Skip to main content

Minters (Regular Users)

Minters are regular users who want to create synthetic stablecoins (like synthetic EUR) from their existing USD stablecoins.

How Minting Works​

The Basic Process​

  1. Deposit USD Stablecoins: Users deposit FDUSD, or other whitelisted USD stablecoins
  2. Create Synthetic EUR: The protocol creates synthetic EUR tokens at the current EUR/USD exchange rate

Key Benefits​

Access to EUR Exposure​

  • Get synthetic EUR without forex accounts or banking complications
  • Tracks real EUR price via Chainlink oracles
  • Instant conversion from your existing USD stablecoins

Capital Efficiency​

  • Use your idle USD stablecoins productively
  • More efficient than traditional forex methods

Full Control​

  • Open/close positions 24/7
  • No minimum holding periods

Example: Alice Mints 1,000 EUR​

  1. Current Rate: 1 EUR = $1.10 USD
  2. Target Amount: 1,000 synthetic EUR
  3. USD Value: 1,000 × $1.10 = $1,100
  4. Alice deposits: $1,002.01 USDC ($1,100 + minting fees 0.2%)
  5. Alice receives: 1,000 synthetic EUR tokens

Alice now has 1,000 synthetic EUR backed.

Managing Your Position​

Closing Positions​

  • Return synthetic EUR tokens to reclaim your collateral
  • Partial closing available
  • Settlement at current exchange rates

Risks to Consider​

Price Movement Risk​

If EUR strengthens significantly against USD and nobody liquidates LPs, you might be unable to get USD back because of pool bad debt.

Smart Contract Risk​

Like all DeFi protocols, there are inherent smart contract risks despite audits and security measures.