Preface
RWA, an abbreviation for Real-World Assets, serves as a conduit for bringing real-world investment opportunities into the realm of cryptocurrencies. While most investment opportunities and yields in the crypto world are generated from within the circle, RWA presents more diversified alternatives for investors.
RWA possesses four distinctive edges:
- Tokenized RWA can circulate freely on-chain without restrictions in TradFi. It represents a more flexible means of investment.
- RWA eliminates the entry barriers and restrictions associated with prime investment targets in TradFi, creating more and fairer investment opportunities.
- Underpinned by the smart contract, RWA investment adopts a transparent and robust management mechanism to reduce investment risks for users.
- RWA investment shares the blockchain's inherent advantages of cost-effectiveness and operational efficiency. It operates 7/24, and users can start accruing rewards whenever they get on board.
stUSDT Platform
The stUSDT platform is dedicated to narrowing the gap between retail and institutional investors while connecting the crypto realm with the real world. By harnessing the power of smart contracts, stUSDT ensures equitable opportunities for all to invest in real-world assets.
stUSDT is a decentralized token that serves as receipt of investment in RWA. Its holders can earn passive income by participating in investments in real-world assets. Powered by its smart contract, stUSDT boasts decentralized investment and disclosure strategies as well as a robust asset management mechanism.
The stUSDT platform offers a comprehensive and user-friendly UI interface, facilitating a seamless exchange of USDT and stUSDT through convenient staking and unstaking processes. The amount of stUSDT that users hold will increase as the smart contract continues to distribute rewards to holders via the Rebase mechanism, while the exchange rate between the two tokens will always be kept at 1:1 to ensure profitability.
RWA DAO
RWA DAO is a decentralized, self-governing community focused on RWA investment. Its aim is to safeguard the interests and rights of community investors and provide an open, fair, and secure RWA investment channel to all users. RWA DAO also manages the RWA-related smart contract to ensure its stability, transparency, and efficiency. At present, RWA DAO is under the custody of JustLend DAO.
Roles in RWA DAO and their functions:
Advisory Council
- Elected by RWA DAO and consists of professionals from both fields of TradFi and DeFi investment.
- Oversees the day-to-day RWA investment and operations as well as presents major proposed adjustments to RWA DAO for voting when necessary.
- Monitors RWA investment risks and effectively stems potential risks.
- Appoints the RWA Arrangers and evaluates their performance.
RWA Arranger
- Searches for investment opportunities and devises the investment strategy.
- Recruits candidates for the Asset Manager role and verifies their qualifications.
- Assesses RWA investment performance and adjusts the investment strategy when necessary.
Asset Managers
- Implement the investment strategy provided by RWA Arrangers and adjust within a certain limits during execution as needed.
- Performance Oracle: Disclose RWA investment performance and asset holdings on-chain periodically.
stUSDT-RWA Contract
- The stUSDT-RWA Contract is deployed by RWA Arrangers to secure assets according to the established strategy and distribute RWA investment rewards.
RWA Investment Process
stUSDT invests in RWA through the following process:
- Pre-investment discussion. The Advisory Council will discuss the potential RWA investment opportunities and investment strategy proposed by RWA Arrangers, and decide whether or not to follow up.
- Pre-vote. A pre-vote will be initiated in RWA DAO to decide whether a proposal should be carried out by RWA Arrangers.
- Contract creation and execution vote. After the proposal passes the pre-vote, developers from RWA Arrangers will create the stUSDT-RWA Contract and carry out voting on whether to execute the proposal.
- Execution. Once the execution vote has passed, the stUSDT-RWA Contract will be automatically activated, and RWA Arrangers will set up the initial contract parameters.
Day-to-day operation and management of RWA investment involve the following steps:
- Staking. Users will stake USDT to the stUSDT-RWA Contract to participate in RWA investment.
- Execution of investment strategy. Asset Managers will invest the funds as per the predetermined strategy.
- Rewards distribution. Asset Managers will distribute the rewards gained through the stUSDT-RWA Contract to users.
- Disclosure. Asset Managers are required to disclose the performance of the RWA investment and asset holdings periodically.
- Performance review and strategy adjustment. RWA Arrangers will review the performance of the RWA investment and make adjustments to the investment strategy accordingly.
- Oversight and risk control. The Advisory Council will oversee the RWA investment and daily operations. It also monitors potential risks to ensure effective risk control.
stUSDT token and its advantages
stUSDT is a receipt token that users obtain for the RWA investment after staking USD stablecoins.
USD stablecoins staked in the contract will be invested in low-risk RWA with high ratings.
stUSDT is of the same value as USD stablecoins. It shares the features of ERC-20 tokens that can be transferred freely on-chain and are supported by most smart contracts. The contract allows stUSDT to be unstaked and claimed as USDT at a 1:1 ratio (special rules may apply). stUSDT will periodically distribute rewards to its holders via the Rebase mechanism, which means the longer one holds it, the more rewards one will make from it.