yUTY, issued by the XSY Protocol smart contracts under the governance of XSY tokenholders, is a tokenized yield-strategy product that represents the staked version of the UTY synthetic dollar accruing protocol yield through an increasing exchange rate [S1].

Each yUTY represents UTY staked in the XSY reward contract, accruing yield sourced from the protocol's delta-neutral perpetual basis strategy. Rather than distributing income, the staked position accrues value through an increasing exchange rate between yUTY and UTY, so a holder's balance tracks accumulated strategy returns over time as the redeemable quantity of UTY per yUTY rises [S1].

XSY maintains a transparency dashboard titled Proof of Solvency at the accountable subdomain, presented as powered by Accountable, which reports on the backing of the protocol's staked positions [S2]. The asset is not issued by a single corporate entity, and holders interact directly with the protocol smart contracts rather than holding a claim against a corporate balance sheet. The protocol operates an application interface for staking and unstaking through those contracts [S1], alongside a separate protocol API documentation portal that exposes programmatic access to protocol functions for integrators and reporting tools [S3].

yUTY is issued onchain through the XSY Protocol smart contracts, with holders interacting through the protocol application to stake UTY into and unstake from the reward contract, where the exchange rate between yUTY and UTY governs settlement of the redeemable amount, and a protocol API is available for programmatic integration and position monitoring [S3][S1].

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  retrievedAt="2026-06-22"
  items={[
    { id: "S1", url: "https://app.xsy.fi/" },
    { id: "S2", url: "https://accountable.xsy.fi/" },
    { id: "S3", url: "https://api.xsy.fi/docs" },
  ]}
/>


Tokenized funds

The protocol generates returns by providing funding via perpetual contracts while hedging positions through underlying token ownership to eliminate price risk, effectively capturing perpetual basis yields that typically exceed 14%. Users can mint UTY with USDC, choose their preferred vault strategy, and withdraw funds after a 7-day unbonding period designed to protect against mass withdrawals and allow safe position closure.

XSY provides a yield-generating protocol that allows users to mint UTY tokens by depositing USDC and earn yields above 15% APY through perpetual contract funding strategies. The platform offers two vault options: yUTY for auto-compounding yield payments and xUTY for governance token accumulation, with plans to expand into inverse basis trading, tokenized T-Bills, and tailored liquidity loops.

XSY is a decentralized finance protocol built by cryptocurrency and traditional finance veterans from Algorand, Paxos, and major Wall Street derivatives firms. The project operates on Avalanche blockchain with institutional-grade security through Quantstamp audits and Ceffu & Copper custody solutions.

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Real-world asset (RWA) issuers

Unity Staked Synthetic Dollar (yUTY) is a tokenized fund share issued by XSY through XSY Foundation.

The fund is open-ended and invests in crypto assets.

Retail investors, professional investors, accredited investors, qualified investors, qualified purchasers, and institutions can subscribe and redeem in UTY.

yUTY has been issued on Base as an ERC-4626 token since March 2026.

Unity Staked Synthetic DollaryUTY