Staked NUSD
The staking system centers on sNUSD
, an ERC4626-compliant vault where users deposit NUSD to receive sNUSD shares representing their proportional claim on vault holdings. These shares appreciate in value as the protocol accrues and distributes yield through a reward mechanism.
Yield distribution mechanism for sNUSD stakers
Yield Generation Flow
YieldDistributor
manages the complete yield lifecycle:
Collection
Aggregates yield tokens from external sources and protocol revenue streams
Conversion
Utilizes Router
infrastructure to convert yield tokens to NUSD
Distribution
Transfers newly minted NUSD to sNUSD
Unstaking Process
The system enforces a structured withdrawal mechanism:
Cooldown Initiation
- Users call
cooldownAssets()
orcooldownShares()
on sNUSD - Underlying NUSD transfers to
Silo
contract for temporary custody
Cooldown Period
- Funds remain locked in Silo for
cooldownDuration
- Prevents immediate withdrawal after unstaking request
Final Withdrawal
- After cooldown expires, users call
unstake()
on sNUSD - sNUSD instructs Silo to release NUSD to user
- Completes the unstaking cycle