Wand Protocol
  • ⚖️Background
  • 📐Product Introduction
    • Overview
    • Protocol Assets
      • USB-Stablecoin
      • xToken-Margin Token
    • Vault
      • AAR--Asset Adequacy Ratio
      • V-Vault
        • Deposit for minting
        • Withdraw for redemption
      • S-Vault
    • Earn
      • Interest Settlement
      • PTY--Price Trigger Yield
    • Discount Offer
    • Revenue Flow
    • Parameters
    • RedStone Oracles
    • Audit Report
    • Addresses
    • Migration to V2
    • IP-Vault for Story protocol
      • Principal Token
      • Yield Token
      • Dutch-VAMM
  • 🤖Guide 101
    • What can I do with Wand?
    • How to obtain xToken and USB?
    • FAQ
  • 🎯Early access campaign
    • Basic Rules
    • Blast Points
    • Blast Gold
  • 🪙TOKENOMIC
    • Coming soon
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  1. Product Introduction

IP-Vault for Story protocol

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Last updated 2 months ago

On Story protocol, each IP Asset has an IP Royalty Vault, which acts as a pool for all monetary inflows related to an IP Asset's commercial exploration or from minting licenses. Royalty Tokens can be used to claim Revenue Tokens. Wand IP-Vault is a tailor-made structured product for Story Protocol Royalty Tokens.

IP-Vault is a Pendle-like protocol. Users deposit Royalty Tokens and receive Principal Tokens (PT) and Yield Tokens (YT). Holding PT signifies ownership of the principal, while YT represents all real-time yields from the underlying assets. Unlike Pendle, It is perpetual, allowing users to hold PT or YT indefinitely without expiration.

The IP-Vaults will be divided into epochs based on a fixed time cycle, with each subsequent epoch being generated only after the previous one ends. PT remains unchanged across different epochs. However, each epoch will have a uniquely numbered YT corresponding to that period.

Let's use USDC as a Royalty Token example to explain the working mechanism of the IP-Vault.

When users deposit USDC into the B-Vault, they receive pUSDC at a 1:1 ratio. pUSDC is a rebasable token that provides interest earnings in USDC. At the same time, yUSDC is also generated at a 1:1 ratio and temporarily held in the contract. Users need to pay USDC to purchase a certain amount of yUSDC. The USDC used to purchase yUSDC serves as the interest source for pUSDC and is distributed to pUSDC holders. Additionally, the IP-Vault earns Revenue Tokens, which are then distributed to yUSDC buyers.

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