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Overview

Version 3 of yVaults iterates on Version 2 by increasing its robustness and developing Yearn’s path towards further decentralization, while keeping the same proven product (yield-bearing tokens). Version 3 has all the same functionality as Version 2, but with many more added benefits and improvements to continue to grow the Yearn ecosystem.

V3 also sees the introduction of "Tokenized Strategies". Strategies are now capable of being standalone 4626 vaults themselves. These single-strategy vaults can be used as stand-alone vaults or easily added as a strategy to any of the multi-strategy "Allocator Vaults".

Version 3 of yVaults improves on Version 2 by:

  • Increasing vault modularity, allowing for smaller and safer pieces of code.
  • Simplifying strategy creation, empowering strategists and reducing the chance for errors.
  • Providing additional strategy functionality by implementing the Tokenized Strategy.
  • Adopting ERC-4626 compatibility for easy integrations.
  • Decreasing gas costs to report profits and update debts.
  • Adding new product and vault types.

VaultV3 Specification

Tokenized Strategy Specification

Periphery Contracts​

V3 incorporates periphery contracts, which are extensible code blocks that can be attached to a yVault or work alongside it to extend functionality over and beyond core base logic. They are not required but can facilitate building around yVaults.

A few examples of periphery contracts used in V3 are:

  • 4626 Router: Wrapper that handles deposits and withdrawals to/from all vaults and strategies.
  • Registry: Handles adding and tracking strategies and vaults.
  • Debt Allocator: Can efficiently allocate debt to different strategies. Added to a Allocator Vault for the best yield opportunities.
  • Accountant: Handles changing fees for vault operations.
  • Deposit/Withdraw Limit Modules: Allows dynamic control over a vaults deposit or withdraw limits for full customization.
  • Swappers: Pre-built contracts for strategies to inherit to easily implement their desired swap logic.
  • APR Oracles: Retrieve the expected current APY on-chain for different vaults or strategies to properly allocate debt.
  • And any others you can come up with!

To read more about the periphery contracts or where to find the curren versions click here

Read More​

For more information visit the V3 developer section: https://docs.yearn.fi/developers/v3/overview