The practicality of using Decentralized Finance is limited by the lack of a decentralized, collateral-free stablecoin. Borrowing rates on USD stablecoins remain excessively high, even as supply increases rapidly. Supply cannot meet demand due to collateral requirements.Beanstalk uses credit instead of collateral to create a decentralized, liquid, blockchain-native asset, which is stable relative to the value of a non-blockchain-native asset.Beanstalk creates protocol-native financial incentives to encourage participation in peg maintenance and governance without requiring any action from everyday Bean users.