Yield Sources & Proof of Reserves
Ledgity’s yield is generated through a regulated investment vehicle designed for institutional-grade treasury management.
Regulated Investment Fund (Luxembourg)
The underlying assets are held inside a regulated investment fund domiciled in Luxembourg, one of the strictest jurisdictions in Europe for asset management.
Not a bank
Not an informal structure
A fully regulated investment fund
Managed by licensed financial professionals
Independent risk, valuation, and compliance procedures
Documentation: ➡️ Fund Folder: https://drive.google.com/drive/folders/1Xf8om53t6agqqCjSAkgxR9P-9SwADKbF Don't hesitate to schedule a call to have more info, https://calendly.com/gregoire-ledgity
2. Asset Allocation Model
Ledgity applies a diversified model combining regulated RWA with on-chain liquidity management:
80% — Off-chain regulated RWA
Short-term fixed income
Corporate and government debt
High-grade receivables
Instruments managed inside the Luxembourg fund
Full due diligence + monthly NAV valuation
15% — On-chain integrations
Blue-chip DeFi money markets (e.g., Aave)
Capital-efficient liquidity optimizations
Always non-custodial
5% — Liquidity Buffer (instant withdrawals)
Immediate liquidity for user redemptions
Kept in stable assets
Fully visible on-chain
This model allows Ledgity to deliver a stable daily yield (~9% APY) with controlled risk and full transparency.
3. Custody & Valuation
Custodian
The Luxembourg investment fund has its own regulated custodian responsible for:
Safekeeping the assets
Settlement of financial instruments
Oversight of cash movements
Valuation Agent
The fund appoints an independent valuation entity responsible for:
Monthly NAV calculation
Pricing of assets
Reporting to auditors and regulator
Auditors
Yes — the fund is audited annually by a certified external auditor.
4. Proof of Reserves (PoR)
Ledgity is integrating on-chain Proof of Reserves, powered by Chainlink, to give users cryptographic verification of collateral.
Phase 1 — On-chain Transparency
Real-time on-chain view of instant liquidity
Ledger of Aave buffer positions
Token supply vs liquid reserves
Phase 2 — Off-chain Fund Proof (via Chainlink PoR)
The Luxembourg fund will publish:
Monthly NAV attestation
Independent valuation documents
Proof of assets held by the fund
Automated updates through Chainlink PoR
This allows users to verify:
Total token supply
Total eligible collateral
Excess reserves
NAV evolution
Future: Secure Mint
We integrate a “secure mint” approach, ensuring that:
It becomes cryptographically impossible to mint more lyUSD/lyEUR than the proven reserves.
This will fully align minting logic with verified Proof-of-Reserves data.
Ledgity’s vision is to deliver one of the most transparent stablecoin-yield infrastructures in Europe, aligned with institutional requirements and MICA standards.
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