> For the complete documentation index, see [llms.txt](https://docs.stablelabs.co/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.stablelabs.co/getting-started-with-genify/how-it-works/tokenization/asset-pegging-mechanism.md).

# 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.
