XUSG

Excellar’s first offering will be XUSG, a token based on short-term US Treasury Bills, capturing the combined benefits of the ongoing attractive rate environment, deep liquidity, and stability of the underlying market. To track the performance and exposure of short-term US Treasury Bills, Excellar will invest in the Blackrock’s iShares Short Treasury Bond ETF (SHV), targeting US Treasuries that mature in less than one year. Advantages of using an ETF instead of individual issues are manyfold, including:

• Diversification tends to minimize idiosyncratic risks and price dislocations associated with specific issues, such as basis risk surrounding Debt Ceiling flight-to-safety episodes.

• ETFs generally have better liquidity and price transparency than the underlying bonds, especially during market stress as demonstrated by the 2020 Pandemic Crash.

• ETF managers typically have better trade execution for the underlying bonds.