Product and risk overview

The capped MVP supports direct mint and redeem of synthetic AUD and NZD balances on Base using approved USDC collateral and an allowlisted Morpho yield strategy. Firm partner quotes and hedging are added behind explicit capacity and oracle-health controls.

Material constraints

• Synthetic balances are protocol liabilities, not bank deposits.
• Redemptions depend on available collateral, verified prices, pause state, and the documented insolvency policy.
• Yield is variable and may be reduced by strategy costs, FX losses, hedge costs, and buffer refill.
• Cross-chain routers are excluded from the capped MVP.
• Oracle and venue availability can reduce capacity or pause new risk.

The protocol normally pauses minting and quotes before redemption. A 2-of-3 Safe controls sensitive administration; risk-increasing changes require the approved delay.

Current product boundary

The visual system explores a broader regional-currency product direction, but the canonical pilot scope is AUD and NZD. EUR, SGD, JPY, GBP, public partner APIs, embeds, cross-chain routing, and uncapped liquidity remain future or planned surfaces until an approved registry and release evidence say otherwise.

See how it works for the transaction sequence and risk model for the loss waterfall.