Liquidation vaults
for real world assets

Asset managers put up first loss capital. That attracts LP deposits. The vault buys RWA tokens at a discount when holders need to exit and recovers capital through issuer redemption or secondary markets.

How it works

Deposit, wait, buy the dip, recover capital.

01Deposit USDC

Deposit USDC into the vault. Your capital is pooled with other depositors. No lockup.

02Idle yield

While waiting for sellers, your USDC earns 3 to 4% in tokenized treasuries.

03Buy at a discount

Someone needs to sell their RWA tokens. The vault bids below NAV at a discount set by the risk oracle.

04Recover capital

The vault redeems with the issuer or sells on secondary markets. The spread between cost and recovery is your profit. The manager's first loss capital absorbs any shortfall.

Core mechanism

First loss capital is the engine

The asset manager deposits capital that absorbs losses before LP deposits. That one thing makes everything else work.

01Manager puts up first loss

The asset manager deposits subordinated capital into the vault. If the vault takes a loss, this tranche gets hit first.

02First loss attracts LPs

Depositors see a vault with subordinated protection. The manager's capital is first in line for losses. That brings in more LPs.

03LP capital fills the vault

More deposits means deeper liquidity. The vault can handle larger sells and more frequent exits.

04Vault buys tokens at a discount

When a holder needs out, the vault bids below NAV. The discount is set by the risk oracle, not the manager.

05Everyone gets paid

The vault redeems or sells tokens. LPs earn their preferred return first. The manager earns a performance fee on the excess for providing first loss capital. Their tranche absorbs losses before LP capital is impacted.

Two vault types

Two vault structures. Different risk profiles, different pricing tiers.

Asset Manager Vaults

The manager puts up first loss capital. LPs deposit on top. Tighter discount because the manager is on the hook first. Single asset per vault.

Risk tierCVaR 90-95
First lossAsset manager capital
CoverageSingle asset

Main Vault

LP capital only. No first loss buffer. Widest discount to compensate. Covers every listed asset.

Risk tierCVaR 99.7
First lossNone
CoverageAll listed assets

How the vault prices risk

Four inputs feed the discount. The vault reads them and bids accordingly.

Proxy CVaR

Each tokenized asset is mapped to publicly traded equivalents (BDCs, CEFs, mREITs) with decades of return history. The vault uses CVaR on the proxy basket to anchor the discount.

Bleed rate

30 day token supply change. Measures outflow pressure. If holders are leaving, the discount widens.

Liquidity

Issuer instant redemption capacity. The sleeve fill ratio determines how quickly the vault can convert tokens back to USDC.

Queue pressure

Pending redemptions relative to quarterly capacity. Longer queue means longer wait, wider discount.

For issuers

Market making for your token

Your token has no secondary market. Your holders are stuck in redemption queues. RAVA builds the liquidity infrastructure so they can exit at a transparent, risk priced discount.

Pricing oracle

We map your token to a proxy basket, run CVaR, and monitor onchain behavior like supply changes, queues, and liquidity. Your holders see a live, auditable discount. Not a black box.

Vault infrastructure

Smart contracts, sell API, receipt tokens, onchain execution. Your holders sell through our app or you integrate the API.

First loss vault

Put up first loss capital. That attracts LP deposits on top. More capital in the vault means deeper liquidity for your holders.

Earn yield from RWA liquidations

Deposit USDC. Earn yield while you wait. Keep the spread when someone sells.