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Vaults & Smart Sort

What is a vault?

A vault is a smart contract that accepts a deposit token, deploys it into a yield strategy, and gives you back shares representing your ownership. When you withdraw, your shares are redeemed for the original deposit plus accumulated yield.

YeldX sources vaults exclusively from the LI.FI Earn API, which aggregates vetted protocols across 7 chains.


How vaults are fetched

YeldX fetches vaults with these filters applied at the API level:

ParameterValueReason
sortBytvlAPY sort returns mostly non-redeemable vaults (expired Pendle PTs)
minTvlUsd$500,000Filters out illiquid or bootstrapping vaults
limit100Maximum per chain per request
Why TVL sort?

Sorting by APY at the API level returns a disproportionate number of non-redeemable vaults — expired Pendle principal token positions and exotic protocols where withdrawals are locked. With APY sort, only ~1% of results pass the redeemability check.

TVL sort returns ~94% redeemable vaults. The client then re-sorts by APY after filtering.


Smart Sort algorithm

After fetching, YeldX applies a client-side smart sort:

score = (apy_score × 0.6) + (tvl_score × 0.25) + (risk_bonus × 0.15)

Where:

  • apy_score = vault APY / max APY in result set (normalized 0–1)
  • tvl_score = log10(vault TVL) / log10(max TVL) (log scale)
  • risk_bonus = 1.0 for Low risk, 0.75 for Medium, 0.4 for High, 0.1 for Degen

This surfaces high-APY vaults that also have meaningful liquidity and acceptable risk — not just the most exotic or illiquid ones.


APY calculation

YeldX always displays 30-day average APY where available, falling back to 7-day, then live:

displayed_apy = apy30d ?? apy7d ?? apy_live

This prevents single-day spikes from distorting the displayed yield. Live APY can spike 10x during reward emission events and normalize within 24 hours — the 30d average gives a realistic picture.

APY components

ComponentDescription
Base APYNative protocol yield (lending interest, LP fees)
Reward APYToken emission incentives (temporary, may end)
Total APYBase + Reward

Vaults with reward > 0 show an Incentivized badge and an APY breakdown in the vault card.


Vault lifecycle states

StateMeaning
isRedeemable: trueYou can withdraw at any time
isRedeemable: falseLocked position (e.g. expired Pendle PT) — YeldX hides withdraw button

Supported protocols

YeldX surfaces vaults from all protocols indexed by LI.FI Earn, including:

  • Aave (v2, v3) — leading lending protocol
  • Morpho — peer-to-peer lending optimization
  • Compound (v2, v3)
  • Spark (MakerDAO's lending arm)
  • Yearn Finance — actively managed yield vaults
  • Beefy Finance — auto-compounding LP vaults
  • Pendle Finance — fixed-yield and PT positions
  • And many more per chain

Anomaly detection

YeldX flags vaults where the live APY is significantly above the 30-day average:

anomaly = max(live_apy, avg30d_apy) > 25%  AND  asset is a stablecoin

Flagged vaults show a warning in the expanded card view. This often indicates a temporary reward spike that will normalize soon.