How it works?

What exactly are Strategies and Vaults?

Why do we need this?

DeFi offers an unmatched number of opportunities, but only a few users have the knowledge to take advantage of them and develop focused and clear strategies to maximise profit from each one. Consider lending arbitrages, airdrop farming, derivatives, and LSTs... Profiting from DeFi's uncapped potential requires creativity, time & EV, and the vast majority of users don't have that.

Unlike Trading, wich is a zero-sum game, users that generate yield throw DeFi vehicles profit while providing some service/value to other users (Liquidity to swap on, tokens to borrow, conterparty to some trade...)

This is the exact reason why Redefine has a meaning and why Strategies & Vaults matter and are useful. They are the vehicle that connects these opportunities to users willing to take them.

Firstly, an initial disclaimer must be made: the creation and management of both Strategies & Vaults is not 100% established and will be subject to improvements as users provide feedback and tests occur in search of the safest & optimal ways to achieve the objective of rewarding all participants.

Strategies

As you can see, Redefines is the bridge for capital, yield and DApp interaction that makes it possible for all participants to benefit from this Win-Win situation, taking a variable fee of 1.5% to 7.5% depending on the type of strategy, you can learn about how Fees work on Fee Tiers page.

For Strategy Creators or Experts, the fee depends 100% on them; they can choose the level of commission they take for their service. For example, if an expert decides to take a 7.5% Fee (like from and stable-related low APY strategy so Redefine would apply a 2.5%) the investor or user would take home 90% of all the yield generated, 100% passively, without the need to constantly check protocols, APYs, risks...

Strategy Creation

For users interested in the technical details on how to create a Strategy and start earning passive income from what they already do, please visit;

Create a Strategy

Vaults

Vaults are a more actively managed, long-term focused product; they rely on a constant rebalancing and capital rotation from their creators so there is a lower fee applied from Redefine (0.5-5%). You can learn about how Fees work on Fee Tiers page.

It's intended to attract higher amounts of TVL and offer a more market-oriented exposure to depositors, letting them deposit their capital in trustworthy asset managers that are 100% dedicated to navigating a market with ever-changing conditions following the best opportunities.

Vault Creation/Integration

For Asset Managers interested in the technical details on how to create or integrate an existing vault and get access to more capital from multiple chain sources, please read;

Create/Integrate a Vault