Treasury Transparency

Ledgity is structured to provide full traceability of how capital is managed, how yield is generated, and how value flows back to participants. There are no opaque strategies, no discretionary treasury movements, and no hidden incentives. Every component of the system is either on-chain and verifiable or regulated and audited off-chain.

Treasury transparency is ensured through two complementary layers:

  • On-chain protocol accounting (immutable, auditable, programmatic)

  • Off-chain RWA portfolio reporting (regulated, reconciled, externally verified)


On-Chain Treasury Logic

All protocol revenue handling is executed through smart contracts. No private key or operator can redirect funds outside defined rules.

Component
Purpose

Vault Contracts

Hold user deposits and compute PPS (Price-Per-Share) to reflect yield over time

FeeCollector

Aggregates yield performance fees

BuybackManager

Executes automated buybacks of LDY from open markets

veLDY Community Pool (80%)

Distributes rewards to veLDY stakers (the DAO)

veLDY Council Pool (20%)

Incentivizes operational oversight and execution

20% of all protocol performance is automatically redistributed to the DAO via the veLDY Community Pool. Since veLDY stakers are the DAO, they directly benefit from protocol growth.

No revenue ever flows into private team wallets through the protocol layer.


Off-Chain RWA Portfolio Transparency

The RWA portfolio is managed through SARR Fund, a regulated Luxembourg investment vehicle with independent oversight.

Key guarantees:

  • Segregated client assets

  • Short-duration, liquid fixed-income allocations

  • No leverage and no rehypothecation

  • Portfolio reporting reconciled with on-chain PPS movement

Yield = cash flows repaid by real economic activity → converted → reflected continuously in the PPS price of L-Tokens.

This ensures real, repeatable, non-speculative yield.


Withdrawal Transparency & Liquidity Management

Withdrawals are structured to avoid liquidity mismatch — a frequent failure point in RWA projects.

Liquidity Source
Timing
Purpose

On-chain liquidity buffer

Instant

Supports everyday withdrawals

Short-duration repayment cycle

~24–72h

Normal redemption processing

Extraordinary withdrawal coordination

Case-by-case

For withdrawals >10% of TVL

This framework ensures users can withdraw capital without destabilizing the underlying portfolio.


Reporting & Observability

All performance and movement can be monitored in real time:

Layer
Transparency Mechanism

On-chain Vault Activity

Dune dashboards, DeFiLlama, Token Terminal

Buybacks & Reward Distribution

Smart contract logs + open execution traces

RWA Performance Reports

Periodic disclosures from the SARR Fund

Governance Decisions

Public Snapshot votes and multisig execution records

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