# Introduction > Polaris is an onchain yield layer built around pETH. Canonical URL: https://docs.polaris.finance/ Markdown URL: https://docs.polaris.finance/index.md Section: Overview Documentation index: https://docs.polaris.finance/llms.txt Full documentation bundle: https://docs.polaris.finance/llms-full.txt --- Polaris is an onchain yield layer built around pETH, a yield-bearing reserve asset designed to collateralize censorship-resistant stablecoins and synthetic assets. ETH enters the system through the Polaris bonding curve and becomes pETH, the collateral asset at the center of the ecosystem. Stablecoins, commodities and synthetic assets are all issued against pETH, while economic activity within the protocol generates value that flows back into the system. This creates a monetary system where collateral, liquidity and protocol activity reinforce one another without relying on external counterparties or offchain dependencies. The flagship stablecoin of the Polaris ecosystem is USDp, a fully decentralized dollar backed by pETH. This same reserve model is designed to support several additional assets, all sharing the same collateral foundation. While USDp maintains its peg through overcollateralization and a series of protocol mechanisms described throughout this documentation, the yield associated with Polaris is generated by onchain activity across the ecosystem, including bonding curve fees, borrowing demand, conversions and other protocol mechanisms. This allows value created within Polaris to remain within Polaris.