On-Chain Infrastructure

Index Tokens

All transactions involving OpenDelta indices are recorded on-chain and remain publicly accessible at all times. The index tokens serve as units of account (ledger entries) for the relevant index product. Whenever a contribution or redemption occurs, the corresponding amount of index token is minted or redeemed, respectively, to reflect and account for such transaction. Being a unit of account, an index token, by design, does not confer any legal rights, economic entitlements, or participation in any enterprise or arrangement.

All OpenDelta index tokens are issued using Solana SPL token standard tokens on Solana. By nature of being issued on-chain, these index tokens are freely transferable and composable across the Solana DeFi ecosystem. This standard also enables seamless integration into any front-end or user-facing application that supports SPL tokens.

Transferability may potentially enable a secondary market for the index tokens. If such secondary market ever evolves or exists, the price of the index tokens will not be supported by any promise of performance, redemption, or return, and will be determined solely by open market trading dynamics and third-party arbitrageurs. An index tokens does not have default price stabilization mechanism and does not grant its holder any right to redemption, buyback, dividends, revenue, fees, returns, or claim to the associated index basket assets. Redemption rights, where applicable, are reserved exclusively for the whitelisted professional participants under individually negotiated private agreements and are not embedded in the index token itself. The index token serves as an open and transparent digital record of the amount of index products in circulation, and is created for no other purpose.

Index token is not, and is not intended to be, a medium of exchange accepted by the public, or a section of the public, as payment for goods or services or for the discharge of a debt. OpenDelta does not facilitate the transmission of fiat currency on behalf of its users or other third parties, nor does it assist with the conversion of index tokens to fiat currency.

Index token is not intended to be a representation of money (including electronic money), payment instrument, security, commodity, bond, debt instrument, unit in a collective investment or managed investment scheme or any other kind of financial instrument or investment.

Index Tokens Staking

The index tokens can be staked to acquire the non-transferable staked index tokens, which open access to participation in DAO governance and activities, and provide opportunities to earn additional rewards. These rewards may come from ecosystem participants and yield-generating activities performed by the DAO with underlying basket assets — such as staking and lending — executed securely within the custodial infrastructure.

Staking rewards are paid in the index token itself.

Our staking smart contract is audited by Three Sigma.