$RWS is a tokenized reward protocol providing on-chain staking and tokenized real-world stock redemption. Users stake $RWS into a dedicated Staking Vault and accumulate reward value per a predefined emission schedule; claimed rewards settle in $RWS.

Separately, $RWS holders can permanently burn a specified amount of $RWS to receive a randomly selected tokenized stock from an approved Stock Pool. Outcomes and probability weights are defined by protocol parameters. The system comprises the Staking Vault, Accrual Engine, Stock Reserve, Reward Settlement Mechanism, and Randomized Stock Redemption mechanism.

The protocol separates five concerns:

• Staking — locks $RWS and establishes a participation position.
• Accrual — calculates reward value over time.
• Reward Settlement — returns eligible staking rewards in $RWS.
• Randomized Redemption — burns $RWS and distributes a randomized tokenized stock.
• Reserve Management — maintains the tokenized stock assets used for redemption.

Staking
  User → Stake $RWS → Staking Vault → Accrual Engine
       → Reward Accrues → Claim → Reward Settlement → $RWS to User

Redemption
  $RWS Holder → Select Redemption → Burn $RWS → Random Selection
              → Stock Pool → Tokenized Stock → User Wallet

On every staking interaction the protocol measures time elapsed since the user's previous accounting update and computes the corresponding reward:

Reward = Staked Amount × Applicable Rate × Time Elapsed

The applicable rate is set by protocol emission parameters. The resulting reward is the amount of $RWS eligible for settlement. The tokenized stock reserve is not the settlement asset for ordinary staking rewards.

The Stock Reserve is the treasury component holding tokenized stock assets for Randomized Stock Redemption — a diversified basket of approved assets. It may be purchased, sold, rebalanced, reallocated or replaced per protocol rules. Value is monitored as:

Reserve Value = Σ (Current Price × Quantity of Each Reserve Asset)

Because redemption consumes reserve inventory, redemption activity is part of reserve-management calculations. Its primary purpose is to maintain sufficient inventory of eligible tokenized stocks for redemption.

On claim, the protocol:

1. Calculates reward accrued since the previous accounting update.
2. Determines total claimable reward and verifies protocol conditions.
3. Transfers the corresponding $RWS to the user's wallet.
4. Resets the claimable balance and updates the accounting timestamp.

Staking principal and reward remain denominated in $RWS and are separate from any tokenized stock obtained through redemption.

Holders can permanently burn a specified amount of $RWS to receive a randomly selected tokenized stock from the approved Stock Pool. Redemption does not return $RWS — burned $RWS is permanently removed and cannot be unstaked or claimed back. Staking is not required.

Per redemption the contract:

1. Verifies the user holds sufficient $RWS.
2. Permanently burns the required $RWS.
3. Generates a verifiable random outcome.
4. Maps the outcome to an eligible stock asset.
5. Transfers the tokenized stock from the Stock Reserve and records it on-chain.

§12.7 — Total $RWS Burned = Σ successful redemption burns. The burn does not itself guarantee any change in $RWS market value.

The two mechanisms operate independently. Staking is not a prerequisite for redemption.

The system has two participant loops that should be evaluated independently:

Staking Activity  ↔  Reward Emissions  ↔  $RWS Supply
$RWS Burns        ↔  Redemption Activity ↔  Stock Reserve Inventory

$RWS Token

Native protocol token

Emission Rate

Protocol-defined annualized reward rate

Rate Range

12.00% – 24.00% annualized

Staking / Reward Asset

$RWS

Reserve Asset

Diversified tokenized stock basket

Price Source

Approved oracle mechanism (Finnhub feed)

Redemption Cost

1,000 / 5,000 / 25,000 $RWS

Redemption Probabilities

Publicly defined per tier

Randomness Source

Verifiable / secured randomness mechanism

Protocol Fees / Governance

To be defined

Live addresses appear here once deployed and set in the environment. See the Transparency app for on-chain state.

$RWS Token0x00000000…00000000 · pending

Staking Vault0x00000000…00000000 · pending

Redemption0x00000000…00000000 · pending

Stock Reserve0x00000000…00000000 · pending

Treasury0x00000000…00000000 · pending

$RWS proposes a protocol with two distinct mechanisms. Staking: users lock $RWS, accumulate rewards per emission parameters, and receive rewards in $RWS on claim. Randomized Stock Redemption: holders permanently burn $RWS to receive a randomly selected tokenized stock from an approved Stock Pool. The Stock Reserve supports randomized distribution rather than ordinary staking settlement. The protocol is designed around transparent accounting, defined staking mechanics, permanent burns, randomized distribution and observable reserve management.