We build ERC-4626 yield vaults with auto-compounding strategies, multi-strategy allocation, and robust risk management. Optimize returns while protecting depositor capital.
Yield vaults are the workhorse of DeFi capital allocation — they accept user deposits, deploy capital across yield-generating strategies, compound returns, and manage risk. Building vaults that handle real value requires precise share accounting, secure strategy execution, and risk management that protects depositors from loss. Arthiq builds yield vault infrastructure that meets these standards.
Our vault development follows the ERC-4626 tokenized vault standard, providing composability with the broader DeFi ecosystem. Any protocol that integrates with ERC-4626 vaults can interact with your vault seamlessly — lending protocols can accept vault shares as collateral, aggregators can route deposits to your vault, and portfolio managers can include your vault in their strategies.
We build single-strategy vaults that focus on one yield source and multi-strategy vaults that allocate across multiple opportunities. Each vault type has its own complexity profile — single-strategy vaults are simpler but less resilient, while multi-strategy vaults provide diversification but require sophisticated allocation logic.
The ERC-4626 standard defines a tokenized vault interface with deposit, withdraw, mint, and redeem operations. Our implementations handle the precise share-to-asset accounting that these operations require — converting between deposit amounts and share quantities using exchange rates that reflect accumulated yield.
Share accounting must be exact. Rounding errors in share calculations can be exploited for profit extraction at the expense of other depositors. Our contracts use conservative rounding — always rounding against the user performing the operation — and include minimum deposit thresholds that prevent rounding-based attacks on small positions.
We implement vault lifecycle management including deposit caps that limit total vault size, lock periods that prevent rapid deposit-and-withdraw cycling, and management fees that compensate vault operators. Performance fees are calculated using a high-water mark methodology that only charges fees on genuine gains.
Yield strategies define how vault capital is deployed to generate returns. We build modular strategy contracts that handle deposit into yield sources, harvest of earned rewards, compounding of returns, and withdrawal when the vault needs liquidity.
Our strategies interact with lending protocols (Aave, Compound), DEX liquidity pools (Uniswap, Curve), staking platforms, and other DeFi protocols. Each strategy includes position monitoring, emergency withdrawal capability, and loss reporting that triggers automatic de-allocation when losses exceed thresholds.
For multi-strategy vaults, we build allocation controllers that distribute capital across strategies based on configurable weights, performance metrics, and risk budgets. Rebalancing can be triggered manually through governance or automatically through keepers that monitor allocation drift.
Auto-compounding converts earned rewards back into deposited assets and reinvests them, providing compound returns to vault depositors. We build harvesting infrastructure that claims rewards from underlying protocols, swaps them to the vault's base asset through DEX integration, and reinvests the proceeds.
Harvest timing is optimized to balance gas costs against the value of claimed rewards. Harvesting too frequently wastes gas, while harvesting too infrequently leaves rewards uncompounded. Our keeper bots calculate the optimal harvest frequency based on current gas prices and accumulated reward value.
We implement MEV-resistant harvesting that protects the swap execution from sandwich attacks. Techniques include using DEX aggregators for optimal swap routing, implementing minimum output checks, and using private mempool submission when available.
Vault depositors trust the protocol with their capital, and risk management is essential to maintaining that trust. We implement multiple layers of risk controls — per-strategy loss limits, total vault drawdown limits, oracle health checks, and circuit breakers that pause deposits or trigger emergency withdrawals when anomalies are detected.
Monitoring infrastructure tracks vault performance, strategy health, underlying protocol status, and position health in real time. Dashboards display current APY, total assets, strategy allocation, recent harvests, and risk metrics. Alerting systems notify operators when any metric exceeds defined thresholds.
Arthiq builds yield vaults that prioritize depositor protection alongside return optimization. Our Singapore-based team combines DeFi engineering with risk management expertise to deliver vault infrastructure that earns trust. Contact founders@arthiq.co to discuss your yield vault project.
We build ERC-4626 vaults with auto-compounding, multi-strategy allocation, and robust risk management. Optimize yield while protecting capital.