Hourglass Custodian

The Custodian is the hub for the tokenization of time-bound assets. When users deposit assets into the system to mint time-bound tokens (TBTs), the deposit is handled by the Custodian, routing the deposit to the correct strategy & returning freshly minted TBTs to the user as a receipt. These TBTs can be traded or transferred as any other ERC-1155 token, yet the holder of the tokens accumulates their share of rewards (see rewards section for more details).

Asset Registry

Assets are added to the custodian as a registered asset ID, allowing for the (eventually) permissionless creation of new maturities. At present, the action of registering assets for use within the system is a permissioned activity, and requests to incorporate additional options should be routed to the team.

Deposits

Users can deposit into the system and receive ERC-1155 TBTs in return (see Time-Bound Token section for more details). The deposits are forced to remain in the system until the maturity is reached, but once it has, the user is able to redeem these for the underlying asset. To reclaim the deposited assets, you MUST have the TBTs in your wallet! If you sell these on the marketplace, you no longer own the rights to the underlying deposits as the buyer is now able to redeem at maturity.

When a new maturity is created, a Vault is cloned, which allows for segregated asset siloing & rewards accumulation across all depositors into that maturity. The vault then interacts with the underlying protocols dictated by the specified strategy (see Staking Proxy Vault section for more details).

New maturities can either be created one at a time, or as a tranche of multiple various maturity dates. A specific maturity can only be created one time. Some strategies may require depositing assets at the same time as the creation of said maturity.

Deposit transfers are routed through the appropriate asset intermediary such that users need only approve that one address and be able to deposit into any given maturity that utilizes that deposit token.

As time progresses, the yields are claimed automatically as dictated by the strategy and made available to recipients through the rewards distribution process.

Note that if gas costs appear to be more than one would normally expect for an ERC-1155 token transfer, it likely means that the rewards are going to also be claimed from the strategy during this transfer - the fees will be lower once another user has transferred and claimed for this reward period.

Redemptions

Once a deposit has reached it's maturity, the holder of the ERC-1155 TBTs can burn these in exchange for the underlying deposited asset. The first person to redeem is also withdrawing the underlying assets from the strategy & receiving their correct share of the deposit. The remaining assets not belonging to that redeemer are held in a Mature Holding Vault (see Matured Vault section for details). Assets held in mature vaults may or may not continue to accrue yields to holder of the TBT.

The process of redeeming will also burn the redeemed balance of TBT directly from the redeemer's wallet—you do not need to grant the custodian approval to do this, as it will only take place when the redemption function is called.

Contract viewable at: https://etherscan.io/address/0xF083C8e524B1DA5B557E89120a497Ce9a61f2CeA