FAQ
Frequently asked questions about AmmoMarkets.
General
What is AmmoMarkets?
A protocol that tokenizes physical ammunition. Mint tokens with USDC, swap them on a DEX, redeem them for physical delivery, or exit back to USDC. Each token equals one round of a specific caliber.
What calibers are supported?
Two at launch: 9MM-FMJ (9mm Luger practice, 115gr FMJ) and 5.56-FMJ (5.56 NATO practice, 55gr FMJ). 12ga 00 Buckshot is next on the roadmap. See Tokens.
Can international users participate?
You can mint and hold from anywhere. Physical redemption is U.S. only (39 states; see Delivery). International users cash out via Exit for USDC. Swap on a DEX will be the faster path once liquidity is live.
Do I need to sign in or pass KYC?
No KYC. The only sign-in is a free wallet signature (SIWE) during redemption — used to attach a shipping address. Mint, swap, and exit are pure on-chain transactions with no sign-in.
Pricing
How is the price determined?
Mint and exit use an on-chain oracle price maintained by the AmmoMarkets team. We post fresh prices as the underlying ammo market moves. DEX prices float independently with pool supply and demand — see Swap for when each venue is the better fill.
What happens if the oracle price is stale?
If the oracle hasn't been updated within the last 6 hours, mint, redeem, and exit requests revert on-chain. Wait for the next price update.
Why is there a 5% spread on Exit?
The protocol doesn't hold a floating USDC reserve. A retail buyback partner fronts the USDC and resells the underlying ammunition through their own channels. The spread covers their working capital, logistics, and order matching.
Trust & Security
How do I know physical ammo actually backs my tokens?
You can verify the total on-chain token supply by querying the smart contracts. Trust is built by reliably fulfilling redemptions — every successful delivery demonstrates the backing is real. Independent third-party audits of warehouse inventory are planned as the protocol matures.