Asset Mirroring & Rewards

To utilize your assets on L2, you first need to mirror your balances from L1. By doing so, your assets earn passive income in real time on your behalf. This process ensures that your balances accrue yield automatically.

In addition to the base yield, you can also earn $TTT rewards.

Mirroring & Base Yield

You can mirror ETH or any ERC20 assets without any limitation any time. Unlike traditional bridges, these assets are mirrored onto L2, meaning they remain on L1.

While assets are mirrored, they are automatically staked into audit-ready, yield-bearing smart contracts that leverage external single-sided staking protocols (such as Lido, AAVE, Compound). Total 90% of the yield is accrued to your balance in real time while the other 10% is charged as a protocol fee.

TTT Rewards

While assets are mirrored, you earn $TTT rewards as well:

  • Staking Duration: Rewards increase linearly with the duration your assets are mirrored.

  • Pool Weight: Voted on by veTTT holders, pool weights influence reward distribution and are adjusted every 7 days.

  • Boosted Rewards: veTTT enables the acquisition of voting power to participate in the DAO and earn a boost of up to 2.5x on the assets provided.

Double Yield Mechanism

This unique system allows users to earn rewards on both L1 and L2:

  • Yield on L1: Earn base yield (APY depends on the asset) plus $TTT rewards.

  • Yield on L2: For example, if you participate in liquidity provision of an AMM on L2, you can also claim yields, effectively earning double yield across both layers.

In summary, mirroring assets on the Counterfactual Network involves strategic participation in L1 and L2 pools, all within a governed ecosystem that allows for significant community influence over platform decisions.

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