Staked AI Dollar (sAID)

What is sAID (staked AID)?

sAID (staked AID) is a liquid staking vault token (yield bearing) representing a share in a tokenized portfolio of AI infrastructure financings. It is minted by staking AID, and its value tracks the Net Asset Value (NAV) of the underlying portfolio.

Unlike AID, sAID is not pegged to $1.00. Instead, its price floats according to the portfolio’s performance and yield accumulation reflected by the NAV of the vault.

1. How to Acquire sAID?

sAID can be minted only by staking AID, at the current Deposit NAV. The capital in the sAID vault will be deployed into AI infrastructure financing (GPUs, Robotics, etc.) and also a stable reserve for liquidity buffers (T-bills and stablecoins).

The sAID Vault conforms to the ERC-4626 Tokenized Vault Standard, an extension of ERC-20 that defines how vaults calculate deposits, unstaking, and yield accrual. This standard ensures transparent, standardized performance accounting and makes sAID fully interoperable with DeFi protocols that support ERC-4626 vaults — including lending, structured-yield, and derivative platforms.

When users stake AID, they are issued sAID, a tradable token representing their proportional share of the vault. The ERC-4626 architecture automatically manages how the sAID token accrues value from the underlying financing deals, while the ERC-20 interface ensures it remains freely transferable and composable across DEXs and integrated DeFi applications.

2. How to Unstake sAID?

• Unstake via Withdrawal Manager: Submit a withdrawal request through the AID Staking Portal. Requests are processed on a 30-day cycle at the Unstaking NAV, fulfilled based on the FIFO principle.

• Trade on DEXs: Sell sAID at the prevailing market price for immediate liquidity, bypassing the withdrawal queue.

The unstaking dashboard will provide real-time data comparing Unstaking NAV and market price, allowing users to choose the most efficient liquidity path.

3. What Can You Do with sAID?

• Earning Rewards: Simply holding sAID entitles users to ongoing rewards, as it is a yield-bearing token backed by real-world AI demand. No additional steps are required to claim these rewards—value accrues automatically over time.

• Trading: GAIB will introduce multiple trading pairs that link sAID with major currencies. This ensures that users can trade sAID for other assets, simplifying trade execution and portfolio management.

• Liquidity Provisioning: Users can supply sAID to AMM pools, earning both transaction fees and GAIB token incentives. By contributing sAID liquidity, participants support the overall ecosystem while generating additional income.

• Principal and Yield Tokens (PT/YT): As a yield-bearing asset, sAID will be integrated into specialized yield-trading protocols such as Pendle. Through these integrations, holders can create or trade Principal Tokens (PT) and Yield Tokens (YT) derived from sAID. They can also provide liquidity for PT or YT pairs.

• Lending and borrowing: GAIB will integrate with leading lending protocols such as AAVE, Morpho, and Euler, to enable sAID holders to borrow major stablecoins such as USDC and USDT against their sAID. This allows them to gain liquidity without exiting sAID positions and compose their own yield strategies, while the underlying collateral continues to accrue value, offsetting part of or all of the borrowing costs and reducing the risks of liquidations.

AID <> sAID

AID serves as the stable base currency of the ecosystem, while sAID represents a staked, yield-bearing vault token that reflects the performance of GAIB’s real-world AI infrastructure portfolio. Users can stake AID into the sAID Vault to participate in on-chain, real-world yield generation. As the vault’s underlying assets generate income, value accrues to sAID holders automatically through an appreciating exchange rate.

1. Dual Exchange Rate System

To mitigate the risk of large-scale liquidity events and ensure the stability of the protocol, a dual exchange rate mechanism is employed.

• Staking Exchange Rate governs the minting of sAID from staking and does not account for unrealized losses.

• Unstaking Exchange Rate governs unstaking and incorporates unrealized losses. When unrealized losses are present, the Unstaking Exchange Rate falls below the Staking Exchange Rate, discouraging premature withdrawals until losses are either realized or recovered.

2. Calculation of sAID NAVs

1. Total Supply (totalSupply)

The total sAID supply changes due to minting or unstaking; interest, fees, or unrealized losses do not affect the total supply, but instead impact the numerator of NAV (totalAssets for Staking NAV, totalAssets and unrealizedLosses for Unstaking NAV).

$$\text{totalSupply}_t = \sum \text{sAID}_t = \text{totalSupply}_{t-1} + \text{sAID minted}_t - \text{sAID unstaked}_t$$

1. Total Asset (totalAssets)

Total Assets represent the current value of the underlying AI infrastructure financing portfolio, continuously updated based on asset activities, rewards accrued.

$$\text{totalAssets} = \sum (\text{AI Infra Assets} + \text{Rewards Accrued}) + \text{Stable Reserve}$$

1. Staking NAV ( $\text{NAV}_{Staking}$)

Determines how much sAID is minted when staking AID. Ignores unrealized losses, ensuring a stable minting price.

$$\text{NAV}_{Staking} = \frac{\text{totalAsset}}{\text{totalSupply}}$$

1. Unstaking NAV ( $\text{NAV}_{Unstaking}$)

Determines how much AID is returned upon unstaking via the Withdrawal Manager. It does subtract unrealised loan losses.

$$\text{NAV}_{Unstaking} = \frac{\text{totalAsset} - \text{unrealizedLosses}}{\text{totalSupply}}$$

Note: sAID Market Price vs. NAV The sAID NAV may differ from the market price on DEXes. Purchases sAID on a DEX occur at the AMM-determined market price, which may be above, below, or equal to the $\text{NAV}_{Staking}$ depending on supply and demand, gas fees, and arbitrage activities. $\text{NAV}_{Staking}$ only applies when minting sAID directly through the GAIB protocol by staking AID.

NAV calculation - Worked example

T	Event	Pool Cash	Capital Deployed	Accrued  Rewards	Unrealised  Losses	Total Assets	sAID tokens	Staking NAV	Unstaking NAV
T0	User A staked 1000 AID	1000	0	0	0	1000	1000	1.00	1.00
T1	User B staked 500 AID	1500	0	0	0	1500	1500	1.00	1.00
T2	Pool deployed 1200 stablecoins to a financing deal	300	1200	0	0	1500	1500	1.00	1.00
T3	Six weeks pass → 30 dollars rewards accrued	300	1200	30	0	1530	1500	1.02	1.02
T4	AI Infra company pays the 30 dollars	330	1200	0	0	1530	1500	1.02	1.02
T5	User A unstaked 300 dollars (≈294 $AID tokens at Unstaking NAV)	30	1200	0	0	1230	1206	1.02	1.02
T6	Capital deployed is impaired → books 200 dollars paper loss	30	1200	0	200	1230	1206	1.02	0.85
T7	Default settles: 80 dollars is written off (120 dollars recouped, capital deployed remains outstanding)	30	1120	0	0	1150	1206	0.95	0.95

Note on operational currencies: Capital deployed into the financings from the sAID vault are not issued in AID, but in other supported currencies such as USDC or USDT. When the company pays interests/ rewards accrued, those payments are received in the same currency when the capital was deployed. All these interest payments stay inside the sAID vault and increase its total asset value (NAV) over time.

3. sAID Unstaking & Withdrawals

sAID withdrawals operate under a cyclical withdrawal manager model. In this model, withdrawal requests are processed monthly (every 30 days) at the sAID $\text{NAV}_{Unstaking}$ rate and are allocated based on a FIFO (First In, First Out) queuing mechanism, meaning that if there is available liquidity, earlier orders will be filled before later ones.

Withdrawal Cycle

Users are able to submit unstake requests at any time. The cooldown period concludes 30 days after the unstaking request timestamp. Liquidity processing occurs on the 1st of each month

If the total unstaking and withdrawal requests in a cycle exceed available liquidity, any unfulfilled requests will automatically roll over to the next process time until fully processed.

1. Sources of Withdrawal Funds — sAID withdrawals can be funded from:

   • Undeployed collaterals

   • Maturing AI infra financings during the incoming unstaking cycle

   • sAID minting during the withdrawal cycle

   • Liquidity buffer from stable reserve

Withdrawal request submitted but unfulfilled can be canceled via the Withdrawal Manager module in the user dashboard.

1. Market Trading Option — Users may also choose to trade sAID tokens on the market at the current market price to obtain instant liquidity instead of unstaking and withdrawing. The sAID withdrawal interface provides live information on both redemption and market trading options to help users make informed decisions.

2. Withdrawal Process (3 Steps)

   1. Request Submission: Users submit withdrawal requests during the current cycle ($\text{Cycle}_{n}$) and can modify them during this stage.

   2. Waiting Period: After submission, users must wait for at least a full cycle of 30 days ($\text{Cycle}_{n+1}$) before their request becomes eligible for processing and withdrawal in the subsequent cycle ($\text{Cycle}_{n+2}$). For instance, an unstaking request on the first day of January will be processed on the first day of February, whilst an unstaking request on the 30th of January will be processed on the first day of March.)

   3. Execution: Users execute their withdrawals during the eligible 7-day exit window after $\text{Cycle}_{n+2}$.

3. Request and Locking Phase

   1. Request Recording: After users submit their request, and their sAID shares are transferred to the Withdrawal Manager for unstaking and assigned an ID in the withdrawal queue under FIFO principle. Each user can have only one active request at a time.

   2. Asset Locking: During the next withdrawal cycle , the system continuously locks sufficient assets to satisfy all requests in that window. Locked assets cannot be used for new loans.

4. Partial Withdrawals

By grouping users into cycles, GAIB ensures that users get a prorated distribution of cash in the event of partial liquidity in the system based on FIFO principle.

If liquidity is insufficient during a withdrawal window:

• Withdrawals are filled according to FIFO principle.

• Unfulfilled requests roll over automatically into the next withdrawal cycle

1. Request Updates & Cancellations

Users may cancel their request—but only before their eligible withdrawal cycle starts. Any update triggers a new position in the FIFO unstaking queue, so the modified request may be eligible for withdrawal after two further cycles due to available liquidity.

Note: The sAID vault is operated by Spiceflow Company Corp., an independent and trusted third party responsible for portfolio execution and asset management under the terms outlined in the sAID Strategy Memorandum.

4. GAIB Protocol Reserve

The Protocol Reserve is a dedicated pool of capital established to support the long-term stability and resilience of the protocol. In its initial stages, the Reserve may be funded through third-party deposits; however, over time, it is intended to transition into a protocol-owned resource.

The Reserve exists to provide an additional layer of protection in the event of unforeseen credit events, temporary liquidity mismatches, or other disruptions that may threaten the health of the protocol. Its use is discretionary and intended only as a safeguard, ensuring that the system can continue to operate smoothly and with integrity, even under stressed conditions. By maintaining a Protocol Reserve, GAIB reinforces its commitment to risk management and investor confidence, while creating a sustainable foundation for long-term growth.

5. Reinsurance via Restaking - Future Initiative

As a future initiative, the protocol may explore the use of “reinsurance” mechanisms by integrating with restaking networks such as Symbiotic or EigenLayer. Through these integrations, the protocol could obtain additional protection against defined credit events by leveraging external restaked capital to backstop losses. This approach would supplement the Protocol Reserve, diversifying the sources of protection available to participants and further strengthening the protocol’s resilience. By aligning with established restaking markets, the protocol can access scalable, decentralized risk coverage while maintaining capital efficiency and transparency.