Asset Pegging Mechanism

Stable Labs employs a hybrid model that includes off-chain audits, price oracles, hard-peg prices, PoR reports, and arbitrageurs to ensure transparency, accuracy, and usability for RWA tokens:

• PoR Support: Each RWA asset token has its own Proof of Reserve (PoR) for transparent on-chain verification of reserves audited by established third-party auditors such as Grant Thorton.

• Off-Chain Audits: External auditors verify Stable Labs'/Genifys' asset holdings.

• Price Determination: Real-time off-chain price feeds from exchanges determine the price during minting and redeeming. This ensures accurate pricing for users.

• DeFi Integration: We work with Chainlink to deploy decentralized oracles for accurate price references and easy integration of our RWAs to DeFi.

• Arbitrage: Arbitrageurs keep the on-chain price in line with the off-chain price by buying assets on-chain and redeeming them off-chain, or vice versa.