Liquidity Model
StakeXDC separates protocol redemption (burning shares for XDC against the vault) from market price (psXDC on a DEX). Both stay healthy for partner integrations, but they behave differently and the difference is important.
StakeXDC separates protocol redemption (burning shares for XDC against the vault) from market price (psXDC on a DEX). Both stay healthy for partner integrations, but they behave differently and the difference is important.
psXDC Token Properties
| Property | Detail |
|---|---|
| Name | psXDC (on-chain name PrimeStakedXDC) |
| Standard | ERC-4626 vault share |
| Pricing | Exchange rate totalAssets / totalShares, which steps up with each monthly reward distribution. Not a fixed 1:1. |
| Network | XDC Network (chain ID 50) |
| Address | 0xDc74c0DaED82ae94486DeeF22991d2F54173c734 |
| Transferable | Yes (standard XRC-20 token) |
| Yield mechanism | Share-price appreciation; rewards are already inside the share, so there is no manual claim |
| Redeemable against the protocol | Yes: withdraw / redeem (instant when buffer suffices) or redeemWithQueue (instant or queued) |
| Market-tradeable | Yes, on StakeXDC Spot and other DEXs |
Two distinct exit paths
1. Protocol redemption (NAV-based)
When you burn psXDC against the vault, you receive XDC at the current exchange rate, not a fixed 1:1. The amount is convertToAssets(shares).
- Instant when the vault's unencumbered XDC (its balance minus what is earmarked for the queue and for failed payouts; V3.2 has no percentage buffer target) covers your request, settled in the same transaction.
- Queued when it does not: escrows the shares, adds you to the FIFO queue. Paid from a ring-fenced
queueBackingBudgetthat is topped up from returned masternode principal; processed in FIFO order, with requests the budget cannot yet cover passed over and retried. Escrowed shares are valued at payout time. - No partial fills. Each request settles in full when its turn comes.
- Free cancellation. You can
cancelQueuedWithdrawalany time before settlement and get your shares back unchanged.
For very large redemptions that the vault's unencumbered liquidity cannot cover, the pace at which the queue budget refills is governed by the XDC Network's candidateWithdrawDelay (about 35 days under typical real-world block times) between a masternode resignation and its principal returning. This delay is a network-level property of XDC's masternode unstaking flow, not a StakeXDC-specific gate, and it is not a settlement promise: queued users see their position, not a date.
→ Withdrawals: Instant vs Queued
2. Market exit (DEX swap)
Holders can swap psXDC for XDC on a DEX (always verify the pool holds the live V3.2 token, 0xDc74…c734). Market price is set by the AMM and is influenced by:
- The vault's current NAV (
totalAssets / totalShares), the long-run anchor. - Pool depth and recent volume.
- Demand for immediate liquidity vs willingness to wait for protocol redemption.
The market price can sit at, above, or below NAV depending on these factors. Arbitrageurs can close large gaps using the protocol's instant redemption path when liquidity is available, but small NAV/market deltas are normal.
| Concept | NAV (protocol) | Market price (DEX) |
|---|---|---|
| Reference | totalAssets / totalShares | AMM pool ratio |
| Updates | When rewards or losses are reflected on-chain | Continuously via trades |
| Slippage | None for amounts within the buffer; queue otherwise | Subject to pool depth |
| Settlement | Instant or queued by the vault | Atomic at trade execution |
Implications for Partners
| Consideration | Detail |
|---|---|
| Two value references | A user's psXDC balance can be valued either at NAV (convertToAssets) or at DEX market price. Use NAV for accounting and partner reporting; DEX price for synchronous trading flows. |
| Self-service withdrawals | Partners do not need to operate any approval flow; users can redeem on their own through redeemWithQueue. |
| Liquidity planning | If you expect bursty user withdrawal patterns, coordinate with StakeXDC on liquidity planning (how much XDC stays unencumbered in the vault and how the queue budget is scheduled); this affects how often partner users hit the queue. |
| Queue UX | Partners surfacing psXDC redemption should distinguish "instant" from "joins the queue" outcomes, show queued users their position (never a date) and note that smaller requests may settle first. The contract makes this explicit through events. |
| DEX integration | psXDC pools provide an instant exit, but the protocol's NAV is the canonical value and is what should drive any institutional reporting. |
Liquidity Risk Assessment
| Risk | Likelihood | Impact | Mitigation |
|---|---|---|---|
| psXDC trades at a discount to NAV on a DEX | Medium | Low | Arbitrageurs can buy on the DEX and redeem at NAV when the queue allows; the protocol cannot guarantee zero discount in all conditions. |
| Mass redemption event | Low | Medium | FIFO queue ensures fair sequencing; the protocol cannot become insolvent because each redemption settles at the live share rate against on-chain assets. |
| Unencumbered liquidity is too thin for normal partner traffic | Low | Medium | Liquidity and queue-budget scheduling are managed by the operations / migration managers through the standard ops process. |
| Failed receiver payout | Very low | Low | Deferred into pendingQueuedAssets and claimable via claimQueuedAssets. No XDC is lost. |
Key Metrics for Partners
All metrics below are verifiable on-chain via the staking-v3-indexer or direct calls to PrimeStakedXDC_V3_2.
| Metric | Description | Source |
|---|---|---|
| psXDC total supply | Outstanding shares | PrimeStakedXDC_V3_2.totalSupply() |
| Total assets | XDC tracked by the vault (buffer + delegated) | PrimeStakedXDC_V3_2.totalAssets() |
| Exchange rate | totalAssets / totalShares (or convertToAssets(1e18)) | Vault view |
| Instant liquidity | Unencumbered XDC available for instant redemptions | Vault balance − queueBackingBudget − totalFailedPayouts |
| Queue budget | XDC ring-fenced for queued requests | queueBackingBudget() vs totalPendingQueuedAssets() |
| Queue depth | Outstanding WithdrawalQueued requests | Subgraph |
| Per-operator principal | XDC delegated per masternode operator | outstandingValidatorPrincipalByOperator(operator) |
| DEX market price | psXDC/XDC pool quote | StakeXDC Spot pair (0x6018…5034) reserves |
Partners evaluating large position sizes should review the buffer and queue depth in parallel with DEX pool depth, and reach out to discuss sizing.
→ Reward Mechanics → Risk & Compliance → Deployed Contracts & Addresses
Reward Mechanics
How StakeXDC liquid staking rewards are generated and distributed. The model is NAV-based: rewards are not handed out via a manual claim flow; they arrive as monthly steps in the psXDC vault share price.
Governance
What governance can and cannot do on the psXDC vault: role separation, schedule → wait → execute delayed governance, the non-upgradeable vault, pause controls and the decision-making framework.