How a basket unit is minted
A basket starts as a list of weights: say 70% gold fund, 30% silver fund. Weights are an idea, not something a contract can hold, so at creation they are converted once into amounts. We read current prices, work out how much of each component adds up to about one dollar in the chosen proportions, and write those amounts into the basket for good.
From then on a unit is a recipe, not a percentage. One unit is always the same fraction of a gold share and the same fraction of a silver share. If gold doubles, the unit is worth more and gold makes up more of it. Nothing rebalances, because rebalancing would mean someone trading on your behalf.
Minting is a swap of form, not of value.
Components go in, units come out, at the recipe.
To mint, a wallet hands over the components in the recipe's amounts and receives units. To redeem, it burns units and receives the components back. Both directions are open to anyone, at any time, at the same fixed recipe. There is no fee on either and no one can pause it.
Buyers rarely do this by hand. When you buy a basket-backed coin, a single transaction pulls the components from your wallet, mints the units and spends them on the curve. When you sell, the same steps run backwards and the stocks arrive in your wallet.
Two honest limits. The one-dollar figure is only true on the day the basket is created; after that a unit is worth whatever its shares are worth. And a unit is only as good as its components: tokenized stocks are issued instruments with their own terms and risks, and a basket does not remove them.
