Depositing USDC

This guide provides detailed instructions for depositing USDC into the Stasis vault and receiving rSTS tokens in return.

Before You Deposit

Prerequisites Checklist

  • ✅ Web3 wallet connected to Avalanche Fuji network

  • ✅ USDC balance on Avalanche Fuji

  • ✅ Small amount of AVAX for gas fees (~$0.05)

  • ✅ Understanding of rSTS token mechanics

Important Considerations

Exchange Rate

  • Check current rSTS/USDC exchange rate before depositing

  • Rate increases over time as vault generates yield

  • Initial rate is typically 1:1 for new vaults

Minimum Amounts

  • No minimum deposit requirement

  • Consider gas fees for very small deposits

  • Recommended minimum: $10-50 for cost efficiency

Timing

  • Deposits can be made 24/7

  • No optimal timing required (unlike some DeFi protocols)

  • Yield accrual begins immediately

Step-by-Step Deposit Process

Step 1: Access the Deposit Interface

Navigate to Deposit Section

  1. Visit the Stasis application

  2. Ensure wallet is connected

  3. Click on "Deposit" or "Vault" section

  4. Verify you're on the correct network (Avalanche Fuji)

Review Current Metrics

Key Information to Check:
- Current APY: X.XX%
- Exchange Rate: X.XXXX USDC per rSTS
- Your USDC Balance: XXX.XX USDC
- Estimated Gas Fee: ~$0.01

Step 2: Enter Deposit Amount

Amount Selection

Options:
1. Enter specific USDC amount
2. Use percentage buttons (25%, 50%, 75%, 100%)
3. Use "Max" button (leaves small amount for gas)

Real-Time Calculations

The interface will show:

  • USDC Amount: Amount you're depositing

  • rSTS Received: Tokens you'll receive

  • Exchange Rate: Current conversion rate

  • Gas Estimate: Transaction cost

Example Calculation

Deposit Amount: 1,000 USDC
Current Exchange Rate: 1.05 USDC per rSTS
rSTS Received: 1,000 ÷ 1.05 = 952.38 rSTS

Step 3: Approve USDC (First Time Only)

Approval Process

If this is your first deposit:

  1. Click "Approve USDC"

    • This allows the vault contract to spend your USDC

    • One-time approval for unlimited amount (standard practice)

  2. Review Transaction in Wallet

    • Verify contract address

    • Check approval amount

    • Confirm gas fee

  3. Confirm Approval

    • Click "Confirm" in your wallet

    • Wait for transaction confirmation (~2 seconds)

Security Note

The approval transaction allows the vault contract to transfer 
USDC from your wallet. This is standard for DeFi protocols 
and is necessary for the deposit to work.

Step 4: Execute Deposit

Deposit Transaction

  1. Click "Deposit" (after approval is complete)

  2. Review Transaction Details:

    • Function: deposit(uint256 amount)

    • Amount: Your USDC deposit amount

    • Gas Fee: ~$0.01-0.05

  3. Confirm in Wallet

    • Verify all details are correct

    • Click "Confirm"

Transaction Processing

1. Transaction submitted to blockchain
2. Confirmation time: 1-3 seconds (Avalanche)
3. Smart contract executes:
   - Transfers USDC from your wallet
   - Calculates rSTS amount
   - Mints rSTS tokens to your address
   - Updates vault state

Step 5: Confirmation and Verification

Immediate Verification

After transaction confirmation:

  1. Check rSTS Balance

    • Should appear in your wallet

    • May need to add token manually (see troubleshooting)

  2. Verify Dashboard Update

    • Your position should show new balance

    • Vault TVL should increase

  3. Transaction Receipt

    • Save transaction hash for records

    • Can view on Snowtrace explorer

Understanding Your Deposit

What Happens to Your USDC

Vault Operations

Your USDC Flow:
1. Transferred to vault contract
2. Added to liquidity pool
3. Used as collateral for futures positions
4. Deployed in delta-neutral strategy
5. Generates yield through funding rates

rSTS Token Mechanics

  • Representation: Your share of the vault

  • Value Accrual: Automatically increases over time

  • Liquidity: Can be redeemed anytime for USDC

  • Transferability: Standard ERC-20 token

Yield Accrual Process

How Yield is Generated

1. Vault opens short perpetual futures positions
2. Collects funding rate payments (every 8 hours)
3. Funding income increases total vault value
4. Your rSTS becomes worth more USDC
5. No action required from you

Tracking Your Returns

Initial Value: 1,000 rSTS × 1.05 = $1,050
After 30 days: 1,000 rSTS × 1.055 = $1,055 (+$5)
After 1 year: 1,000 rSTS × 1.113 = $1,113 (+$63, ~6% APY)

Advanced Deposit Strategies

Dollar-Cost Averaging

  • Make regular deposits over time

  • Reduces timing risk

  • Smooths out exchange rate fluctuations

Lump Sum vs. Gradual

  • Lump Sum: Immediate full exposure to strategy

  • Gradual: Reduced risk, potentially lower returns

Rebalancing Considerations

  • Consider deposits when rebalancing portfolio

  • Use as stable yield component

  • Complement to higher-risk strategies

Transaction Costs and Optimization

Gas Fee Optimization

Timing Considerations

  • Avalanche fees are consistently low (~$0.01-0.05)

  • No significant timing optimization needed

  • Avoid network congestion periods if possible

Batch Operations

  • Consider larger, less frequent deposits

  • Reduces total transaction costs

  • More efficient for smaller amounts

Cost-Benefit Analysis

Example for $100 deposit:
- Gas Fee: ~$0.02 (0.02% of deposit)
- Annual Yield: ~$6 (6% APY)
- Break-even: Immediate (gas cost negligible)

Troubleshooting Common Issues

Transaction Failures

Insufficient Gas

  • Problem: Transaction fails due to low gas

  • Solution: Ensure sufficient AVAX balance

  • Prevention: Keep ~$1 worth of AVAX

Approval Issues

  • Problem: Deposit fails after approval

  • Solution: Wait for approval confirmation before depositing

  • Check: Verify approval transaction succeeded

Network Issues

  • Problem: Transaction stuck or slow

  • Solution: Check Avalanche network status

  • Alternative: Try again later or increase gas price

Token Display Issues

rSTS Not Showing in Wallet

Manual Token Addition:
- Contract Address: [To be updated]
- Symbol: rSTS
- Decimals: 18

Incorrect Balance Display

  • Refresh: Try refreshing wallet/browser

  • Network: Verify correct network selected

  • Explorer: Check balance on Snowtrace

Interface Issues

Connection Problems

  • Clear Cache: Browser cache and cookies

  • Try Different Browser: Or incognito mode

  • Wallet Update: Ensure latest wallet version

Display Errors

  • Refresh Page: Simple page reload

  • Check Network: Verify Avalanche Fuji selected

  • Contact Support: If issues persist

Security Best Practices

Before Depositing

  • Verify URL: Ensure you're on official Stasis website

  • Check Contract: Verify contract address matches documentation

  • Start Small: Test with small amount first

During Transaction

  • Review Details: Double-check all transaction parameters

  • Gas Settings: Use recommended gas settings

  • Don't Rush: Take time to verify everything

After Depositing

  • Save Records: Keep transaction hashes

  • Monitor Position: Regular balance checks

  • Stay Updated: Follow protocol announcements

Next Steps After Depositing

Immediate Actions

  1. Verify Deposit: Confirm rSTS tokens received

  2. Bookmark Dashboard: For easy access to position

  3. Join Community: Discord/Telegram for updates

Ongoing Management

  • Monitor Performance: Track yield accrual

  • Stay Informed: Protocol updates and changes

  • Consider Scaling: Increase position if satisfied

Portfolio Integration

  • Rebalancing: Consider rSTS in overall portfolio

  • Tax Planning: Understand yield treatment

  • Risk Management: Monitor overall exposure

Next: Withdrawing Funds

PreviousYield GenerationNextGetting Started with Stasis