How DCA Works

Dollar Cost Averaging (DCA) is an investment strategy where you buy a fixed amount of an asset at regular intervals, regardless of price. This approach:

• Reduces timing risk: You don't need to predict market tops or bottoms
• Smooths out volatility: Your average purchase price is more stable over time
• Removes emotion: Automated purchases prevent panic selling or FOMO buying
• Builds discipline: Consistent investing regardless of market conditions

Traditional DCA vs BitChill

Aspect	Traditional DCA	BitChill
Execution	Manual (remember to buy)	Automatic (smart contracts)
Frequency	Self-discipline required	Executed by swapper role when due
Idle funds	Sit in exchange/wallet	Earn yield in lending protocols
Custody	Often on exchanges	Non-custodial, your keys
Transparency	Trust the exchange	Verifiable on-chain

How BitChill Automates DCA

Step 1: Create Your Schedule

When creating a schedule in BitChill, you configure:

• Token: Choose DOC or USDRIF as your stablecoin
• Deposit Amount: How much to deposit initially
• Purchase Amount: How much to convert to rBTC each period
• Purchase Period: How often (1, 2, or 4 weeks)
• Lending Protocol: Where your stablecoins earn yield (Tropykus or Sovryn)

Contract validations:

• purchaseAmount >= configuredTokenMinimum
• purchaseAmount <= currentScheduleBalance / 2
• purchasePeriod >= configuredMinimumPeriod

Step 2: Your Stablecoins Earn Yield

After creating a schedule, your stablecoins are deposited into the selected lending protocol:

• Tropykus: Compound-style lending (kDOC, kUSDRIF tokens)
• Sovryn: Lending pool integration (iSUSD)

Your funds earn interest while waiting to be swapped for rBTC.

Step 3: Automatic Periodic Purchases

At each scheduled interval, the BitChill swapper infrastructure:

1. Verifies the purchase period has elapsed
2. Withdraws the purchase amount from lending
3. Deducts a small protocol fee
4. Swaps the remaining amount for rBTC via Money on Chain (DOC) or Uniswap V3 (USDRIF)
5. Credits the purchased rBTC to your account

Step 4: rBTC Accumulates in Handlers

Purchased rBTC is tracked in handler storage:

mapping(user => accumulatedRbtc)

Important: rBTC is tracked per user per handler (token + lending protocol combination), not per individual schedule. If you have multiple schedules with the same token and lending protocol, the rBTC accumulates together.

Step 5: Withdraw When Ready

BitChill uses a "pull" pattern for withdrawals. Your rBTC stays in the handler contracts until you're ready to withdraw:

• Withdraw from one handler: withdrawRbtcFromTokenHandler
• Withdraw from all handlers: withdrawAllAccumulatedRbtc
• Withdraw stablecoin principal: withdrawToken or delete the schedule
• Withdraw accrued interest: withdrawAllAccumulatedInterest

Example DCA Journey

Let's say you deposit 1000 DOC with a 100 DOC weekly purchase amount:

Week	Schedule Balance	Purchase	Accumulated rBTC	Notes
0	1000 DOC	-	0	Initial deposit
1	900 DOC	100 DOC	~0.001 BTC	First purchase
2	800 DOC	100 DOC	~0.002 BTC	Price might vary
...	...	...	...	Continues until balance runs out

Meanwhile, your remaining DOC balance earns interest in Tropykus!

Next Steps

• See supported tokens and protocols
• Create your first schedule