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User Flow

This page describes the end-to-end interaction flow for a participant converting into and out of DERA via the Dera Protocol smart contracts.

Step-by-Step Flow

  1. Token Validation and Engine Approval: The Engine verifies the submitted token is whitelisted and that the user has approved the Engine to move their tokens
  2. Allocation Calculation: Based on current pool weights set by the admin, the submitted capital is divided proportionally across active connectors
  3. Connector Execution: Capital is routed to respective connector contracts, which deploy it into external DeFi protocols
  4. DERA Minted: Once capital is deployed, the equivalent value in DERA tokens is minted at the prevailing exchange rate and transferred to the user
  5. Passive Yield Accrual: Yield accrues continuously as LP token values increase or rebase in the underlying protocols. The DERA exchange rate reflects this appreciation over time without any action from the holder
  6. Redemption: When the user calls burnDeraAndWithdrawFunds, DERA tokens are burned and the equivalent USDC value is returned by withdrawing from the same connector paths in reverse

All interactions are secured by reentrancy guards and emit detailed events for compliance tracking and on-chain auditability.

Active Pool Allocations

The following connectors are currently active. Allocation percentages are configurable by the protocol administrator and subject to governance. Current allocations are verifiable on the Dera Dune Dashboard.

ProtocolMechanismConnector Contract
Aave V3Rebasing aTokens (aEthUSDC)0x56d457073dc8e5ff6f17d89a622f5eb627bfa66c
FluidValue-appreciating fTokens (fUSDC)0x444f01fc495f9ce6b75fa7b1e8a49f0a95bcdca4
Compound V3Rebasing cTokens (cUSDCv3)0x2357ee234b1123310a6cdd5aa38dcf3ab8886cd9

The DERA token contract is deployed at 0xb1431da6d57646a166bb23e1f6fe92a134709d75.