What are Metavaults?

Metavaults are the core building blocks of passive yield generation in the Aurelia Protocol and beyond. Designed using the ERC-4626 tokenized vault standard, they act as automated portfolio managers that dynamically allocate user deposits across a set of pre-approved, composable yield strategies. Each Metavault accepts a base asset (e.g., USDC, ETH, BTC) and mints a corresponding aurtoken (e.g., aurUSDC) that reflects the user’s share in the underlying yield-generating strategies.

A portion of funds (typically 10%) is kept in a buffer to support fast withdrawals and provide liquidity to the Aurelia DEX. This buffer is automatically replenished or deployed using smart rebalancing logic triggered when the buffer drops below or exceeds certain thresholds (e.g., 5% or 15%).

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