Real Yield Token

Real Yield Token (RYT) is a tokenised representation of units in a regulated USD money market fund. It is issued by Solowin Digital Horizon SP, a segregated portfolio of the Solomon Global Select Fund SPC registered in the Cayman Islands. Each RYT token corresponds to one share in the ChinaAMC Select USD Money Market Fund, which is custodied at Standard Chartered Bank.

RYT is designed to combine the safety and yield of traditional money market funds with the immediacy of blockchain settlement. It enables investors to subscribe or redeem tokens instantly on chain at any time, with the underlying fund operating on its standard settlement cycle in the background. The token behaves as a stable, non-rebasing instrument whose value increases as the fund accrues yield, reflected directly in its net asset value.

RYT is structured as an ERC-20 compatible token that integrates with DeFi protocols. It is fully backed one-to-one by fund shares and is non-rebasing, so the token quantity in investor wallets does not change. Instead, yield accrues through daily increases in net asset value. Investors therefore experience returns simply by holding the token, without separate distribution of interest.

The token can be used as collateral, supplied to liquidity pools, or held in DAO treasuries while maintaining exposure to regulated money market yields. To preserve compliance, RYT is available only to accredited investors who pass know-your-customer and anti-money laundering checks. Transfers are restricted at the smart contract level to whitelisted wallets, ensuring that only verified participants can mint or redeem tokens.

Subscriptions and redemptions are handled through an atomic swap mechanism. Investors send USDC to mint RYT or redeem RYT for USDC, with instant on-chain settlement provided by Ocean Securities, the project’s liquidity provider. The underlying fund subscription or redemption is processed in the background through Solowin’s Standard Chartered account.

RYT operates through a layered architecture that combines blockchain contracts with traditional custody and administration. Standard Chartered Bank holds the underlying fund shares, acts as transfer agent, and oversees reconciliation. On chain, an MPC-controlled treasury wallet manages pre-minted RYT tokens and liquidity reserves in USDC. The Liquidity Teller smart contract handles minting and redemption at the current net asset value provided by a daily NAV oracle.

Redemption and subscription are atomic, meaning that both token and cash legs of the transaction complete together or not at all. This eliminates settlement risk. Safeguards include multi-signature approvals for treasury operations, price deviation alerts, clawback functions to maintain one-to-one backing, and audited smart contracts. According to the diagrams on pages 7 and 8 of the whitepaper, subscription and redemption flows move seamlessly between investors, Solowin’s accounts, the ChinaAMC fund, and on-chain liquidity, keeping token supply aligned with fund holdings at all times.