DOCSSolutionsMinting $DUSD

Minting DUSD

Minting DUSD is the first step to accessing the secure, yield-bearing stablecoin that works for you. By minting DUSD, you convert your USDT or USDC into a native stablecoin without the need for staking or complicated processes. The minting process is seamless, robust, and designed to ensure user confidence at every step.

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Minting Steps

Follow these steps to mint DUSD:

  1. Connect Wallet:
    • Navigate to the StandX Mint.
    • Connect your wallet to the platform.
  2. Input Deposit Amount:
    • Enter the amount of supported collateral (e.g., USDT or USDC) to deposit.
    • The system will display the exchange ratio for minting DUSD.
  3. Approve Transaction:
    • Approve the smart contract to access your collateral assets.
    • Confirm the minting parameters to proceed.
  4. Minting Execution:
    • The StandX protocol processes the transaction by:
      • Transferring collateral assets to the StandX Secure Vault.
      • Verifying the exchange ratio on-chain.
      • Minting the corresponding amount of DUSD tokens.
      • Sending the newly minted DUSD directly to your wallet.

Key Requirements & Notices

Requirements

  • Supported Collateral: Only USDT or USDC is accepted for minting DUSD.
  • Web3 Wallet: Ensure you have a Web3 wallet with a small amount of SOL or BNB to cover network fees.
  • Minimum Minting Amount: The minimum amount for minting DUSD is $5 USDT/USDC to ensure efficient system processing.

Notices

  • Fully Backed by Market-Neutral Assets: Your DUSD is fully backed by a combination of spot assets (e.g., ETH, SOL) and short perpetual futures positions to ensure delta neutrality and price stability.
  • No Fees for Minting: No minting fees are currently applied (as of 2024/12/29). However, please note exchange ratio may slightly fluctuate subject to minor market conditions.
  • Instant Minting Process: Once the transaction is approved, DUSD is minted and sent to your wallet almost instantly.
  • Automatic Yield Start: Your DUSD begins accumulating rewards immediately after minting, with no need for staking or additional actions.

FAQ

1. How does StandX ensure the safety of my collateral?

Your collateral is securely stored in the StandX Vault Program and backed by a hedging system that maintains delta-neutral positions. Additionally, assets are held in a secure custody layer, and a reserve fund is in place to mitigate any unforeseen risks.

2. Will I earn rewards immediately after minting DUSD?

Yes, rewards begin accumulating as soon as DUSD is minted in your wallet. You don’t need to stake or take any additional action to start earning yield.

3. Are there any fees for minting DUSD?

No, there are no minting fees. The conversion rate is 1:1 with USDT/USDC, although minor fluctuations may occur depending on market conditions.

4. What happens to my collateral after I mint DUSD?

Once you mint DUSD, your collateral is transferred to the protocol’s vault and hedging system. The system uses your collateral to acquire spot assets and simultaneously opens short futures positions, ensuring that your DUSD is fully backed and market-neutral.

5. Can I use minted DUSD immediately?

Yes, DUSD is instantly credited to your wallet upon minting and can be used across decentralized protocols or held to earn yield.

6. Is there a minimum or maximum amount I can mint?

The minimum minting amount is $5 USDT/USDC. There is no maximum limit, but larger amounts may be subject to liquidity considerations based on market conditions.

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