Passage Vault

The Passage Vault exists to serve as a counterparty to increase the number and speed of passage order matches. When a user enters an order they must wait until a counterparty takes the other side of the trade. Users can get frustrated if their trades are not executed within a reasonable amount of time. The vault auto trades using the vault's funds to take the opposing side of user trades. We intend to have the vault to be open to outside depositors/wallet addresses who choose to deposit and lock up their funds (ETH) for a period of 30 days. At the end of which, depositors can choose to “auto-roll” funds or withdraw their funds to be used on the platform, or withdraw to their self-custodial wallet. We will give an estimated return rate based on an assumed utilization rate and fees paid to the vault over the 30 days. Actual returns will be based on the utilization rate, the fees paid, and the trading PnL of the passages purchased by the vault.

In order to attract investors to the vault, the vault must generate a history of competitive returns. There the vault’s utilization rate must be kept sufficiently high. New vaults will only be opened at management's discretion, and will only be opened for a maximum amount of investment. It is possible there could be up to 30 simultaneously active passage vaults if a new vault was opened for investment every day.