sidereal.hedera
Split yield-bearing assets into principal and yield, then trade each side separately on Hedera.
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About
Sidereal is a yield-tokenization protocol for stablecoins and real-world assets. A user deposits a yield-bearing asset into Sidereal, and the position is split into two separate tokens: one representing the principal and the other representing the future yield generated by that asset. This creates two very different products from the same underlying position. A user who wants predictability can sell the future yield and effectively lock in a fixed return, while another user can buy the yield token to get leveraged exposure to changes in the underlying yield. Our goal is to bring this market structure to assets on Hedera, especially tokenized treasuries, stablecoins, and other yield-generating RWAs. Instead of yield being something that is passively attached to an asset, Sidereal makes it a separate, tradable financial primitive that can be priced, exchanged, and composed with other DeFi applications.
How it's made
Sidereal is built with Solidity smart contracts deployed on Hedera. Users deposit a yield-bearing stablecoin or RWA position into a vault, which splits it into two tokenized claims: a Principal Token representing the underlying principal at maturity, and a Yield Token representing all yield earned until that date. The contracts handle deposits, PT/YT minting, maturity accounting, and redemption. We use Hedera’s EVM compatibility for the core contract logic and Hedera Token Service for issuing and transferring the resulting positions. The frontend connects directly to the contracts through an EVM wallet, while Hedera Mirror Node data is used to track transactions and positions. The interesting part was turning a continuously accruing asset into two independently transferable claims while making sure PT + YT always reconcile back to the original underlying position at maturity.