# Mint/Redeem Unlike most other stable coin projects that allow users to mint/redeem themselves, HYDT only allows certain smart contracts to mint/redeem HYDT, and these features are only activated when the HYDT exchange rate is out of peg range. When HYDT price is above 1.02 USD, Mint contract is called once every 4 hours, HYDT is minted and sold for BNB on Pankaceswap BNB/HYDT pair, BNB is transferred to the reserve address. The amount is calculated as follows : `Mint amount = (Current price - 0.9)^2 * Reserve balance * 0.04` If the HYDT price is below 0.98 USD, Redeem contract is called once every 4 hours, where HYDT is bought with BNB from the reserve address and burned. The amount is calculated as follows : `Redeem amount = (1.1 - current price)^2 * Reserve balance * 0.004` The Mint contract and the Redeem contract are triggered based on the Pancake Swap HYDT/USDT price. If Mint and Redeem swap orders cause more than 0.5% slippage on the BNB/HYDT pancake swap pool, these orders will be split into small pieces and executed multiple times to minimize slippage. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://hydtprotocol-documents.gitbook.io/hydt-protocol-document/products/mint-redeem.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.