Crypto Vaults

crypto vaults

2026-10-19 09:41:26

Financial Times: Crypto vault deposits have climbed to more than $10 billion

Crypto vaults have grown sharply, with total deposits rising from $4 billion at the start of last year to more than $10 billion, according to the Financial Times. The report said fintech companies, digital asset treasury managers and hedge funds are the main depositors using these products. These vaults operate through smart contracts on DeFi platforms, with each vault overseen by a manager who selects lending strategies, sets risk limits and charges fees. Reported yields typically range from 3% to 10%, while higher-risk strategies can generate returns of 20% or more. The structure also exposes depositors to several risks, including collateral risk, liquidity risk and smart contract risk. The figures point to continued growth in demand for structured on-chain yield products among professional and institutional-style market participants.

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crypto vaults

2026-10-19 09:40:50

Crypto vault deposits top $10 billion as sector expands

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.

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SEC

2026-07-22 14:31:37

SEC Commissioner Hester Peirce Says Crypto Vaults and On-Chain Lending May Fall Under Federal Securities Laws

U.S. Securities and Exchange Commission Commissioner Hester Peirce said crypto activity is not automatically outside the scope of federal securities law simply because it takes place on-chain. In a statement released on July 22, Peirce said many crypto assets and related activities may sit outside securities rules, but that does not exempt every structure used in the sector. If an activity would otherwise fall under securities law, moving it onto blockchain rails usually does not change its legal character. Peirce focused on crypto asset vaults that use smart contracts to allocate user funds into yield strategies such as staking and lending. She said securities law questions may arise when an operator selects those strategies, reallocates assets, or appoints decision-makers. Some vaults, she added, could be treated as common enterprises in which profits depend on the efforts of managers, or could trigger rules tied to investment companies, unit investment trusts, or investment advisers. She also said on-chain lending strategies may raise similar issues. Managers that set interest rates, collateral assets, loan-to-value ratios, and liquidation thresholds should assess whether their activities are regulated. In some cases, on-chain loans may also be treated as notes with security-like features depending on transaction purpose and distribution arrangements.

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