> For the complete documentation index, see [llms.txt](https://ebisu.gitbook.io/ebisu-money/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://ebisu.gitbook.io/ebisu-money/protocol-mechanics/leverage-vaults.md). # Leverage Vaults ## Overview Ebisu Leverage Vaults let users of any size get leverage exposure to BTC, ETH, and other collaterals in one-click. Automated 4x leverage trading of WBTC and weETH. Deposit your tokens, receive vault shares representing amplified collateral exposure. No manual management required. ## Who Is This For? * Users seeking instant one-click leveraged BTC or ETH exposure * Users who want fixed-rate leverage without active management * Users seeking automated liquidation protection ## Why? Managing your own leveraged Trove requires minimum 2000 ebUSD debt, active LTV and rate monitoring, and manual rebalancing. Depositing and withdrawing into Leveraged Vaults is the smoothest way to leverage trade BTC & ETH without active management, while taking advantage of Ebisu’s user-set fixed interest rates that minimise position funding costs. ## How? **Trove Wrapper:** * Ebisu Leverage Vaults are ERC4626 vaults that wrap a single leveraged Trove position. * Users deposit collateral such as WBTC or weETH and receive vault shares representing their proportional claim on the trove's net equity (collateral minus ebUSD debt in collateral terms). **Deposit/Withdrawal:** * Vault supports instant deposit and withdrawal. * On deposit, the vault adds the collateral to its Trove and executes a leverUp flash loan to maintain the target leverage. * On withdrawal, it leverDown to repay proportional debt, then withdraws the user's collateral share. **Target Leverage Rebalancing:** * A permissionless rebalance() function adjusts leverage when it drifts beyond +-5% from target (eg. above 4.2X or below 3.8X.). * Gas costs are paid by the caller. * Slippage is checked against oracle price with a 2% max slippage tolerance to protect against low-liquidity conditions. * Ebisu runs a rebalancing bot. ## Risks The vault maintains a single leveraged Trove. Ebisu’s rebalancing bot calls the permissionless rebalance() function as the collateral price fluctuates, significantly reducing liquidation risk. Though if collateral value falls far enough to breach the Trove’s liquidation threshold, the position may be liquidated, resulting in loss of capital. ## User Guide 1. Deposit your WBTC or weETH into the vault 2. Vault borrows ebUSD and swaps it for more collateral (creating 4x exposure) 3. Withdraw anytime for your net equity in collateral. Shares represent your ownership of the vault. The share's dollar value reflects changes in net equity from leveraged exposure to the underlying assets price and accrued collateral yield and interest. ## Vault Configurations | | 4xWBTC | 4xweETH | | -------------------- | --------------------------------------------------------------------------------------------------------------------- | --------------------------------------------------------------------------------------------------------------------- | | **Target Leverage** | 4x | 4x | | **Deposit Fee** | 0.25% | 0.25% | | **Vault Standard** | ERC4626 | ERC4626 | | **Contract Address** | [0xD68D51CE1b3966C609b46763A62a60B290dB9dC9](https://etherscan.io/address/0xD68D51CE1b3966C609b46763A62a60B290dB9dC9) | [0xF46ce979F1de49037C18247B32F67741B96a956F](https://etherscan.io/address/0xF46ce979F1de49037C18247B32F67741B96a956F) | | Trove ID | [0xa7d43d73646c80ba4c584be1d25851a0d7ffd544b4e765b08255aff36a6ce896](https://ebisu.money/risk) | [0xd47a3fab6bce3e9400e78cd22b012573969a57d5fbe2b55ab2ddbd83f7185423](https://ebisu.money/risk) | ## Audit Audited by [Shepherd Security](https://www.useshepherd.io/). The codebase underwent both automated adversarial testing and manual review by an independent security researcher. --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter, and the optional `goal` query parameter: ``` GET https://ebisu.gitbook.io/ebisu-money/protocol-mechanics/leverage-vaults.md?ask=&goal= ``` `ask` is the immediate question: it should be specific, self-contained, and written in natural language. `goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. 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