How It Works

Soul-Bound Token Flow

STUSD is minted soul-bound and stays tied to the origin wallet:

• Transfers and trading are disabled by design
• Discourages speculation and keeps focus on hedging
• Long-dated locks reinforce program discipline
• Rewards map cleanly to the wallets that earned them

Flash-Loan Resilience

The stack is shaped to blunt flash-loan style exploits:

• Borrow/return loops can’t influence accounting paths
• Yield pools can’t be manipulated mid-block
• Participant rewards stay consistent under stress

Real Yield Pipeline

Returns come from verifiable sources, not emissions:

• On-chain reward mints under protocol control
• Accrued protocol fees and partner revenue
• No synthetic APY or inflation-based rewards
• Auditable distribution math

Defense in Depth

Risk controls are layered:

• Third-party security reviews on contracts
• Multisig-led treasury management
• Time-locked upgrades where applicable
• Emergency pause/circuit-breakers ready

Open Operations

State is observable end to end:

• Live TVL, rewards, and reserve visibility
• Transparent fee routing and income reporting
• Governance logic kept in the open