Protocol overview
VYRA is a yield-rights protocol funded by the Treasury and operated through portfolios of liquidity positions. Each Basket contains a set of independently managed positions with a shared maturity.
- Users purchase yield rights in a specific Basket and receive a share of its realized positive net profit in proportion to their valid shares.
- Yield rights do not confer ownership of LP principal, LP NFTs, or Treasury assets.
- The protocol does not promise fixed returns, guarantee a profit, or compensate for any shortfall against expected returns.
How strategies operate
The Treasury allocates principal, and yield-rights sales open after the system establishes the LP portfolio. Each Basket runs for a defined term. At maturity or after a stop-loss trigger, positions are closed, actual results are reconciled, and proceeds are distributed.
- Positions must be established and verified before sales open. An unexecuted plan to open positions cannot serve as the basis for a purchase.
- Principal, positions, purchased shares, and liquidation results are recorded separately for each Basket. The same funds must not be allocated more than once.
- Users can view operating information, yield-rights records, and settlement status in the Basket details.
Yield rights and purchases
Each Basket is quoted separately. Quotes account for principal, term, projected income, costs, and risk. They are not a promise of final returns.
- Purchases are available only for Baskets with established positions, open sales, and a valid quote.
- Before purchasing, confirm the Basket, valid shares, and payment amount. Under the protocol rules, the VYRA paid must actually be burned, and the corresponding yield rights are recorded after a successful purchase.
- Payment, burns, and share records must match. Failed purchases must not count toward valid shares, and a purchase must not be recorded more than once.
- Burned VYRA is not refunded if the Basket loses money or produces no return.
Term and maturity
Each Basket receives a single start time and maturity time at launch. All yield-rights holders share the same operating period.
- An individual purchase does not extend the maturity of the Basket.
- At maturity, sales close and the position exit and reconciliation process begins.
- The on-screen countdown is a progress indicator only. Reaching zero does not mean positions have been closed or returns have been settled.
Stop-loss and liquidation
Under the protocol rules, stop-loss liquidation is triggered when a Basket is valued at 70% or less of its initial principal. Sales then stop, all LP positions are closed in sequence, and proceeds are reconciled.
- Stop-loss liquidation is irreversible. A subsequent price recovery does not allow sales to reopen or normal operation to resume.
- A 30% drawdown is a trigger threshold, not a guaranteed loss limit. Liquidity conditions, slippage, and execution costs may result in greater losses.
- If any position exit fails, liquidation remains incomplete while processing and reconciliation continue. It must not be marked complete prematurely.
Profit calculation and distribution
Realized net profit is calculated by subtracting initial principal and actual execution costs not already accounted for from the assets received through liquidation. Expected returns, unrealized gains, and dynamic quotes cannot replace actual liquidation results.
- When valid yield-rights holders exist, all realized positive net profit is distributed in proportion to their valid shares.
- If realized net profit is zero or negative, users receive no return and no yield payment is made.
- If there are no valid purchase records, realized positive net profit belongs to the Treasury.
- Proceeds must not be counted twice, and costs must not be deducted twice.
Payments and claims
Once settlement is complete and user entitlements are confirmed, the system first attempts an automatic payment. If that payment fails, the amount due is retained and the user can claim it.
- Shares held, returns due, amounts paid, and claimable balances are recorded separately for each Basket.
- A failed payment does not erase valid yield rights or mark unpaid amounts as paid.
- Returns that have already been paid or claimed cannot be claimed again. Total payments must not exceed actual distributable profit.
Before you participate
Return projections are uncertain. Even when projected net profit is positive, actual returns may be zero. Understand the rules for yield rights, burns, stop-loss triggers, and liquidation before purchasing.
- Market volatility, loss of liquidity, smart contract risks, and failed transactions may all affect outcomes.
- Blockchain transactions may be delayed or incur additional costs. Position exits and yield payments may require retries.
- The Treasury does not compensate for burned VYRA, the cost of purchasing yield rights, or shortfalls against expected returns.