Programmable downside protection for tokenized stocks on Robinhood Chain. Choose your floor, pay a fixed premium, and keep the upside while your downside is protected.
Sherwood is a programmable downside protection protocol for tokenized stocks on Robinhood Chain. It lets a user create a Protection Note against a supported stock position by choosing a protection floor and duration, then paying a fixed premium.
At creation, Sherwood records the protected stock amount, entry price, selected floor, premium, expiry, and the pricing feed used for the note. If the stock price falls below the protected floor during the settlement window, the note can pay the difference between the protected value and the current eligible position value. If the price remains above the floor, no protection payout is due and the user keeps the upside.
Protection is backed by an open underwriting vault. Capital providers deposit settlement tokens into the vault and receive shares representing their backing position. Most collected premiums are allocated to vault backers, while a protocol fee is retained by Sherwood. Withdrawals are constrained by capital reserved for active protection notes.
The protocol also includes per-stock exposure limits, protection-position stacking prevention, oracle/feed validation, feed binding for existing notes, reserve accounting, and a defined settlement window.
The current implementation is deployed on Robinhood Chain Testnet. Because the required production market infrastructure is not available on the testnet, the testnet deployment uses disclosed DemoFeed price sources and MockUSDG for settlement-token testing. The architecture is designed around Robinhood Chain's tokenized-stock and USDG infrastructure for the corresponding production environment.
Sherwood is built with Solidity and a React/Next.js frontend and is intended to demonstrate an onchain mechanism for programmable downside protection rather than a simulated frontend experience.
<p><strong>Sherwood</strong> is a programmable downside-protection protocol for tokenized stocks on <strong>Robinhood Chain (Arbitrum Orbit).</strong></p><p><strong>Protocol</strong>: <strong>v7</strong> contracts deployed and source-verified <em>4/4</em> on Robinhood Chain Testnet: <code data-inline="true" spellcheck="false">AssetRegistry</code>, <code data-inline="true" spellcheck="false">ProtectionOracle</code>, <code data-inline="true" spellcheck="false">SherwoodVault</code> and <code data-inline="true" spellcheck="false">ProtectionNote</code>. Deployment wiring was independently read back from chain, including the <em>20%</em> reserve buffer, <em>10%</em> protocol fee and <em>30%</em> per-stock exposure cap.</p><p><strong>Live settlement</strong>: The vault was funded with <em>1,000</em> USDG-equivalent on testnet and two Protection Notes were settled onchain: one paid a <em>$1.00</em> payout when the settlement price was <em>$60</em> against a <em>$70</em> floor, while another released its reserve with a <em>$0</em> payout when the price remained above the floor.</p><p><strong>Vault safety</strong>: Capacity checks, collateral-reserve accounting, pro-rata shares, withdrawal limits and atomic reserve release are enforced in the contracts and covered by <em>190 Foundry tests</em> with <em>0</em> failures.</p><p><strong>Settlement</strong>: Premiums, reserves and payouts use USDG as the settlement denomination. Testnet uses <em>6</em>-decimal MockUSDG because the official testnet drip did not fund the required token; production configuration uses canonical USDG.</p><p><strong>Frontend</strong>: SherwoodNotes is deployed on Vercel and connected directly to the v7 contracts. Users can create Protection Notes, read quotes from the chain, view notes and interact with the vault.</p><p><strong>Oracle infrastructure</strong>: The testnet uses explicitly disclosed owner-set DemoFeeds because Chainlink does not currently publish the required feeds on Robinhood Chain Testnet. The production architecture is designed to use the corresponding Chainlink feeds.</p><p><strong><em>Verification</em></strong><em>: 108 commits with deployment transactions, funding transactions, settlement receipts and independent chain read-backs recorded in </em><code data-inline="true" spellcheck="false">deploy/deployments.json</code><em>.</em></p>
<h4>No Fundraising At The Moment</h4>
