Flow of Funds
Last updated
Last updated
The flow of a user's funds within the OADA system can be described generally as follows:
Users mint OADA with ADA
OADA holders can either use OADA in DeFi, or they can stake it for sOADA
Over time, sOADA accumulates yield generated by the system's AMOs
Eventually when users want to exit their sOADA position, they will unstake their sOADA to receive OADA again. The conversion rate of sOADA back to OADA will reflect the yield generated by the system (i.e. their sOADA will be worth more OADA unless the system has taken a loss)
Users exit their OADA position by swapping back to ADA on the Splash Stableswap