| Term | Defintion |
|---|---|
| Depositor | A Depositor is any user who contributes assets into a RockSolid Vault. Depositors receive Receipt Tokens that represent their share of the Vault and entitle them to withdraw their assets and any rewards earned. |
| Distributor | RockSolid is the Distributor. The Distributor works with the Partner Protocol to ensure the vault is configured to match its objectives, including risk appetite, asset type, and reward structure. The Distributor provides front-end integration and distributes the vault via its own front-end. |
| High-Water Mark | A fee safeguard: rewards fees are only collected on new gains above the vault’s previous peak NAV, ensuring depositors don’t pay fees twice for the same performance. |
| Looping / Compounding | A strategy where assets are deposited, used as collateral to borrow more, and redeposited to amplify rewards. Rewards earned are automatically reinvested, compounding returns over time. |
| MPC (Multi-Party Computation) Wallets | Cryptographic wallets controlled by multiple independent parties. RockSolid uses MPC wallets to enforce operational security (e.g., withdrawals, parameter updates, whitelisted strategies) without relying on a single key holder. Multiple signers are required to process transactions. |
| NAV (Net Asset Value) | The total value of assets held by the vault. NAV is updated via a two-step asynchronous process and used to determine the fair value of deposits and withdrawals. |
| Oracles | RockSolid uses external data feeds (e.g., Pyth) for display purposes. NAV updates rely on a two-party manual process: 1) Proposal by Strategy Manager and 2) Accept/Reject by the Distributor. All updates are viewable on-chain (e.g., via Etherscan). |
| Partner Protocol | Partner Protocols are external projects, asset issuers, or asset owners that RockSolid integrates with to create Vaults. Example: Rocket Pool |
| Pending Rewards (Unrealized Rewards) | Rewards that are accruing but not yet realized or reflected in NAV. Example: points or tokens accumulating in a campaign but released later. Withdrawals before realization forfeit pending rewards. |
| Points / Incentive Rewards | Incentives distributed by underlying DeFi protocols that accrue to vault depositors. May remain pending before being realized. |
| Receipt Token (aka Vault Shares) | A Receipt Token is received when depositing into a RockSolid vault. It represents your share of the vault (deposit + rewards). Required for withdrawals. Example: rock.rETH for the Rocket Pool rETH Vault. |
| Redemption Queue | The system for managing asynchronous withdrawals, batching user requests into the next withdrawal window (typically 24h). |
| Reference Asset | The token deployed inside the vault (e.g., ETH, USDC, rETH). All rewards are denominated in this asset and returned in this asset on withdrawal (regardless of the asset deposited). |
| Rewards Fee | A percentage of rewards, accrued as newly minted shares to the fee receiver during NAV updates. Applied only when vault value exceeds its previous peak. |
| Service Fee | A baseline fee on vault TVL, accrued daily as newly minted shares to the fee receiver whenever NAV is updated. |
| Strategy | A defined set of actions the Strategy Manager uses to generate rewards on Vault Assets. Can include lending, staking, liquidity provision, or incentive farming within risk limits. |
| Strategy Manager (aka Strategist, aka Curator) | An entity responsible for proposing, executing, and monitoring vault strategies. Only whitelisted strategies can be executed. Example: Tulipa Capital for the Rocket Pool rETH Vault. |
| TVL (Total Value Locked) | The total dollar value of assets deposited in a vault. A key metric for scale, adoption, and fee accrual. |
| Vault | A smart contract that accepts deposits of a reference asset and allocates them into DeFi strategies. Depositors receive vault shares representing ownership. |
| Whitelist | A pre-approved list of strategies or counterparties eligible for execution. Proposed by the Strategy Manager and approved by the Distributor (and sometimes the Partner Protocol). |
| Withdrawals (Asynchronous) | A withdrawal mechanism where users cannot instantly withdraw. Requests are processed every ~24H (ERC-7540 standard). Protects against instant draining during mispricing, depegs, or oracle failures. |