Smart Contract Architecture

Pi Protocol is deployed on Ethereum using a modular architecture. Each core function—minting, vault logic, reward emission, governance, and redemption—is implemented as a dedicated smart contract. This structure ensures security, auditability, and isolation of risk.

The system uses upgradeable proxies governed by the USPi token. Any contract upgrade or parameter change must go through a decentralized vote, ensuring transparency and community ownership.

Token standards are purposefully selected:

• USP: uses ERC-20 with ERC-4626 extensions, making it compatible with vaults, lending markets, and liquidity protocols.

• USI: uses ERC-1155 to reflect individualized, yield-bearing positions with real-time metadata updates.

To enable institutional adoption, whitelist and blacklist functions are built into core contracts. These restrict unauthorized minting and transfers, allowing controlled access for approved entities. All changes to access controls are governed transparently on-chain.

Audits by leading third-party security firms are mandatory pre-launch and for each major upgrade, ensuring that protocol safety keeps pace with growth.