Non Rehypothecated Architecture

ORBT’s architecture is founded on the principle of true asset ownership, ensuring that every deposit remains fully intact, traceable, and immune to rehypothecation or hidden leverage. All collateral and liquidity positions are managed through isolated, auditable receipt structures, giving users verifiable proof of custody at all times.

Isolated Receipt-Based Custody

Every asset deposited into ORBT, whether stablecoins, BTC, ETH, SOL, or institutional tokens, is held in segregated vaults that issue an on-chain receipt token representing direct ownership of the underlying deposit.

• One-to-One Receipts: Each deposit generates a corresponding ERC-4626-compliant receipt token that reflects a 1:1 claim on the specific asset it represents.

• No Pledging or Pool Reuse: Assets are never lent, pledged, or rehypothecated for external borrowing or liquidity purposes. The only time an asset moves is when the original owner redeems it or executes a permitted transaction under protocol rules.

• Vault-Level Isolation: Every vault operates independently, ensuring that operational or market events affecting one asset cannot cascade into others.

This model preserves direct user control and eliminates systemic risk from hidden leverage or unauthorized reuse of collateral.

Transparent and Auditable Structures

ORBT’s receipt architecture is fully verifiable on-chain. Each vault publishes real-time data on asset balances, receipt supply, and redemption activity, creating an immutable audit trail accessible to anyone.

• On-Chain Proofs: Subgraphs and Proof-of-Reserve dashboards show exact backing for every issued receipt.

• Independent Verification: External auditors and the DAO’s Risk Committee can verify parity between vault holdings and outstanding receipts at any time.

• Event Logging: All inflows, withdrawals, and policy updates are logged immutably, ensuring that asset flows can be traced without ambiguity or off-chain reconciliation.

Through this transparency, ORBT establishes an auditable, non-custodial environment suitable for both retail and institutional participants.

Immutable Ownership Logic

Ownership within ORBT is immutable by design, governed entirely by smart contracts rather than intermediaries.

• Code-Enforced Rights: Users retain withdrawal rights directly in contract logic. No admin keys or allocator permissions can override, pause, or redirect funds.

• Non-Abstracted Balances: The system never issues derivative or abstracted IOUs that represent pooled assets. Every receipt maps directly to a real deposit, ensuring clarity between user balance and actual holdings.

• DAO-Controlled Policy Layer: Governance defines operational rules, such as eligible assets or withdrawal conditions, but cannot seize or repurpose user deposits.

This immutable custody design guarantees full user sovereignty while maintaining institutional-grade auditability.

Integration with the Unified Collateral Engine (UCE)

The non-rehypothecated structure integrates seamlessly into ORBT’s Unified Collateral Engine. Each vault feeds verified liquidity into the UCE without relinquishing ownership integrity, enabling composability while preserving isolation.

• Liquidity used for minting 0xAssets or funding allocators remains policy-bound and traceable.

• Capital cannot be “double-counted” across modules; every asset’s utilization is logged and capped at its actual deposit value.

• Any yield or settlement activity through the Modular Stablecoin Framework (MSF) is executed using explicit, permissioned access layers that reference these underlying receipts.

Thus, ORBT achieves capital efficiency without compromising custody discipline.