How it works

When somebody lays a basket, the program writes down how many raw units of each token stand behind one share, and then takes control of the share mint. That record cannot be edited afterwards. There is no manager, no rebalance authority, and no upgrade path that lets somebody change what your share is a claim on.

A basket holds up to 8 components. Shares carry 6 decimals, so a share divides down to a millionth. The vault is the basket account’s own associated token account for each component, which means anybody can check the balance without asking us where the assets are.

Creating shares means handing the vault the actual tokens the recipe names. Redeeming means taking them back out. At no point does the program ask what anything is worth, so there is no oracle to go stale, no oracle to be manipulated, and no oracle to pay for.

This is the same mechanism a real exchange-traded fund uses, and it is the reason a fund tracks its holdings instead of drifting from them. The difference is that the right to create and redeem normally belongs to a handful of authorised participants. Here it belongs to whoever is holding the tokens.

It also means redemption cannot fail for market reasons. If every buyer disappears, a share is still a claim on specific tokens in a specific vault, and the claim is honoured by a program that has no opinion about the news.

Amounts are integers, so division leaves remainders. Every deposit rounds up and every withdrawal rounds down. A creator therefore pays at most one extra raw unit per component, and a redeemer receives at most one raw unit less.

The consequence is the property the basket page shows you: what the vault holds can only ever be at or above what the outstanding shares can claim. Backing per share never falls. Rounding dust accumulates in the vault and belongs to whoever is still holding shares, which is the opposite of the usual arrangement where the fund keeps it.

The tokenised equities on Solana use a Token-2022 extension called scaled UI amount. When the underlying company pays a dividend, the issuer raises a multiplier on the mint, and every wallet’s displayed balance grows. Nothing is transferred. The raw balance on chain is unchanged.

That distinction does real work here. A recipe written in raw units is immune to the multiplier moving, which is why redeeming a share returns exactly the same raw amount before and after a dividend, while being worth more. But it also means a basket priced from displayed balances would be written short by exactly the dividends already accrued. So the composer converts a target share price into raw units by multiplying through the current multiplier first.

The dividends-inside figure on every basket is that arithmetic run backwards: the share of the basket’s value that is dividends already collected on chain rather than price appreciation.

A creator can set a fee up to 1% and earns it on every creation, paid in shares of their own basket. The fee is taken from the shares issued, not from the components deposited, so the vault always receives the full recipe and backing per share is not touched by the fee.

A creator who wants to be paid more has exactly one lever: get more people to create shares. They cannot dilute the holders and they cannot reach into the vault, because the program has no instruction that would let them.

Creating shares requires holding every component first, in the right proportions. That is the cost of refusing to trust a price. A router can smooth it over for someone paying in one currency, and the honest statement is that the primitive underneath is in kind and the convenience is a layer on top.

Rather than assert that the cost is small, every basket page measures it. The panel called the last mile quotes each component through a live router twice, dollars in and then straight back out, and prints the round trip. On a typical eight-component basket it lands under a quarter of a percent, and it grows with size, which the panel also shows.

The tokens themselves are issued by Backed Finance (xStocks) and PreStocks, not by us. Their transfer hooks, permanent delegate, and pause authority are theirs. Tessera does not remove counterparty risk in the tokenised equity; it removes counterparty risk in the wrapper around it.

The claim is not that a chain is faster. It is that four specific things collapse into one transaction here and cannot collapse anywhere else: issuing a new instrument, taking custody of its backing, settling the exchange, and letting anybody verify the backing afterwards.

Solana in particular because creation and redemption are only useful if they are cheap and immediate. An arbitrage that closes a gap between a basket and its components has to settle before the gap moves, and fractions of a cent per transaction are what make a hundred-dollar basket worth creating at all. Token-2022 matters just as much: the dividend mechanism this whole design accounts for is a token extension, not an application feature.

Every price, every 24-hour move, every liquidity figure, and every dividend multiplier is read live from Solana mainnet. Nothing on screen is a sample or a placeholder.

Creating and redeeming run against devnet, against faithful mirrors of the same mints: Token-2022, the same decimals, the same metadata, and a scaled UI multiplier seeded from the live mainnet value. So you can hand a vault real quantities and watch the backing proof update without spending money on a demonstration.

Program F8QLTZPe9mJuPgXCbccnU9G2kMSEE4inygdUw3QZbrQ

PreStocks issues Token-2022 SPVs over pre-IPO companies — Anthropic, OpenAI, SpaceX and others. Several of those mints carry a TransferFeeConfig extension no xStock has: every transfer skims a fee at the token-program level. Left alone, a recipe that deposits the raw amount it wants held would under-back the vault by exactly that fee, silently. mint_shares now reads the mint’s live fee schedule and grosses up the deposit so the vault still nets the recipe amount — the same discipline the scaled UI multiplier already forced on xStocks, one extension over. Look for the PreStocks tag on any basket that composes one, and the +fee mark on the create panel when it applies.

Meteora’s Dynamic Bonding Curve gives a brand-new basket a primary market before it has one. A pool is a separate token, not a redemption right, but it is configured from the basket it stands in front of rather than round numbers: opening and migration market caps are set at a multiple of that basket’s own stated NAV, converted to SOL at the live price when the pool is opened. Open the one basket that has one to see the panel and the addresses.

That basket · pool DAZdm2LmiDCfVQaAuVkKdK5Qa1hWmkV1fNK6SzGikqFU