> ## Documentation Index
> Fetch the complete documentation index at: https://docs.melt.finance/llms.txt
> Use this file to discover all available pages before exploring further.

# Direct Mint & Redeem

> Institutional-grade 1:1 asset migration for verified entities

## Overview

The Direct Mint & Redeem pathway enables canonical 1:1 asset migration, ensuring Melt Assets circulating on Hyperliquid remain backed by verifiable source-chain collateral. This is the institutional pathway used by Designated Market Makers and large participants.

## Minting Process (Inbound)

<Steps>
  <Step title="Deposit">
    Verified entity transfers the underlying asset (Ondo Global Market assets, Backed.fi xStocks, or crypto blue chips) into the Melt Collateral Bridge on Ethereum/Solana Mainnet.
  </Step>

  <Step title="Verification">
    The Melt Oracle Network confirms transaction finality and validates the deposit amount.
  </Step>

  <Step title="Issuance">
    Melt Protocol mints equivalent HIP-1 tokens (e.g., QQQ, GOLD) on HyperCore and sends them to the depositor.
  </Step>
</Steps>

## Redemption Process (Outbound)

<Steps>
  <Step title="Burn">
    User sends Melt Assets to the Melt Redemption Contract on Hyperliquid. Tokens are permanently burned.
  </Step>

  <Step title="Release">
    The protocol triggers equivalent underlying collateral release from the Bridge to the user's specified source-chain address.
  </Step>
</Steps>

## Fee

A **0.30%** (30 basis points) fee for both minting and redeeming. This funds maintenance of the secure custody bridge on Ethereum Mainnet and ongoing compliance management for Real World Assets.