Deposits in crypto “vaults” have climbed from $4 billion at the start of last year to more than $10 billion, according to an Odaily report. The main depositors in these structures include fintech companies, digital asset treasury managers and hedge funds. These vaults operate through smart contracts on DeFi platforms, while designated managers select lending strategies, set risk limits and charge fees. Reported yields typically range from 3% to 10%, though higher-risk strategies can generate returns of 20% or more. Those higher returns come with clear trade-offs: depositors remain exposed to collateral risk, liquidity risk and smart contract risk. The figures point to a larger pool of capital moving into managed on-chain yield products, with professional allocators playing a central role in the segment’s growth.
Deposits in crypto “vaults” have risen from $4 billion at the start of last year to more than $10 billion, according to Odaily.
Fintech companies, digital asset treasury management firms and hedge funds are the main depositors in these vaults. The products run through smart contracts on DeFi platforms, while “managers” choose lending strategies, set risk limits and collect fees.
Yields typically range from 3% to 10%. Higher-risk strategies can deliver returns of 20% or more, but depositors also face collateral risk, liquidity risk and smart contract risk.
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