How does Kalax Vault work?
The Manual investment strategies often involves high amount of time spend and relatively high gas expenditure. The flowchart above represents the majority of how a users spent their time on the DeFi industry. Kalax becomes a third-party protocol for users to invest their asset to be auto-compounded in other protocols. Due diligence, Reinvesting, and Auto-Harvesting is all by done Kalax. Thus, creating high efficiency in return for users.
Kalax’s Vault utilizes automation to continually invest and reinvest deposited funds, resulting in high compound interest levels. Utilizing Kalax’s vault to compound gains saves numerous transactions and associated gas costs, as well as valuable personal time. Instead of manually harvesting,researching and reinvesting rewards a vault automates these processes at a high frequency.
Without the vault mechanism, Kalax is nothing. With deep-dive research to pursue protocol’s with high security and high yield simultaneously, Kalax’s algorithms are customly designed to seek for these third party protocols.
User funds are never locked within any Kalax’s vault, and users retain the freedom to withdraw from a vault whenever they choose. Furthermore, Kalax does not possess control over the funds users stake in vaults. Nevertheless, it's recommended to view vaults as investment instruments for holding funds over a medium to long period to maximize the advantages of compounding.
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