symToken

symToken is the medium of leverage exchange in SYM Finance. Leverage buyers mint symToken and sell it for Token to leverage up. This is the primary use case for symToken, which can be seen as an intermediate product in the process of leverage buyers' acquisition of leverage. symToken mostly stays within the system of SYM Finance and shouldn't be treated as a stablecoin.

Each type of collateral asset has its own corresponding symToken. e.g., symETH for stETH, symGLP for GLP.

Debt accounting

1 symToken is always treated as having equal value with 1 Token when being minted/burnt by leverage buyers. The protocol imposes zero interest rate on symToken debt, thus the debt balance does not increase over time without the leverage buyer minting more symToken.

Price fluctuation

symToken is primarily traded on Tidal AMM, where its market price will be discovered. The market price of symToken is the result of the dynamic equilibrium between leverage providers providing Token, leveage buyers selling symToken, and Tidal Force driving price closer to 1. Therefore, symToken's price reflects the market's real-time pricing of leverage. And the price is not supposed to be 1, since symToken/Token = 1 would mean free leverage.