Sigma Money Volatility Tranching DeFi Protocol

Fluctuation Layered Core Architecture

Sigma Money splits yield-bearing assets into a stable layer and a Fluctuation layer, where bnbUSD locks the principal to earn native BNB staking rewards, and xBNB offers 7x leverage with no funding rate exposure. Users can open long xPOSITION or short sPOSITION by collateralizing BNB, leveraging through flash loans, while the system automatically settles to ensure transparency and auditability.

Operational Process and Rebalancing

In the opening phase, derivative assets are minted, and the settlement of profits occurs based on price Fluctuation when closing positions. The rebalancing mechanism monitors deviations in leverage ratios and adjusts automatically. In extreme cases, Keepers execute liquidation to maintain stability. Dynamic leverage and reserve funds defend against four layers of risk control to reduce the risk of liquidation and enhance the security of the protocol.

Sources and Distribution of Income

LSD such as slisBNB staking and protocol transaction clearing fees are injected into the reserve fund to hedge against bad debt operational payments, and the excess is used to buy back and burn $SIGMA to promote deflation. Combined with ListaDAO Pendle ecological integration to optimize the yield curve and enhance the capital efficiency of the BNB Chain.

$SIGMA Token Economics Design

Total supply is 100 million, with 40% for governance voting, 30% for staking rewards, 15% for ecological funds, 10% for team lock-up, 5% for strategic partners, and 20% airdrop for f(x) veFXN holders. The points system rewards early participants and balances community incentives with long-term development.

Summary

Sigma Money (SIGMA) is not simply a leverage protocol or stablecoin platform, but a reinterpretation of DeFi risk management and yield logic. It allows users to freely choose the balance point between stability and fluctuation within the same system, creating a truly sustainable on-chain financial model through smart layering, dynamic leverage, and transparent governance.