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Vault
Superior yields through risk tranching and leverage
Vault (also called Gro Vault Token i.e. GVT) is the second of the sister assets supported by Gro Risk Balancer. It is designed to be the highest-yield stablecoin vault on the market. The key is in its pairing with our superpowered stablecoin PWRD. PWRD users effectively buy deposit protection from Vault holders via a profit-sharing mechanism. This means Vault holders absorb market failures, but also gain a higher percentage of yields.
Gro Risk Balancer and the pairing with PWRD means that Vault holders can leverage their capital in battle-hardened, popular, and time-tested stablecoins and protocols without increasing exposure to the highly risky DeFi products with similar yield. The only added exposure is to Gro Protocol itself.
Vault is a token representation of your stablecoin yield farming activities on Gro. Its yields are accrued back into the token itself and it is NOT designed as a stablecoin. Vault's value could drop when one of the protocols or stablecoins fail as it absorbs loss for itself and PWRD deposits.
Vault is ideal for users who don't have either the time or the stomach to manage funds on a daily basis in untested, risky, high-yield products. It is designed to be a long-term, high yield investment which requires no maintenance from the holder. Risk Balancer autonomously manages the underlying investment portfolio and distributes yields, giving you the safest and easiest high-yield DeFi protocol.
If you prefer higher yield and are willing to put in more effort to manage your Vault tokens, you could also choose to stake Vault tokens in our Pools for additional yields in Gro DAO tokens (GRO). It is your choice whether to stake the Vault tokens by itself (single-sided) or pair that with GRO in the GRO/Vault pool. Vault tokens will continue to accrue yield when staked.
Last modified 1mo ago
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