Wrapped Tokens and sTokens | Symbiosis
The Symbiosis protocol uses sTokens (a type of wrapped tokens) to do cross-chain operations. More information on sToken, sToken's liquidity pools, and the supported blockchains in this document.
A wrapped token is a representation of one token through another: the source asset is locked in a special smart contract on the source blockchain where this asset exists, and
- 1.The wrapped version is issued (minted) on the same blockchain OR
- 2.The wrapped version is issued (mined) on another blockchain.
Wrapped tokens are widely used to:
- Exchange one asset for another within one blockchain;
- Exchange one asset for another within between blockchains.
The Symbiosis protocol (V1 and V2) works with a particular stablecoin on each supported blockchain to perform cross-chain operations. For instance, it’s USDC on Ethereum and BUSD on BNB.
Such a stablecoin has its wrapped representation (sToken) on another blockchain with a ratio of 1:1 to its locked original. For example, it is USDC on Ethereum, and its wrapped representation is sUSDC on another blockchain.
*sToken stands for Synthetic Token.
The Symbiosis protocol owns liquidity pools with sTokens. sTokens get minted and burned during cross-chain operations conducted via the Symbiosis protocol.
sTokens are used for technical purposes and the end users cannot trade sTokens, though they can obtain sTokens while supplying/withdrawing liquidity to/from the liquidity pools owned by Symbiosis or reverting cross-chain operations.
Symbiosis protocol V2 supports the following blockchains:
- BNB Chain,
- Boba Ethereum,
- Boba BNB (S-Chain),
- Boba Avalanche,
Scheme 1. Blockchains supported by Symbiosis protocol V1.
All the blockchains are connected via the servicing chain (S-Chain).
Symbiosis protocol V1 supports the following blockchains:
- 2.BNB Chain,
- 5.Boba Ethereum,
Scheme 2. Blockchains supported by Symbiosis protocol 1.
Scheme 2: A link between two blockchains means that direct cross-chain operations are supported for this pair.