Thales vaults are finally live!
Automated strategies for everyone
First, it was Overtime vaults' time to shine. Now, we proudly announce the beta launch of Thales vaults and the automated trading strategies that you can access.
Let’s dive in.
Introducing Thales vaults
The vault concept has been around for a while in the DeFi world, so we wanted to tap into that and offer our users a way for them to automate their trading strategies and smoothen up the experience for those who want to participate but are not keen on actively managing their positions on a mid to long timeframe.
You can check Thales vaults here.
The Thales vaults work in 1-week rounds, meaning that you can deposit your collateral (only supporting sUSD, initially) at any time, but the deposit will only be used by the vault starting on the next round.
Each vault has a defined strategy and considers these parameters to execute its trades:
- Utilization rate: What is the maximum percentage of the total deposited that can be utilized on a trading strategy at any given moment
- Price lower limit: The automated strategy will only buy positions at this price or higher
- Price upper limit: The automated strategy will only buy positions up to this price.
- Max Skew impact: Represents how much skew impact is the current strategy willing to accept when executing a trade. If set to 0, means that the strategy won’t execute any trade that has any amount of skew.
- Max allocation on a single market: The maximum percentage of the total funds deposited to be used for a single position
- Max total deposit: Maximum amount of collateral (from all the users or depositors) to be taken by the vault
- Max users in the vault: Maximum amount of users (or addresses) in the vault.
- Minimum amount on a single trade: Value in dollars defining the minimal size possible for a trade executed by the vault
- Minimum deposit: Minimal amount (in sUSD) for a user to deposit into the vault
- Round duration: How many days does a round last, initially the 3 vaults are set to a 1-week round duration
Strategies of each vault vary from targeting positions with odds above or below a certain threshold or focus on buying positions available at a certain discount.
Right now, there are 3 vaults to choose from, using different strategies and risk parameters:
- Discounts vault: Buys positions that have more than 50% odds and are available at a discount larger than 3%.
- Degen Discount vault: Buys positions at any odds that are available for more than a 5% discount.
- Safu Discount vault: Buys positions that have more than 75% odds and are available at any discount (1% or higher).
Lifetime PnL showed is just a reference and shouldn’t be used as a reference for future performance of the vault
It’s important to highlight that vaults are being released with a cap, which can be expanded by community governance if needed.
Each vault will accept deposits for the next round until the current round ends or the cap for the next round has been reached.
Users of the vaults can request to withdraw their collateral back to sUSD (+/- wins or losses of the vault) at any time during a round. Once that round ends the withdrawal will be processed. There is no additional vesting or lock-up.
Features of Thales vaults
There are 3 main value propositions for this release:
- Automated trading. There’s no need to withdraw and deposit for every round. If you keep your collateral inside a vault, it will automatically roll it over (plus the winnings or minus the losses of the previous round) to the next round.
- Benefit from TIP-105, which effectively lowered the trading fees for vaults from 3% to 0.5%, giving more wiggle room to the strategies in search of profitability.
- The full amount deposited into the vaults (be it Overtime or Thales) counts toward the gamified staking “Protocol volume” bonus.
Pretty cool, eh?
So, what to do now if I wanna check the vaults?
If this beta release interests you then by all means check it on the dedicated Thales’ vaults page.
Any questions, comments, or feedback is always welcome in Thales Discord.
Thanks everyone for your time and attention 🙏