AutoLoop™

An automated looping strategy to maximize ETH yield

AutoLoop maximizes ETH yield by strategically looping ETH staking. It borrows ETH against LETH and stakes the additional ETH back into the loop, optimizing yield efficiency through recursive staking. Depending on staking APY and borrow rates, this process can be repeated between 3x-15x.

AutoLoop dynamically adjusts the loop multiplier to achieve the best risk-adjusted yield. The system rebalances once a day, optimizing efficiency while ensuring safe deleveraging when needed. This allows LETH holders to benefit from the most efficient looping strategy while maintaining security and stability.

Key Features of AutoLoop

• Real-Time Monitoring

  • Tracks staking APYs, borrowing rates, and ETH market conditions throughout the day.

  • Collects data to prepare for daily rebalancing.

• Unified Multipliers

  • All vault participants use the same leverage settings, simplifying strategy execution.

  • Ensures consistent and fair returns for all users.

• Risk Management

  • Automatic deleveraging if loan-to-value (LTV) ratios exceed safe thresholds.

  • Circuit breakers prevent new loops during extreme market conditions.

  • Gradual unwinding reduces liquidation risk.

  • Maintains exchange parity to prevent depeg risks.

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How It Works

1. Data Collection

   • AutoLoop fetches real-time ETH price feeds, staking APYs, and borrowing rates daily.

   • It compares LTV ratios to staking and borrowing spreads to determine the optimal strategy.

2. Decision Logic

   • Leverage Up: If staking yields exceed borrowing costs, AutoLoop borrows more ETH and stakes again.

   • Leverage Down: If borrowing rates increase or LETH value drops, AutoLoop repays loans or unstakes ETH to reduce risk.

3. Daily Rebalancing

   • At a fixed time each day, AutoLoop updates the vault’s multiplier to ensure all depositors benefit from optimal settings.

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Usage Flow

• Vault Deposit: Simply deposit ETH, and AutoLoop starts optimizing yield automatically.

• Automated Management: Daily rebalancing occurs without any user intervention.

• Visibility & Alerts: Users receive notifications if AutoLoop detects abnormal market volatility.

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Conclusion AutoLoop handles leveraged staking seamlessly—adjusting multipliers, rebalancing daily, and ensuring optimal yield while protecting capital. With real-time monitoring and automated risk controls, loopedETH users can maximize returns with confidence, regardless of market conditions.