A step-by-step guide to the Cryptex Finance Vaults
<aside> 💡 TLDR: Vaults provide users the ability to mint a synthetic asset, like TCAP or JPEGz, using various types of collateral.
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Vaults are a place to deposit various types of collateral and mint a synthetic asset, such as TCAP or JPEGz, on the Cryptex Finance protocol.
Cryptex Finance vaults are a collateralized debt position (CDP).
Users have two options for creating these vaults: regular mode and hard mode.
Regular Mode TCAP
The minimum required ratio of 150% or the user will face liquidation.
Collateral Options
ETH
WETH
DAI
AAVE
LINK
Regular Mode JPEGz
The minimum required ratio of 150% or the user will face liquidation.
Collateral Options
ETH
WETH
DAI (Minimum Collateral Ratio of 170% for DAI)
Hard mode vaults for minting TCAP on the Ethereum Mainnet require a 125% ratio and a minimum of 20 TCAP. Collateral options include ETH, WETH, DAI, USDC, and WBTC.
TCAP
Initial TCAP Mint Fee: Zero
Initial TCAP Burn Fee: 1%
Users can get their collateral back by paying back their borrowed TCAP. The burning of the TCAP will have a cost associated with it that goes toward building the protocol.
Regular Mode TCAP Liquidation Penalty: 10%
Hard Mode TCAP Liquidation Penalty: 19%
JPEGz
Initial JPEGz Mint Fee: 1.5%
Initial JPEGz Burn Fee: 1.5%
Users can get their collateral back by paying back their JPEGz. There is a fee for this process that goes towards developing the protocol.
Regular Mode JPEGz Liquidation Penalty: 20%
How Do I Use The Vaults?
The Cryptex Finance dApp vaults are now available on Ethereum Mainnet, Optimism (TCAP), and Arbitrum (JPEGz).
For a step-by-step guide on how to join the hard-mode vaults, click here.
To learn how to mint TCAP on Optimism, click here.
To learn how to mint JPEGz on Arbitrum, click here.