Stage 2 - Liquidity Bond
The Bonding Stage is your opportunity to earn yourself a bunch of TST in return for bonding sEURO and another stable asset such as USDC.
A bond is similar to a loan where someone buys it for an amount, waits a certain time, and gets the initial purchase price and an interest payment on top of it. We have applied this principle to encourage users to provide liquidity to the protocol and in return receive TST tokens.
You bond two assets, at a ratio that's calculated in the smart contracts. These assets are automatically placed in a liquidity pool. When bonding your tokens, you choose a duration to bond and the longer you bond, the higher the return.
When the bond matures, you have the possibility to exit the bond. When you do such, you will receive:
- The total value of both your bonding assets combined, in TST
- A reward based on an interest rate of the total value, also in TST
Stage 2 allows users to bond sEURO and stable assets in return for TST, plus interest.
You can currently only bond sEURO with USDC. More options coming soon.
Step 1: Enter the amount of sEURO you would like to bond. The amount of USDC you desire to bond will be automatically converted to the other asset. Please keep in mind you need to have both assets to successfully proceed.
Make sure that you can see the conversion into corresponding amount of USDC and that you have sufficient funds in your account. Step 2: Select one of the available rates. They usually range from a week up to a year. Here we have chosen 5 weeks.
Step 3: Approve both assets. Press both of the Approve buttons individually and confirm each one on Metamask. Here we are showing an arbitrary approval amount but the process is identical for any asset.
Confirmation of approval to transfer an asset (here sEURO).
Step 4: Start the bond. Now the Start Bond button should be available to click. Press it and confirm the action on Metamask and you should successfully have created your first bond, congratulations!
Step 5: View the bonding history. Press the View History button to see all previous and current bonds. In the picture below, there are two bonds still pending, waiting to mature, that is.
Bonding history page
After the maturity date has been reached, the status of a bond will change from Pending to Claim, as seen below.
A bond is claimable
Press the Claim Reward as indicated in the sidebar to the right and approve the transaction on Metamask. You should then see a message displaying the amount being paid out to your account. This means you have successfully received TST corresponding to the value of the bond and the interest rate reward.
Claiming a reward successfully
You have now successfully completed your first stake with us 🎊! Keep your eyes and ears open for future staking events and updates on how to use your TST to participate in the protocol governance. More info coming soon.
Your sEURO and USDC (or other stable asset) are added to a Uniswap v3 liquidity pool. This pool is maintained by The Standard DAO.
You can visit the pool, add liquidity to the pool and swap, just like any regular Uniswap pool.
The Standard DAO holds the liquidity pool tokens in a multi-sig wallet.
You cannot get your original collateral back. If you want to purchase more sEURO, you can do so in Stage 1 or you can swap using the Uniswap pool we created.
After the bond has been created, you have to wait until its maturity before you can claim its reward. Remember, the reward isn't sent to you directly but you have to claim it yourself. You can find the page to do this by clicking on the Rewards button and then claiming the reward on the sidebar to the right.
Please make sure you have added TST in your wallet. You can do this by copying the TST address as being shown on the website and adding it to Metamask. Alternatively, you can press Add to Metamask and it will import it for you automatically.
It depends on the liquidity pool. We always try to maintain an equilibrium between assets in order to facilitate swapping. It means you will sometimes have to bond both more and less sEURO, in relationship to the other asset.
It is based on the total value of the two assets used. Your sEURO will always be valued at 1 EUR to get the instant discount in the bonus when you bond and the other asset (USDC) is converted to the corresponding EUR value through a Chainlink oracle.