Introduction to xAssets
xAssets are 1:1 backed wrapped tokens that represent blue chip assets from any blockchain. They are minted onchain and designed for seamless use in DeFi applications, while the underlying assets remain securely custodied and continue to generate native yields where applicable.
What Are xAssets?
xAssets are ERC-20 compatible tokens that provide exposure to high-demand crypto assets — such as staked ETH, staked SOL, BTC, and others — in a format optimized for DeFi.
Each xAsset is fully backed 1:1 by the corresponding underlying asset held in institutional custody. They are created through a primary market mechanism where users purchase with USDC, and the protocol acquires and custodies the underlying assets at market prices tracked via leading exchanges and oracles.
Key Features
Every xAsset is backed 1:1 by the actual underlying asset in custody. The peg is maintained through real-time market pricing and verifiable reserves.
🔗1:1 Backing & PegFor yield-bearing assets (e.g., staked positions), the custodied underlying continues to accrue native yields. Holders benefit from both DeFi utility and ongoing yield generation.
📈Yield PreservationUnderlying assets are held by top-tier providers including Ceffu and Crypto.com custody. Reserves are transparent, with regular proof-of-reserves publications for verifiability.
🏦Institutional CustodyUsers acquire xAssets directly with USDC on the primary market. The protocol handles asset purchase and minting, eliminating the need for user deposits or cross-chain transfers.
💱Primary Market AccessxAssets can be burned at any time to redeem the underlying assets (or equivalent value), subject to protocol fees and verification processes.
🔄Full RedeemabilityxAssets integrate natively into DeFi protocols: serve as collateral in lending, provide liquidity in AMMs, participate in yield farming, and more.
🛠️DeFi ComposabilityHow xAssets Differ from Traditional Wrapped Tokens
- No liquidity pool fragmentation — Minting occurs dynamically based on demand, without requiring issuers to seed and maintain pools across ecosystems.
- Market-aligned pricing — Purchases and redemptions track real-time prices from leading exchanges and oracles, ensuring fair value.
- Yield continuity — Eliminates the common trade-off where users lose staking rewards when moving assets for DeFi use.
xAssets enable secure, efficient access to blue chip assets in DeFi while preserving their original properties, backed by institutional custody and transparent reserves.