0VIX Docs
Interest-bearing collateral tokens of 0VIX
When tokens are supplied to 0VIX protocol’s various markets, corresponding oTokens are minted and sent to the supplier’s wallet (eg. ETH mints oETH). oTokens are the interest-bearing, tokenized representations of user deposits issued according to the ERC20 standard.
Though oTokens are representative of the underlying asset, they do not possess a 1:1 exchange rate with it (1 USDC is not equal to 1 oUSDC). Whenever a user mints, redeems, borrows, repays, liquidates an account, or transfers oTokens, they are doing so through an interaction with the relevant oToken contract.
All token markets on 0VIX have their own supply interest rate. By holding an oToken for one second or longer, the custodian automatically earns interest paid by borrowers of the asset that is manifested by an increase in the value of the oToken against its corresponding underlying asset. Even while the number of oTokens in a user's wallet stays the same, the quantity of the asset they can be redeemed for increases.
Users of oToken are visible on any Polygon block explorer. Since they follow the ERC20 standard, they are transferable like any other standard token. It is necessary, however, to be aware that transfers that would result in the user's account entering an undercollateralized state will fail.

Reclaiming one's original assets is simply a matter of issuing valid withdrawal transactions.
It is necessary to remember, however, that oTokens collateralize borrows on the platform. This means that prior to a 100% oToken withdrawal being successful, the user must first close all of their borrowing positions. This includes the paying off of fractional amounts of debt
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