What is Stasis?

Stasis is a protocol maintaining rSTS, a yield-bearing token backed by USDC and designed to generate stable returns through delta-neutral strategies.

The protocol's main features include:

• Issuance and redemption of rSTS against USDC deposits;

• Maintaining delta-neutral positions through perpetual futures on Hyperliquid;

• Generating stable yield (5-6% APY) through funding rate arbitrage;

• Auto-compounding mechanism that automatically reinvests earned yield.

Both deposits and withdrawals can be executed by users on a 1:1 basis with USDC, while the rSTS token automatically accrues value over time through the protocol's yield generation activities.

Core Architecture

+---------------------+        +--------------------------+        +--------------------------+
|  User Deposits      |        |     Stasis Vault         |        |     Vault Wallet         |
|     (USDC)          | -----> |   (Mint rSTS Token)      | -----> |   (USDC Holding)         |
+---------------------+        +--------------------------+        +--------------------------+
                                                                     |
                                                                     v
                                                           +--------------------------+
                                                           |      Bot Executor        |
                                                           |      (Off-chain)         |
                                                           +--------------------------+
                                                                     |
                                                                     v
                                                           +--------------------------+
                                                           |  Hyperliquid Exchange    |
                                                           +--------------------------+
                                                                     |
                                                                     v
                                                           +--------------------------+
                                                           |  Delta-Neutral Strategy  |
                                                           |  (BUY SPOT / SHORT PERPS)|
                                                           +--------------------------+
                                                                     |
                                                                     v
                                                           +--------------------------+
                                                           |   Yield Accrual Logic    |
                                                           | (Exchange Rate Increases)|
                                                           +--------------------------+
                                                                     |
                                                                     v
+---------------------------+  <------------------------------------+
|  rSTS Redemption          |
|  (User Claims USDC)       |
+---------------------------+

Key Benefits

🛡️ Market Neutral

The protocol maintains delta-neutral positions, protecting users from cryptocurrency market volatility while still generating yield.

💰 Stable Returns

Target APY of 5-6% through systematic funding rate arbitrage, providing predictable returns in volatile markets.

🔄 Auto-Compounding

The rSTS token automatically accrues value as yield is generated and reinvested, eliminating the need for manual claiming.

💧 Instant Liquidity

No lock-up periods or withdrawal fees - users can deposit and withdraw at any time based on the current exchange rate.

🔒 Non-Custodial

Users maintain full control of their funds through smart contracts deployed on Avalanche, with transparent and auditable operations.

How It Works

1. Deposit: Users deposit USDC and receive rSTS tokens at the current exchange rate

2. Strategy Execution: The protocol deploys capital in delta-neutral positions on Hyperliquid

3. Yield Generation: Funding rate arbitrage generates consistent returns

4. Auto-Compounding: Earned yield is automatically reinvested, increasing the rSTS exchange rate

5. Withdrawal: Users can redeem rSTS for USDC at any time at the current exchange rate

Target Users

Stasis is designed for:

• Conservative DeFi investors seeking stable yield without market exposure

• Institutions requiring predictable returns for treasury management

• Yield farmers looking for consistent, auto-compounding strategies

• Risk-averse users who want DeFi yields without cryptocurrency price risk

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