# Treasury Maintenance

Primary VUSD treasury operations are autonomous.  Users initiate actions that swap assets into the VUSD treasury, and out of the VUSD treasury.  For example, users swapping USDC for VUSD automatically cause the USDC to be routed to the VUSD treasury.  Once assets are in the treasury's possession, they are automatically routed to governance-chosen token management modules, which generate yield.  For example, the treasury's USDC is routed to Compound USDC lending market, which generates yield back to the VUSD treasury.

There are two tranches of VUSD Treasury:

* **T1 Stable**: For every 1.0 VUSD, there is always at least 1.0 USDC or USDT or DAI on Ethereum L1, deposited into a non-leveraged, trusted yield source such as Aave or Compound.
* **T2 Growth**: Any treasury assets beyond 100% VUSD circulating supply can be volatile assets, LP pair assets, or more aggressive growth protocols.


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