# FAQ

#### What backs each COPR token?

Each COPR token is tied to **one pound of physical copper** held in accredited LME-regulated warehouses. Reserves are fully backed 1:1 and paired with custody documents, insurance coverage, and regular reconciliation.

#### How do I know the reserves actually exist?

Custody documents and warehouse receipts are **hashed, timestamped, and published on-chain**. Token supply cannot exceed the attested inventory. Independent auditors and custodians provide ongoing verification of storage, insurance, and lot integrity.

#### What happens if a warehouse or custodian fails?

Tellura uses **LME-approved warehouses** with mandatory insurance and strict operational standards. Even with these protections, users must acknowledge counterparty and logistics risks. Insurance policies are structured to cover loss, damage, or operational failure tied to stored inventory.

#### Can I redeem the copper physically?

Physical redemption is available for eligible users who complete **full KYC/AML verification**. Redemption requires coordination with our custodial partners and may involve freight, handling, and compliance requirements. The process is designed for institutional-grade settlement rather than casual retail pickup.

#### How does trading COPR work?

Users can trade COPR on supported decentralized exchanges. Liquidity pools allow **24/7 market access**, though slippage can occur during periods of low liquidity. On-chain transfers follow standard ERC-20 rules.

#### Who can use the protocol?

Tellura is not available in OFAC-sanctioned jurisdictions or any region where digital asset activity is restricted.\
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**Where can I trade the COPR token?**\
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**COPR** token is available to trade on **Plasma**, you can use our [web-app](https://app.tellura.xyz/) for trading.\ <br>