Pool structure
Capital enters through the Vault, in one of two forms, with a reserve standing behind both.
Two pools and a reserve
| Layer | Tier | Holds | Principal |
|---|---|---|---|
| Stable Pool | Senior | The whole book, diversified | Baseline, reserve-backed |
| Single Pool | Junior | One name, concentrated | At risk |
| Reserve | First loss | — | Absorbs losses first |
Senior and junior
The Stable Pool is power-law hedged: a baseline, set per sector, supported in two tiers — first by the IP monetization partner under contract, then by the Protocol Reserve.
It holds the whole book, so no single name carries its result.
The Single Pools take direct, concentrated exposure to a single name — the full distribution of one outcome, with no diversification and no baseline.
The same curve, two positions
Both tiers hold the same underlying asset at two points on the risk axis.
The senior tier trades the upside of any single name for a baseline and the buffer behind it; the junior tier holds one name for everything that name returns.
A contributor chooses the position, not the name: the structure is what is offered, selection is not.
The two also differ in availability. The Stable Pool is always-open, redeemable on its terms once the lock is met; the Single Pools are window-bound, redeemable only at the windows around the cycle they fund. Each pool publishes a capacity, and capital is committed for the lock term. The terms of exit are set out in Lifecycle.
How the two are priced against each other is set out in Economics.
The Vault
The Vault is the single entry interface.
Capital takes a position in a pool through it; the position is recorded on the ledger and proven on-chain.
From the Vault, the capital is deployed to fund the production the pool is drawn against; the revenue it earns returns through the same interface. See Lifecycle.
The Vault holds the interface, not discretion — it does not choose names and it does not hold money state.