Autopools

Autopools will be the main jumping off point for end-user interactions with the system (though technically this is the Router, these are the tokens the user will get back). Users will deposit and withdraw the base asset from here. Vaults are ERC 4626 + Permit compatible.

An Autopool is actually a pair of contracts. These contracts are:

• The pool itself

• A Convex-like, block height+rate style, Rewarder

The purpose of an Autopool is to represent a set of destinations that deposited assets may be deployed. It acts almost as an index. If an Autopool points to 5 destinations then your assets may be deployed to one or all of those destinations depending on how much those destinations are currently earning.

Base Asset

An Autopool should track it’s “base asset”. This is the asset that will be deposited and withdrawn from the pool. Any auto-compounding that happens will be in terms of the base asset, as well. However, it is expected that the Autopools associated Rewarder can emit any token(s).

Tracked Tokens

Autopools support being able to recover tokens that are erroneously sent to it. However, we would not want the ability to be able to transfer out any tokens that are core to operation of the Autopool. This would include the base asset and any DestinationVault shares that it currently holds. Tokens that should not be transferred are called “tracked”.

Debt Reporting

At least every 24 hours, or whenever valuations deviate by a certain threshold, the value of the DestinationVault tokens that are held by the Autopool are re-valued. Deposits and withdraws from the Autopool are based on these cached values. Should this debt reporting result in an increase in value, shares will be minted to the Autopool to offset the increase. This is to ensure there isn’t a sharp increase in the nav/share of Autopool. Auto-compounded rewards are also incorporated during this time.

Fees

Two types of fees can be taken by the Autopool and they are taken during Debt Reporting.

• Periodic Fee - This is a set fee annualized fee that is taken each Debt Reporting

• Streaming Fee - This fee is taken on profit earned by the Autopool. Optionally, this fee can only be taken when profit exceeds previous values (the high watermark).

  • Should the high watermark be enabled and not be broken for a period of 60 days, it will start to decay until we are able to take fees again

Any locked profit will be burned to offset the dilution incurred by any minted fee shares

Rebalancing

Assets can be rebalanced between destinations according the rules of the Autopools configured strategy. Autopools support the ERC3156 flash loan interface and can grant our Solver access to funds to be able convert them into a more desirable Destinations LP token.

Architecture

GIven that the creation of Autopools may vary widely depending on the type of Autopool being created (future looking), Autopools and their corresponding Factory are a 1:1 relationship. This differs from other factory+register+template relationships in our system: