Supervaults

Next-generation liquidity management vaults featuring automated rebalancing and capital-efficient yield strategies

Supervaults (mmvault contracts) are Zypheria’s flagship DeFi innovation, managing liquidity on behalf of users by efficiently allocating deposits into the Zypheria DEX (Duality). Leveraging Zypheria’s integrated infrastructure, they automatically rebalance positions across different price ranges and fee tiers, maximizing capital efficiency and improving outcomes for both traders and liquidity providers.

The vault contract abstracts away direct DEX interactions for end users, enabling standardized deposit and withdrawal flows while autonomously managing liquidity provisioning via Cron-triggered rebalancing logic.

Unlike traditional yield vaults or static liquidity pools, Supervaults actively optimize capital deployment to:

• Minimize slippage for traders through concentrated liquidity

• Maximize fees earned by liquidity providers across multiple fee tiers

• Reduce impermanent loss through dynamic position management and rebalancing

For Liquidity Providers

Deposit paired tokens to receive LP share tokens representing your proportional ownership of the vault. Earn optimized yields through strategic liquidity allocation across different price ranges and fee tiers.

For Traders

Supervaults deliver deeper liquidity at current price levels, significantly reducing slippage for large trades and improving execution quality.

Capital Optimization Benefits

Supervaults achieve exceptional capital efficiency through several mechanisms:

Concentrated Liquidity Management

Unlike passive AMMs, Supervaults actively concentrate liquidity around current market prices across multiple fee tiers, optimizing capital utilization.

Dynamic Fee Tier Optimization

The vault automatically distributes liquidity across multiple fee tiers according to market conditions, optimizing for trading volume and fee generation.

Dynamic Rebalancing

Continuous rebalancing keeps liquidity optimally positioned as market conditions evolve, eliminating the need for manual intervention.

Proportional Share System

The token factory-based LP share system guarantees fair reward distribution and precise tracking of user ownership throughout all rebalancing operations.

Advantage Over Traditional Methods

Feature	Standard AMM (e.g., Uniswap v2)	Concentrated Liquidity (e.g., Uniswap v3)	Neutron Supervaults
Liquidity Positioning	Passive, across infinite price range	Manual selection of price ranges	Automated dynamic positioning across multiple ranges
Fee Tier Management	Single fee tier	Manual fee tier selection	Automated allocation across multiple fee tiers
Rebalancing	None needed	Manual or via third-party services	Automated via Cron module every block
LP Experience	Simple but inefficient	Complex, requires active monitoring	Simple deposit with automated optimization
Oracle Integration	None	Third-party (if any)	Native Slinky oracle integration
Share Tracking	ERC-20 LP tokens	NFT positions	Token factory LP shares with proportional rewards

How SuperVaults Work

Supervaults integrate with Zypheria’s core modules to enable continuous, trustless operation:

User Flows

Deposit Process

Users deposit paired tokens (token0 and token1) and receive LP shares minted through Zypheria’s token factory module, representing their proportional ownership of the vault’s total value.

Withdrawal Process

Users redeem LP shares to claim their proportional share of vault assets. The vault automatically manages complex DEX positions during withdrawals.

Automated Rebalancing

Slinky Oracle Integration	Two-Phase Rebalancing	Multi-Tier Deployment
Supervaults leverage Zypheria’s Slinky price oracle to obtain up-to-date price data for precise rebalancing calculations and optimal liquidity positioning.	This module initiates a two-phase rebalancing each block: first, it withdraws all active positions, then redeploys liquidity according to current market conditions.	Liquidity is strategically allocated across various price ranges and fee tiers, optimizing both capital efficiency and fee generation

The complete rebalancing flow works as follows:

1. dex_withdrawal(): At each block, the vault first withdraws all active DEX positions it owns.

2. dex_deposit(): Immediately afterward, it retrieves updated prices from the Slinky oracle and recalculates optimal liquidity deployment.

3. Strategic Positioning: Taking into account fee tier allocation, token imbalance, and configured parameters, liquidity is deployed across multiple price ranges.

4. Full Custody: The vault retains full custody of all funds throughout the process.

How to Deposit Into Supervaults

Follow these simple steps to start earning optimized yields with Supervaults:

1

Connect Your Wallet

Go to the Zypheria Web Application and click the Connect button at the top right to link your preferred wallet.

2

Access Supervaults

Click the Supervaults tab in the left-hand menu to view all available vault pairs.

3

Choose Your Vault

Select from the list of available Supervaults. Each vault shows:

• Current TVL (Total Value Locked)

• APY (Annual Percentage Yield)

• Deposit cap status

• Asset pair information

4

Deposit Assets

Supervaults support both single-sided and double-sided liquidity provision:

• Single-sided: Deposit only one asset (e.g., just ATOM or just USDC)

• Double-sided: Deposit both assets in the pair proportionally

Select the amount of each asset you want to deposit and click Deposit.

5

Monitor Your Position

Once deposited, you can:

• Track your position’s TVL in the “My Position TVL” chart

• Monitor vault performance and rebalancing activity

• View your proportional share of vault rewards

6

Withdraw When Ready

To withdraw funds:

1. Navigate to your deposited vault pair

2. Select Withdraw

3. Choose the amount to withdraw

4. Confirm the transaction

Note: Withdrawals are processed on a pro-rata basis from the vault’s total value, returning proportional amounts of both assets in the pair.

Technical Implementation: Supervaults represent the forefront of automated market making, integrating Zypheria’s modules (Slinky Oracle, Token Factory, and Duality DEX) into a unified liquidity management system that operates trustlessly without external dependencies.