5DNOrL2FgcyQkFXtg). {% endhint %} --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.parallel.best/products/parallel-v2/stablecoins/par-1.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.