👨‍💻User Flows

The Solomon protocol provides users stablecoin yield through automated funding rate arbitrage.

User Flow

1. User enters Solomon app and connects their wallet

2. User chooses to buy USDv with select SPL tokens

3. User then receives USDv 1:1 USD worth minus slippage/fees

4. Now the user can use

   1. USDv as a liquidity token within DeFi

   2. USDv to stake and receive sUSDv earning a yield

Whitelisted User Flow

1. User enters Solomon app and connects wallet

2. User chooses to mint USDv with either USDC, USDT, or SOL

3. User then receives USDv 1:1 USD worth minus mint fee (.2%)

Minting Process

Whitelisted market makers can mint USDv by depositing various assets like SOL, USDT and USDC, into the Solomon protocol. The deposited assets are then managed through an off-exchange custody solution and hedged using derivatives to maintain the peg.

Example

• A user deposits $1000 worth of Solana into the protocol.

• The protocol mints $1000 USDv and transfers them to the user's wallet.

• The protocol opens a long position on SOL as well as a short position on SOL futures, creating a delta-neutral position with modest yield

• The yield is paid out to holders of sUSDv (Staked USDv)

Note: Anyone can acquire USDv in permissionless external liquidity pools such as Meteora.

User and Protocol Flows