XSOV is a new token that is fully collateralized by SOV, and similar to REX, XSOV can only increase in SOV value.
The XSOV smart-contract is open-source (and will be decentralized, and immutable after a short testing period).
XSOV is minted by sending SOV to the XSOV contract. There is a 1% fee for minting XSOV. The fee goes to all XSOV holders equally and instantly. This is done by using the fee to instantly increase the amount of SOV each XSOV is collateralized by.
When minting XSOV, the newly minted tokens are also instantly increased in value. Because of this, you always earn back part of your minting fee.
XSOV is converted back to SOV by sending it to the XSOV smart-contract. The XSOV smart-contract will then destroy the received XSOV tokens and transfer the value in SOV to your account. There are no fees to convert XSOV to SOV.