R2 Protocol Launches Ethereum Mainnet Amid USDC Reward Backlash

Published: 2025-09-26 12:13:40 |

R2 Protocol launched its Ethereum mainnet on Sept. 26, debuting two RWA vaults backed by major institutions. Early users have already deposited over $121,000 in TVL across 154,000 wallets. The protocol introduced a rewards program offering 100 R2 Protocol tokens, but users must deposit 100 USDC for 60 days at 50% APY to unlock them. This gating mechanism sparked backlash, with some testers accusing the team of trickery and gatekeeping. R2 Protocol defended the deposit requirement, noting that growing TVL secures better institutional offers. The launch also features integration with 12 asset managers, including BlackRock, VanEck and Apollo. Flagship products include a Treasuries-backed vault targeting 4% net APY and a private credit vault aiming for 9–10% net APY. The native R2 token is set to launch by end-2025.

Neutral

While the R2 Protocol mainnet launch demonstrates strong institutional support and introduces new RWA yield products, the USDC deposit requirement for rewards has stirred significant user backlash. This mixed sentiment may temper immediate speculative trading activity. Historically, projects with gated airdrops or reward lockups see cautious short-term market reactions, though long-term fundamentals—such as growing TVL and institutional integrations—remain supportive. Thus, the overall market impact is classified as neutral.