Vault Features
Information on Lite Vaults v2
Instadapp Lite utilizes stETH, is a tokenized staking deposit on Ethereum to earn daily staking rewards daily. By using stETH as collateral in lending protocols, this stETH can be leveraged against ETH creating a leverage on staking yield of stETH.
All deposits on Instadapp Lite vaults are tokenized as iTokens. iTokens are redeemable for their underlying deposit plus interest.
The new stETH vault uses the ERC-4626 vault standard. Making the Lite vaults even easier to integrate and utilize across DApps. Looking to integrate iETH? Reach out to us.
v2 Vaults can execute the leveraged staked ETH strategy across multiple protocols. Lite Vaults will offer the most competitive rates by using multiple protocols.
Vault supported protocols: Compound, MakerDAO, AAVE, and Morpho.
You can view which protocols are actively in use by the Lite vault in Vault Analytics - Vault TVL by Protcol
The Lite Vault utilizes a leveraged strategy, which may limit liquidity availability. However, with enhanced withdrawals and multi-protocol support, funds can be efficiently rebalanced between protocols, leading to smoother withdrawals and higher withdrawal ratios.
Instadapp Lite Vaults will periodically rebalance either automatically or by an assigned role. Rebalancing can move funds to the withdraw pool, rebalance the vault or deleverage under unfavorable market conditions.
Automatic Rebalancing
Instadapp vaults use an automation server which can under certain circumstances rebalance or unwind the vault to prevent liquidations or to make more withdraws available.
Assigned Rebalancers
Lite v2 introduces the 'Rebalancer' role, an on-chain account responsible for executing transactions within the vault. The Rebalancer can refinance and transfer funds between protocols, as well as leverage the vault, all within predefined parameters set by Governance. However, it is important to note that the Rebalancer does not have the ability to withdraw funds from the vault.
Last modified 4mo ago