LP Vault

The LP Vault is an aggregated liquidity pool that simplifies the LP experience. Instead of depositing into individual markets, you deposit USDC into the vault and your capital is deployed across multiple markets automatically.

How It Works

You deposit USDC → Vault issues shares at NAV → Vault deploys capital into markets
→ Markets resolve → Vault collects capital + fees → Share price increases → You withdraw

Deposits

When you deposit USDC, you receive vault shares priced at the current NAV (net asset value) per share. The initial share price is $1.00, and it moves up or down as the vault realizes gains or losses from resolved markets.

Unlike per-market LP deposits (which use fixed 1:1 minting), vault shares reflect the pool's actual performance. If the vault has earned fees and the share price is $1.05, depositing $100 gives you ~95.24 shares.

Capital Deployment

The vault deploys capital into markets in batches via createAndFundBatch(). A configurable deploy ratio (default 80% of NAV) determines how much capital is deployed vs. kept as float. For example, if the vault holds $10,000 and the deploy ratio is 80%, up to $8,000 can be deployed across markets.

Deployed capital is valued at cost until the market resolves — there is no mark-to-market during active trading.

Collection

After a market resolves, the vault calls resolveAndCollect() to:

1. Resolve the market outcome

2. Withdraw LP capital + fees from the market

3. Return USDC to the vault as float

4. Process any pending withdrawal requests

Withdrawal Queue

Withdrawals use a FIFO (first in, first out) queue:

1. You request a withdrawal for a number of shares

2. Your request enters the queue

3. As float becomes available (from new deposits, market resolutions, or collections), the queue is processed in order

4. When your request reaches the front and sufficient float exists, your shares are burned and USDC is sent to your wallet

The queue processes up to 50 entries per transaction to keep gas costs bounded.

Withdrawals are not instant. If most capital is deployed in active markets, you may need to wait for markets to resolve. The queue ensures fair ordering — no one can skip ahead.

Key Metrics

Metric	What It Means
NAV	Total value of the vault: float + deployed capital (at cost)
Share Price	NAV / total shares — moves when the vault collects gains or losses
Float	Undeployed USDC available for new markets or withdrawals
Deployed	USDC currently in active markets
Trailing APR	Annualized return based on recent share price performance

Vault vs. Per-Market LP

	LP Vault	Per-Market Deposit
Diversification	Automatic — capital spread across markets	Manual — you pick each market
Share pricing	NAV-based (reflects performance)	Fixed 1:1 ($1 = 1 share)
Withdrawal	FIFO queue, available anytime	Only after market resolves
Capital efficiency	Vault manages deployment ratio	You choose how much per market
Fee capture	Aggregated across all vault markets	Per-market only

Anti-Snipe Protection

The vault includes a configurable minimum holding period to prevent deposit-and-immediately-withdraw attacks. During testnet, this is set to 0 (no restriction).

Smart Contract

The LpVault contract is deployed at 0x89171fBDFC91599760599c49FC05EdF8c1BE6a19 on Base Sepolia. It owns the MarketFactory and is the primary interface for creating and funding markets.

For technical details, see the Contract Overview and Addresses pages.