BUCK employs a partial-collateralized model, which means parts of BUCK supply is backed by a fully decentralized stablecoin; DAI collateral and parts of the supply; HERD is algorithm controlled. This makes BUCK capital efficient (no over-collateralization) and the price is truly stable 1 US$.
HERD is a governance token that accrues fees, seigniorage revenue, and excess collateral value. All HERD are minted as a reward of the liquidity program. HERD can also be minted by adding certain amount of DAI to collateral pool.