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

# Stablecoin OFT Overview

> Fine-grained, institutional-grade control for cross-chain stablecoin flows.

Stablecoin OFT is a LayerZero V2–based contract system designed for organizations that need to move tokens across blockchains while maintaining controls suited for regulated environments.

## What It Does

Stablecoin OFT enables an organization to deploy or extend tokens that operate natively across multiple EVM blockchains. A user on Ethereum can send tokens to Arbitrum, Base, or any supported chain in a single transaction. Stablecoin OFT handles the cross-chain messaging, token accounting, and security enforcement.

Unlike standard bridge solutions, Stablecoin OFT gives token issuers direct control over:

* **Who** can transfer (allowlist/blocklist per address)
* **Where** tokens can move (per-destination pause controls)
* **How much** can move (per-destination rate limits)
* **What it costs** (configurable fee collection per destination)
* **Who manages what** (granular role separation across all operations)

## Comparison: Standard OFT vs Stablecoin OFT

| Capability                       | Standard OFT            | Stablecoin OFT                                     |
| -------------------------------- | ----------------------- | -------------------------------------------------- |
| Cross-chain transfers            | Yes                     | Yes                                                |
| Transfer models                  | Native, OFT (burn/mint) | Burn/Mint, Burn-Self/Mint, Lock/Unlock, Native     |
| Access control                   | Owner-based             | Role-Based (10 roles)                              |
| Fee collection                   | No                      | Per-destination BPS fees                           |
| Rate limiting                    | No                      | Per-destination token bucket with inbound/outbound |
| Pause controls                   | No                      | Per-destination + global                           |
| Allowlist/Blocklist              | No                      | Three-mode (Open, Blacklist, Whitelist)            |
| Fund recovery                    | No                      | Yes (compliance seizure from non-allowlisted)      |
| Upgradeability                   | Optional                | Built-in (EIP-7201 namespaced storage)             |
| Configurable mint/burn interface | No                      | Yes (custom function selectors)                    |
| ERC20Permit (gasless approvals)  | Depends on token        | Built-in                                           |
| Enumerable address lists         | No                      | Yes (paginated blacklist/whitelist queries)        |

## Supported Transfer Models

| Model              | How It Works                                                                                              | Use Case                                                                           |
| ------------------ | --------------------------------------------------------------------------------------------------------- | ---------------------------------------------------------------------------------- |
| **Burn/Mint**      | Burns tokens on source chain, mints on destination. Requires `MINTER_ROLE` and `BURNER_ROLE` permissions. | New tokens with no pre-existing supply on any chain                                |
| **Burn-Self/Mint** | Transfers tokens from user to contract using ERC20 allowance, then burns using `burn(uint256)` selector   | Tokens that follow OpenZeppelin's `ERC20Burnable.burn(uint256)` or similar pattern |
| **Lock/Unlock**    | Locks tokens on source chain, unlocks on destination                                                      | Existing tokens with supply already on one chain                                   |
| **Native**         | Wraps native tokens (e.g., ETH) for cross-chain transfer                                                  | Moving native gas tokens across chains                                             |

**Fee-on-transfer and rebasing tokens are not supported.** The OFT debit/credit accounting assumes lossless ERC20 transfers.

## Security Posture

All contracts extend OpenZeppelin's audited upgradeable libraries and are [independently audited](/v2/resources/audits) by multiple firms. Role separation ensures no single key can both configure a policy and extract value — pausing and unpausing use different roles, fee configuration is separate from mint/burn authority, and cross-chain fees are pushed to a configured deposit address during sends. Every state-changing operation emits an indexed event for off-chain monitoring.

## Next Steps

* **Technical leaders:** Continue to [Architecture](/v2/developers/evm/stablecoin-oft/architecture) for system design details
* **Security teams:** See [Security and Compliance](/v2/developers/evm/stablecoin-oft/security-compliance) for the full threat model
* **Integration engineers:** See [OFTs](/v2/developers/evm/stablecoin-oft/ofts) for deployment guidance, [`ERC20Plus`](/v2/developers/evm/stablecoin-oft/erc20plus) for the token layer, and [Extensions](/v2/developers/evm/stablecoin-oft/extensions) for fee, rate limiting, and pause configuration