LSaaS GuideStablecoin LSDContract

Contract

The stack for ULST consists of four contracts: 1. LsdNetworkFactory, an utility contract which deploys project contracts by a single call; 2. LsdToken, an ERC20-compatible token which represents users’ receipt of their staking; 3. StakePool, delegates stablecoin assets to Ondo Finance for RWA token subscription; 4. StakeManager, manages project internal and external states and interacts with users.

The ULST system integrates with Real World Assets (RWA) through Ondo Finance, enabling users to deposit stablecoins and receive liquid staking derivative tokens that generate yield through RWA investments.

LsdNetworkFactory.sol

The LsdNetworkFactory is a utility contract that simplifies the deployment of new LSD networks. Instead of manually deploying multiple contracts, you can use the factory to create a complete LSD network with a single transaction.

Network Contracts Structure

struct NetworkContracts {
    address _stakeManager;
    address _stakePool;
    address _lsdToken;
    uint256 _block;
}

Events

event LsdNetwork(NetworkContracts contracts);

createLsdNetwork()

Creates a new LSD network with immediate admin control.

function createLsdNetwork(
    string memory _lsdTokenName,
    string memory _lsdTokenSymbol,
    address _govInstantManagerAddress,
    address _govOracleAddress,
    address[] memory _stablecoins
) external

Parameters:

  • _lsdTokenName - Name of the LSD token (e.g., “StaFi rULST”)
  • _lsdTokenSymbol - Symbol of the LSD token (e.g., “rULST”)
  • _govInstantManagerAddress - Ondo Instant Manager contract address for RWA operations
  • _govOracleAddress - Ondo Oracle contract address for RWA price feeds
  • _stablecoins - Array of supported stablecoin addresses (USDC, PYUSD, etc.)

createLsdNetworkWithTimelock()

Creates a new LSD network with timelock governance for enhanced security.

function createLsdNetworkWithTimelock(
    string memory _lsdTokenName,
    string memory _lsdTokenSymbol,
    address _govInstantManagerAddress,
    address _govOracleAddress,
    address[] memory _stablecoins,
    uint256 minDelay,
    address[] memory proposers
) external

Additional Parameters:

  • minDelay - Minimum delay for timelock operations (in seconds)
  • proposers - Array of addresses who can submit timelock proposals

StakeManager.sol

The StakeManager is the main orchestration contract that manages the entire staking lifecycle and coordinates between users and the underlying RWA protocols.

Stakers methods

stake: Allows users to deposit stablecoins and receive LSD tokens.

  • stablecoin - Address of the stablecoin to stake (USDC, PYUSD)
  • amount - Amount of stablecoin to stake
function stake(address _stablecoin, uint256 _amount)

unstake: Allows users to initiate unstaking by burning LSD tokens.

  • _stablecoin - Address of the stablecoin to unstake (USDC, PYUSD)
  • _lsdTokenAmount - Amount of LSD tokens to unstake
function unstake(address _stablecoin, uint256 _lsdTokenAmount)

withdraw: Allows users to withdraw stablecoins after the unbonding period.

function withdraw() external

Administrative methods

  • addStablecoin - Add a new supported stablecoin to the system
  • rmStablecoin - Remove a stablecoin from the supported list
  • setIsUnstakePaused - Pause or resume unstaking operations
  • addStakePool - Add a new stake pool to the network
  • withdrawProtocolFee - Withdraw accumulated protocol fees

Parameters adjustment methods

  • setProtocolFeeCommission - Set the protocol fee rate for reward distribution
  • setFactoryFeeCommission - Set the factory fee rate for protocol fees
  • setEraParams - Configure era duration and timing parameters
  • setRateChangeLimit - Set maximum allowed exchange rate change per era
  • setMinStakeAmount - Set minimum stake amount threshold
  • setUnbondingDuration - Set unbonding period duration in eras
  • setUnstakeFee - Set fee rate for unstaking operations

Era Method

Triggers era progression and processes pending operations. This is a permissionless function that can be called by anyone once sufficient time has elapsed.

The newEra() function executes a multi-phase pipeline that processes all bonded pools in the network:

  1. Era Validation: Calculates next era number and validates sufficient time has passed
  2. Delegation Processing: Delegates accumulated stablecoins to Ondo Finance for RWA token subscription
  3. Undelegation Processing: Redeems RWA tokens back to stablecoins for pending withdrawals
  4. Reward Calculation: Calculates rewards from RWA token appreciation
  5. Rate Updates: Updates exchange rates based on total RWA value vs LSD supply
  6. Protocol Fee Distribution: Distributes protocol fees from newly earned rewards

Rate Calculation:

if (totalLst == 0 || totalActive < totalLst):
    return 1e18
else:
    calRate = (totalActive * 1e18) / totalLst

Events Emitted:

  • ExecuteNewEra(uint256 indexed era, uint256 rate) - Era transition and new exchange rate
  • NewReward(address poolAddress, uint256 newReward) - Rewards earned by each pool
  • GovRedeemFee(address pool, address stablecoin, uint256 amount) - Ondo redemption fees
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