How Ceres Vaults Work

Ceres smart vaults are ERC4626 share vaults.

When you deposit assets, you receive shares. Your share balance usually stays the same. Your share value moves as the vault earns yield.

What the vault does

Every Ceres vault runs a leveraged collateral and debt position:

• it supplies collateral into a money market • it borrows against that collateral • it loops to increase exposure • it rebalances to stay near the target LTV

V2 vaults are already integrated with:

• Morpho • Euler • Silo • Lista

Rebalancing

Vaults rebalance to keep leverage inside the target range.

Rebalance can use flash liquidity to adjust faster or unwind cleaner. It is just an execution tool. The goal is always the same: stay inside the LTV rails.

Swaps and pricing

Vaults may swap tokens during deploy or unwind. Swaps use approved routes and have protections like:

• max slippage bounds • TWAP based pricing checks • transaction reverts if limits are breached

Admin change delay

Critical updates like swapper and oracle adapter changes follow a request then execute flow with a 2 day delay.

The point is simple: no surprise switches.