Operations
The above illustration is an example of a Polygon trust minimized vault and all of its inner workings regarding different wallet entities interacting with a vault and where to view all of the recorded vault transactions.
The dHEDGE app consolidates this information into an easy to read dashboard for any user to easily digest. These are the mechanics underneath the dHEDGE interface on how the dHEDGE protocol is leveraging blockchain technology to write immutable transactions.
The blockchain in which transactions and token holdings are recorded depends on the vault type (Ethereum V1, Polygon V2, or Optimism V2). When an investor deposits into a vault, they receive newly minted ERC-20 vault tokens in their wallets just like any other cryptocurrency and have their own ticker symbol.
Managers designate their vault token ticker symbol at the time of creating a vault. The dHEDGE app enables depositors to easily add their vault tokens to their wallets so that they appear in their wallet like any other token.
When an depositor wants to withdraw from a vault, their shares will subsequently be burned or destroyed upon withdrawing and the total shares outstanding of the vault will decrease. Vault tokens are transferable or redeemable after the 24 hour lock up.
Holders of a vaults tokens are visible within the dHEDGE app as wallet addresses, and are also recorded on the blockchain at the vaults contract address at all times.
dHEDGE allows depositors to view a vaults :
- Deposits
- Withdrawals
- Activity
- Stats
- Current vault token holders
When a trade is placed, transactions occur only in the vaults contract address, not the manager’s, trader’s, or vault token holders’ wallets. Vault token shares represent an individuals claim of underlying vault assets.
Last modified 1mo ago