BitU Protocol
  • Overview
    • 👾What is BitU Protocol?
      • 🐛Problem
      • ✨Solution
    • 💧BitU Liquidity
    • 🥩BitU Staking
      • 📊ALMM
    • 🔀BitU Omni Trading Hub
    • ⏳The Future of BitU Protocol
    • 📒Glossary
  • Project-Design
    • 🏹Architecture
    • ⛏️Liquidity
      • ⏳Liquidation
    • 🥩Staking
    • 📈Omni Trading Hub
      • Fees
      • Funding Rate
      • Prices
      • Orderbook
      • Order Typers
      • Margin
      • Margin Health
    • ❓FAQ
    • ⚠️Risks
      • Collateral Risk
      • Liquidation Risk
      • Counterparty Risk
      • Exchange Failure Risk
      • Custodial Risk
    • 🌱Key Addresses
    • 🛡️Audits
    • 🏦Reserves
  • User Guides
    • How to mint $BITU
    • How to redeem $BITU
    • How to stake $BITU
    • How to unstake $sBITU
    • FAQs
  • Community
    • Twitter
    • Discord
  • Resources
    • Media Assets
    • Terms of Service
    • Privacy Policy
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  1. Overview

BitU Staking

Earn real yield by staking $BITU

PreviousBitU LiquidityNextALMM

Last updated 9 months ago

After minting or buying $BITU, users can deposit their tokens into the staking vault to receive $sBITU, which earns real-yield. The yield is distributed directly to $sBITU holders as $BITU tokens.

Yield is generated by lending and market neutral investment strategies carried out by our prime broker on centralized exchanges. Strict risk management controls ensure the safety and continuous flow of yield to $sBITU holders while their deposited assets are safely held with licensed custodians as part of the $BITU minting process. The prime broker never trades with users' collateral assets, as they are mirrored into exchanges instead.

The management and control over the staking and minting processes is carried out by BitU Protocol's which plays a vital role in:

  • Risk Management and Portfolio Liquidation

  • Providing Initial Liquidity for $BITU

  • Earning Yield through Delta-Neutral Strategies

  • Redemption of $BITU and Collateral Assets

The ALMM leverages off-chain liquidity and transaction efficiency to generate higher yields for on-chain funds. By securely and transparently utilizing off-chain activities, the ALMM enables users to receive enhanced returns and capital efficiency compared to purely on-chain strategies.

BitU Protocol employs the ALMM to optimize yield and liquidity, while maintaining the highest standards of safety and transparency through partnerships with leading auditors and custody providers.

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Active Liquidity Management Module (ALMM)
Staking Process