Leveraged tokenized vaults

Trustless
Permissionless
Curatorless
Trustless
Permissionless
Curatorless
Vault
=
Any
token
Any
token
Any lending
protocol
Leveraged
Token
A yield-bearing token (e.g. LST, LRT) can be leveraged through lending protocols to increase returns. This requires multiple manual steps. We offer a leveraged token that autonomously manages its leverage position — with no manual curation and no backend. Just buy the token — and you're instantly earning with higher yield.

Ultimate Equation

The LTV protocol operates as an implementation of the ERC-4626 vault standard, managing a collective leveraged position within a lending protocol. It continuously rebalances to maintain a target loan-to-value (LTV) ratio in a permissionless manner using incentive-driven auctions. Each time a user deposits or withdraws assets, the vault recalculates the optimal collateral-to-borrow ratio using the equation:

education

and adjusts it through auctions. As a result, after every interaction, the system automatically aligns the vault with the target leverage. The complete model is detailed in our paper.

Constant Target LTV

whitepaperIn this paper, we provide a comprehensive mathematical framework and formal model for the LTV Protocol, demonstrating how we develop curatorless leveraged tokenized vaults. If you're curious about the underlying mechanics and mathematics involved, delve into the details here.

Smart contracts

The LTV Protocol is live on Sepolia Testnet with a fully functional implementation of its dual EIP-4626 vault system, featuring automated leverage management via auctions rebalancing. You can explore the full contract architecture, including rebalancing logic, auctions, and collateral mechanics, in our GitHub repository.

Latest news

Integrations

These are the protocols the team is working with in the first vaults

Lending protocols:

Aave
Spark
Compound
Morpho

Assets:

LIDO
ether.fi
Rocket Pool
DAI
Mellow
Ethena

Integrators:

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