> For the complete documentation index, see [llms.txt](https://docs.stove.finance/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.stove.finance/resource/faq-stove-protocol.md).

# FAQ – Stove Protocol

### 🔹 General Overview

**Q1: What is Stove Protocol?**\
**A:** Stove Protocol is a **public, non-profit protocol** that brings real-world equities on-chain at a **1:1 ratio** through a secure and transparent mechanism. It serves as **public infrastructure** for tokenized equities, enabling minting, redemption, and ecosystem integration without centralized intermediaries.

**Q2: Who operates Stove Protocol?**\
**A:** Stove Protocol is maintained by a **non-profit foundation** supported by its initiators — **HabitTrade** (a licensed Australian brokerage) and **Tritium Labs** (a Web3 infrastructure and R\&D lab). Together, they ensure regulatory compliance, technical security, and open access.

**Q3: Is Stove Protocol a company or a DeFi project?**\
**A:** Stove is **not a company**; it is a **public-goods protocol**. The foundation ensures its neutrality and sustainability, while all contracts are open-source and community-verifiable.

**Q4: Is Stove Protocol free to use?**\
**A:** Yes. Minting and redeeming are **free of charge**, apart from standard network gas fees. Stove’s mission is to make tokenized stock access open and barrier-free for all.

### 🔹 Tokenized Stocks & Mint/Redeem

**Q5: What is a StockToken?**\
**A:** A StockToken (e.g., `sAAPL`, `sTSLA`) is an **ERC-20 token with 0 decimals**, representing **one whole share** of a listed stock. Each token is fully backed 1:1 by real shares held by a licensed custodian.

**Q6: How does minting work?**\
**A:** Users create a **Request-for-Quote (RFQ)** order signed with EIP-712.\
Authorized takers then execute the order on-chain — minting StockTokens directly to the user’s address once verified.

**Q7: How does redemption work?**\
**A:** When users redeem, the taker executes an opposite RFQ order. The corresponding StockTokens are burned, and the underlying shares are sold off-chain. Users receive the settlement proceeds in stablecoins.

**Q8: Are these tokens synthetic or backed?**\
**A:** All Stove StockTokens are **fully backed** by real shares — not synthetics, not mirrored derivatives. The protocol uses a verifiable custody model with audit transparency.

### 🔹 Architecture & Security

**Q9: What makes Stove Protocol secure?**\
**A:**

* **Audited smart contracts**
* **EIP-712 signatures** for tamper-proof off-chain orders
* **Timelock protection** for governance actions
* **Multisig wallets** for critical operations
* **Vault isolation** for secure fund custody
* **Public-source code transparency**

**Q10: Can contracts be upgraded?**\
**A:** Yes — Stove uses the **UUPS upgrade pattern**, allowing contract improvements while preserving all user balances and historical data. Every upgrade passes through **timelock delays** for public review.

**Q11: What happens if a stock is delisted or merged?**\
**A:** Stove’s **Corporate Actions System** automatically processes these events:

* **Delisting** → Tokens are retired and compensation distributed via Vault.
* **Stock Split/Reverse Split** → Balances are adjusted automatically.
* **Dividend** → Distributed proportionally to token holders.

**Q12: Are user assets ever at risk?**\
**A:** Assets are isolated per token and protected by custody and vault layers. However, as with all DeFi systems, risks such as smart contract vulnerabilities and market volatility may exist.

### 🔹 Ecosystem & Governance

**Q13: How can developers build on Stove Protocol?**\
**A:** Developers can integrate via the open **RFQ Settlement API** and smart contract interfaces. All documentation and SDKs are available in the Developer Docs.

**Q14: Can other platforms use Stove’s infrastructure?**\
**A:** Yes. Any DeFi, CeFi, or RWA platform can integrate Stove’s aggregation or stock token standard to provide tokenized equity access or use Stove’s verified tickers for price feeds.

**Q15: How can institutions collaborate?**\
**A:** Institutions (custodians, brokers, exchanges, DeFi protocols) can partner through the **Issuer Integration Program**, which allows direct stock issuance and aggregation through Stove’s network.

### 🔹 Legal, Compliance & Miscellaneous

**Q16: Is Stove Protocol compliant with financial regulations?**\
**A:** Stove partners with **licensed custodians and brokers** (like HabitTrade) to ensure all off-chain equity holdings comply with local securities laws.\
Users are still responsible for complying with their own jurisdictions’ regulations.

**Q17: Is there a native token?**\
**A:** Stove Protocol currently has **no native token**. All interactions are performed with existing stablecoins or through partner integrations. Any future governance token will be publicly announced by the foundation.

**Q18: Can I verify the backing of StockTokens?**\
**A:** Yes. Custodian proofs and corporate action reports will be made publicly auditable through on-chain references and official statements published by the Stove Foundation.

**Q19: How can I contact the team or report issues?**\
**A:**\
📧 **Email:** <Info@stove.finance>\
🐦 **Twitter/X:** [@StoveProtocol](https://x.com/StoveProtocol)\
💬 **Telegram:** [stove\_protocol](https://t.me/stove_protocol)