Strategy Mechanics

Asset Supply: Users supply their RWA tokens into a Gauntlet-curated vault, which executes the yield optimization strategy within our sophisticated risk management framework.

Collateralization: The vault deposits the RWA tokens as collateral on a leading lending protocol and borrows stablecoins against this collateral.

Strategic Leverage: The borrowed stablecoins are used to purchase additional RWA tokens, which are again deposited as collateral.

Dynamic Optimization: This loop remains active subject to risk levels established by our quantitative yield optimization engine, which continuously monitors yield and borrow rates across DeFi markets.

Automated Risk Management: Our engine dynamically adjusts leverage ratios and collateralization levels based on market conditions, removing the need for manual position management.