Minting and Redeeming USBD
Explaining the Minting Process
Collateral (like LSTs or other approved assets) must be locked in order to produce USBD tokens, which are subsequently usable throughout the DeFi ecosystem. By ensuring that every USBD is supported by enough collateral, the minting process preserves the stability and value of the stablecoin.
Users mint USBD in 5 steps:
Connect Wallet to the BIMA Protocol: Supported wallets include Ledger, MetaMask, XVerse, and other major wallets.
Select Vault for LST Staking or Bitcoin Staking: You will be able to see several vaults for each supported LST after linking your wallet. Choose the vault where you want to deposit your LST.
Stake Asset: Enter your preferred deposit amount for your LST or BTC. as well as the collateral ratio. The collateral value needs to match the necessary collateral ratio.
Transaction Confirmation: The transaction details, such as the quantity of USBD to be minted and the collateral to be locked, are reviewed by the users. The transaction is handled on the blockchain when it has been verified.
Claim USBD: The user's wallet is credited with the newly created USBD tokens. Users are able to check their updated balance and validate the transaction.
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