Yield Compensation Program

Overview

In early January 2026, we identified issues with how yield was being distributed to early sUSX stakers. We're committed to making this right.

All compensation will be distributed by 16 January, 2026. This page explains what happened and how we're compensating affected users.

What Happened

When USX launched in November 2025, our smart contract had limitations in how it tracked and distributed yield:

  1. Partial Reporting Period: Our first yield report on 16 December 2025, only covered 12 days of performance (17-30 November 2025) instead of a full month.

  2. Extended Distribution: The contract was configured to distribute this partial yield linearly over 30 days, completing on 16 January 2026.

  3. Missing Blend Yield: Yield from our on-chain strategies (Blend) was not included in early distributions.

  4. Early Exit Impact: Users who unstaked before 16 January 2026, will miss out on yield they had rightfully earned during their staking period.

Who Is Affected

Group
Situation
What We're Doing

Early Unstakers

Withdrew between 17 Nov - 15 Dec 2025

Full compensation for missed yield

Recent Unstakers who are pending withdrawals

Withdrew between 16 Dec 2025 - 9 Jan 2026

Compensation for the gap between actual and earned yield

Current Stakers

Still holding sUSX

Lump-sum compensation on 16 January 2026

Compensation Timeline

All compensation will be distributed on January 16, 2026. This includes users who have already unstaked, pending withdrawals, and current stakers.

If you're affected, you'll see the compensation in your wallet on January 16.

How Compensation Is Calculated

Your compensation equals what you should have earned minus what you actually received on-chain:

True Earnings are calculated based on your actual balance and staking duration, minus the standard 10% protocol fee.

What's Changed

To prevent similar issues, we've made immediate and long-term fixes:

Immediate Fix

  • Distribution period changed from 30 days to 1 day - Yield is now distributed daily instead of over 30 days, eliminating the early unstake penalty

Temporary Solution

We've implemented a new yield distribution system which is also mentioned in Yield Compensation Program:

  • Twice-monthly distributions instead of monthly

  • Two-week staking epochs for predictable deposit and distribution cycles

  • Transparent lockdown periods so all stakers earn yield fairly

This temporary epoch system prevents yield dilution while we develop an improved smart contract, expected in Q1 2026.

Questions?

Transparency and fairness are core to USX. We're committed to making this right and ensuring it doesn't happen again. Thank you for your patience and trust.

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