• Kyros Vaults
• How It Works

How It Works

One vault, one trade

Every vault is created for a single strategy and has its own share token. When the trade is over the vault is closed, and the next strategy gets a new vault. All vaults take USDC.

A vault goes through four stages:

1. Subscription. The vault opens and accepts USDC up to its maximum size.
2. Execution. Kyros moves the USDC from the vault to trading venues and opens the position at the entry level.
3. Exit. The position is reduced at each take-profit level, and closed entirely if the stop loss is hit or the maximum duration is reached.
4. Settlement. The USDC comes back to the vault, which is marked closed, and holders redeem their shares.

Shares and pricing

A vault's value is the sum of two numbers, both tracked on-chain:

• Local AUM: the USDC held by the vault itself, and
• Deployed AUM: the value of the USDC out on trading venues, as reported by the operator.

The share price is simply:

share price = (local AUM + deployed AUM) / share supply

Deposit USDC at the current price and you mint shares. Redeem shares at the current price and you burn them for USDC, minus the vault's withdrawal fee (currently 0% on every vault). Every conversion rounds in the vault's favour.

Redemptions and liquidity

Redemptions are paid from the USDC the vault holds. While the capital is deployed in a trade, the vault may not hold enough USDC to pay a redemption, and it becomes redeemable again once the funds are returned at settlement.

Reporting deployed AUM

The value of deployed capital is reported on-chain by the operator. The program caps each update to a ±0.2% change, so a single report cannot move the share price abruptly.

Who controls what

The program itself is upgradeable by the same multisig. All addresses are listed under Deployed Programs.