Supervaults are now live! Start earning optimized yields with automated liquidity management. Ready to get started? Check out the how-to deposit section below for step-by-step instructions.
Supervaults (mmvault contracts) are Neutron’s flagship DeFi innovation that manage liquidity on behalf of users by efficiently allocating deposits into the Neutron DEX (Duality). Using Neutron’s integrated infrastructure, they automatically rebalance positions across different price ranges and fee tiers, achieving maximal capital efficiency and improving outcomes for both traders and liquidity providers. The vault contract abstracts away direct DEX interactions from end users, allowing users to interact through standardized deposit and withdrawal flows while the vault autonomously manages liquidity provisioning via Cron-triggered rebalancing logic. Unlike traditional yield vaults or static liquidity pools, Supervaults actively optimize capital deployment to:
  • Minimize slippage for traders through concentrated liquidity
  • Maximize fees earned by liquidity providers across multiple fee tiers
  • Reduce impermanent loss through dynamic position management and rebalancing

For Liquidity Providers

Deposit paired tokens and receive LP share tokens representing proportional vault ownership. Earn optimized yields through strategic liquidity placement across price ranges and fee tiers.

For Traders

Supervaults provide deeper liquidity at current price points, resulting in significantly reduced slippage for large trades and better execution quality.

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Capital Efficiency Advantages

Supervaults achieve exceptional capital efficiency through several mechanisms:

Concentrated Liquidity Management

Unlike passive AMMs, Supervaults actively concentrate liquidity around current market prices across multiple fee tiers, maximizing capital utilization.

Automated Fee Tier Optimization

The vault automatically allocates liquidity across different fee tiers based on market conditions, optimizing for both volume and fee generation.

Dynamic Rebalancing

Continuous rebalancing ensures liquidity stays optimally positioned as market conditions change, without requiring manual intervention.

Proportional Share System

The token factory-based LP share system ensures fair distribution of rewards and accurate tracking of user ownership through all rebalancing operations.

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Comparison to Traditional Approaches

FeatureStandard AMM (e.g., Uniswap v2)Concentrated Liquidity (e.g., Uniswap v3)Neutron Supervaults
Liquidity PositioningPassive, across infinite price rangeManual selection of price rangesAutomated dynamic positioning across multiple ranges
Fee Tier ManagementSingle fee tierManual fee tier selectionAutomated allocation across multiple fee tiers
RebalancingNone neededManual or via third-party servicesAutomated via Cron module every block
LP ExperienceSimple but inefficientComplex, requires active monitoringSimple deposit with automated optimization
Oracle IntegrationNoneThird-party (if any)Native Slinky oracle integration
Share TrackingERC-20 LP tokensNFT positionsToken factory LP shares with proportional rewards

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How Supervaults Work

Supervaults integrate with Neutron’s core modules to enable continuous, trustless operation:

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User Flows

Deposit Process

Users deposit paired tokens (token0 and token1) and receive LP shares minted via Neutron’s token factory module, representing their proportional claim on the vault’s total value.

Withdrawal Process

Users redeem LP shares to withdraw their proportional share of vault assets. The vault handles complex DEX position management automatically during withdrawals.

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Automated Rebalancing with Cron and Slinky Oracle

Slinky Oracle Integration

Supervaults leverage Neutron’s Slinky price oracle to fetch fresh price data for precise rebalancing calculations and liquidity positioning.

Two-Phase Rebalancing

The Cron module triggers a two-phase rebalancing process each block: first withdrawing all active positions, then redeploying liquidity based on current market conditions.

Multi-Tier Deployment

Liquidity is strategically deployed across different price ranges and fee tiers, optimizing for both capital efficiency and fee generation.
The complete rebalancing flow works as follows:
  1. dex_withdrawal(): Each block, Cron first triggers withdrawal of all active DEX positions owned by the vault
  2. dex_deposit(): Immediately after, it fetches fresh prices from Slinky oracle and recomputes optimal liquidity deployment
  3. Strategic Positioning: Based on fee tier allocation, token imbalance, and configured parameters, liquidity is deployed across multiple price ranges
  4. Full Custody: The vault maintains complete custody of all funds throughout the process

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How to Deposit Into Supervaults

Follow these simple steps to start earning optimized yields with Supervaults:

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Step 1: Connect Your Wallet

Navigate to the Neutron Web Application and click the Connect button at the top right to connect your preferred wallet.

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Step 2: Access Supervaults

Select the Supervaults tab from the left side menu to view all available vault pairs.

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Step 3: Choose Your Vault

Select from the list of available Supervaults. Each vault shows:
  • Current TVL (Total Value Locked)
  • APY (Annual Percentage Yield)
  • Deposit cap status
  • Asset pair information

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Step 4: Deposit Assets

Supervaults support both single-sided and double-sided liquidity provision:
  • Single-sided: Deposit only one asset (e.g., just ATOM or just USDC)
  • Double-sided: Deposit both assets in the pair proportionally
Select the amount of each asset you want to deposit and click Deposit.

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Step 5: Monitor Your Position

Once deposited, you can:
  • Track your position’s TVL in the “My Position TVL” chart
  • Monitor vault performance and rebalancing activity
  • View your proportional share of vault rewards

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Step 6: Withdraw When Ready

To withdraw funds:
  1. Navigate to your deposited vault pair
  2. Select Withdraw
  3. Choose the amount to withdraw
  4. Confirm the transaction
Note: Withdrawals are on a pro-rata basis from the total vault value and will return proportional amounts of both assets in the pair.

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Technical Architecture

Technical Implementation: Supervaults represent the cutting edge of automated market making, combining Neutron’s integrated modules (Cron, Slinky Oracle, Token Factory, and Duality DEX) into a unified liquidity management system that operates trustlessly without external dependencies.