Economics
Bets and returns
The vault turns a week of skims into bets on the decisive markets, then pays the result back to the pools that funded it.
Funding
Skims collect in the vault through the week. ETH and WETH skims are converted to USDG through a Uniswap v4 pool with a slippage limit, so each pool's contribution is measured in USDG.
Caps
- Per market: at most 50% of the vault's balance at the start of the cycle.
- Per week: 10% of the vault always stays in reserve.
- Market depth: no bet larger than 25% of the visible order book on the chosen side.
Returns
Once the markets resolve, winnings come back on-chain as USDG and the cycle settles. Profit is split across pools by how much each one skimmed. ETH and WETH pools get their share swapped back to their quote currency. Of each pool's share, 70% is donated to its in-range LPs and 30% buys back and burns its token.