It is designed to give users compounding exposure to TCY, the token that directly captures 10% of Thorchain’s system income. Unlike holding raw TCY, sTCY automatically compounds rewards within the contract, eliminating the need for manual re-staking.
How does sTCY work? #
At its core, sTCY is a wrapper around TCY deposits:
- Deposit TCY → Get sTCY\
Users deposit TCY into the contract and receive sTCY in return. Rewards are continuously auto-compounded into the pool. - Redeem sTCY → Get TCY back\
Users can at any time burn sTCY to redeem their underlying TCY plus the compounded rewards. - Auto-Compounding Engine\
The contract continuously compounds rewards, increasing the value of each sTCY share relative to TCY over time.
💡 The share price (exchange rate between sTCY and TCY) gradually rises as rewards accumulate.
Fee Structure #
The AutoRujira team, who developed and maintain the sTCY contract, collect a 5% fee on generated rewards.
- Deposit Fee: None
- Withdrawal Fee: None
- Performance Fee: 5% of compounded rewards
This aligns incentives: users enjoy seamless compounding while the maintainers are compensated only when yield is generated.
Risks #
As with any DeFi yield product, sTCY carries risks:
- Asset risk → Exposure to TCY price fluctuations.
- Smart contract risk → The underlying AutoRujira contracts are audited, but never risk-free.
- Liquidity risk → TCY markets can be shallow, leading to volatility.
- Protocol dependency → Changes in THORChain’s system income model could affect performance.
Why choose sTCY? #
- Pure auto-compounding → No need to claim or reinvest rewards.
- Liquid staking → Redeem at any time without lockups.
- Seamless experience → Direct access via RUNEBond integration.
- Aligned incentives → Fees only on rewards, never on principal.
Get Started #
sTCY is now live and available through RUNEBond.
👉 Start compounding your TCY seamlessly: RUNEBond Yield Assets Dashboard
Happy compounding! 🧬
