🚀Risk On (USDC Flagship) Vault
Technique Details about Risk On (USDC Flagship) Vault
Overview
This vault provide liquidity to GMX in a way.
Hedge Against the Price Fluctuations of GLP token
Hedge Against the Impermanent Loss due to liquidity providing
Workflow
Users deposit USDC.e, which is subsequently converted into GLP tken comprised of BTC, ETH, LINK, UNISWAP, USDC, etc.
The vault hedge against the price fluctuations in the blue chip tokens, based on their current weights in the GLP Index Composition, by systematically initiating short positions on centralized exchanges.
Then, the vault hedges against impermanent losses incurred by providing liquidity to GMX.
As GLP rewards its holders with both esGMX and ETH, the vault enhances yield by automatically compounding ETH rewards into GLP and restaking the earned esGMX and multiplier points.
The risk-on vault can be characterized as a leveraged delta-neutral vault.
Key Metrics
The expected Annual Percentage Rate (APR) for Risk-On Vault is approx. 15% to 30%.
Sharpe ratio 10+, indicating superior risk-adjusted returns.
The vault's maximum drawdown is less than 0.5%, demonstrating minimal declines from peak to trough.
Deposits and withdrawals process within 1-2 epochs (1 epoch is 24 hours), giving users liquidity when needed.
Risk-On vault's assets are allocated 70% on-chain and 30% to CEXs.
On-chain Address: Contract Address
NAV report on CEX balance: please request via [email protected]
Stake & Withdraw
Deposit
Users can deposit USDC.e within 2 steps.
1.Click the "Approve" button to initiate smart contracts. Button should turn to"Approved".
2. After turning to "Approved", enter the amount, and click the "stake" button.
To be eligible for deposit, users must hold USDC.e on the Arbitrum Chain.
Please review the total capacity limit before depositing into the Risk-On Vault.
The staking process typically takes 1-2 epochs, with new deposits initiated at the end of each epoch.
Each transaction incurs a fee of 0.5%. This is used for gas fees and will be subjected to change based on GLP's deposit fees.
Auto-compounding is embedded for maximum return.
If a deposit is made in error, please contact us as soon as possible within one epoch. There may be a chance to redeem without incurring transaction fees, or users can utilize the "redeem" function themselves.
Withdraw
Users can withdraw their balance within 2 steps.
1. Enter the amount desired, then click "SUBMIT REQUEST". Requested Withdraw Balance will be shown with processing time.
2. After processing time turns 0, enter the desired withdraw amount, and click "CONFIRM WITHDRAW"
The request process generally takes 1-2 epochs, requested balance will be withdraw-able by the end of processing time.
Each withdrawal transaction incurs a 0.5% fee. This fee is used for gas and will be subjected to change based on GLP's deposit fees.
Rewards will be automatically withdrawn alongside the requested staked balance.
In extreme situations, if a user's withdrawal request is not processed within 3 epochs, users can submit withdrawal requests manually using the provided function. We guarantee that 100% of the stake balance can be withdrawn.
Historical performance
Live updates can be found on our website!
Disclaimer: Past results are not necessarily indicative of future results.
Check what is the Impermanent Loss here in DeFi World here https://academy.binance.com/en/articles/impermanent-loss-explained
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