Lending Vaults

Managed capital allocation to various lending markets

Vaults let managers run strategies and deploy capital on top of Tydro markets. This page describes the vault types Tydro supports, defined by what they do and who can control them.

A vault follows the ERC-4626 standard or an equivalent. A depositor supplies an asset, the vault puts it to work under a manager, and each share tracks the depositor's portion of the result. The standard is flexible, so a clear description of each vault's function, permissions, and access control matters the most.

Vault types

• Lending vaults. A curator and allocator move capital across whitelisted lending markets seeking a target risk-adjusted return. Suited to depositors who want diversified exposure across markets rather than managing positions themselves. See Morpho Vaults for a conceptual overview.
• Manager-directed vaults. A manager holds defined roles over the asset, strategy, and venue, within a single or multi-strategy mandate. The role structure is explicit, so depositors can see what the manager can and cannot do.
• Vault-held assets. The manager completes KYB and acquires assets or securities through an entity or SPV, then represents them in the vault. This is how real-world and off-chain exposure reaches on-chain depositors under a defined legal structure.

Tydro supports a variety of vault products, including Sentora's Kraken Earn vaults.

External vaults that allocate to Tydro should be independently diligenced by investors. Using a permissionless market for yield is not an endorsement from Tydro of the vault manager or strategy.

Permissions and control

Every vault runs on role-based access control. Each role, whether curator, allocator, or manager, has a defined set of actions and clear limits. The Tydro app states relevant information for each vault, so depositors know who controls their capital and what those parties are able to do with it.