Vaults

A vault does the weekly work for you. You deposit once, the vault votes and collects on your behalf, and you take the income.

Everything on Alandale that pays real cash flow runs on the same loop: lock LUTE, vote every epoch, claim the fees and bribes your vote earned. That loop pays well and it never stops. A vault is for people who want the income without running the loop themselves.

What a vault does

You deposit a veLUTE lock into the vault. Under the hood it is attached to the vault's managed veNFT: your lock joins one large position that votes as a single bloc.

	Voting yourself	Depositing in a vault
Decisions per year	~52 votes, plus claims	One deposit
Vote weight	Your lock alone	The whole bloc
Who claims fees and bribes	You, pool by pool	The vault operator, once, for everyone
What you receive	Whatever your pools paid, in their own tokens	One payout token, plus compounded LUTE
Your lock	Stays in your wallet	Stays yours, held by the vault until you withdraw

Your veLUTE is never sold or lent. It is folded into the bloc, and it comes back when you withdraw.

Bloc voting is the point. Fees and bribes are paid on vote weight, and the richest bribes go to whoever can move a pool. A small lock voting alone rarely moves anything. Inside the bloc it earns at the bloc's rate.

What it costs you

Two things, and they are worth understanding before you deposit.

• You stop voting. The vault votes with your weight. If you have strong views about which pools deserve emissions, keep your lock and vote it yourself.
• Your lock is parked. While it is in the vault you cannot extend it, toggle permanent, or withdraw the LUTE. You can take the lock back out whenever the weekly window is open.

In exchange, a lock in the vault counts at permanent weight for as long as it is in, whatever its remaining term, so it never decays while it earns.

The vaults

Vault	You deposit	You earn
The INDEX Coffer	A veLUTE lock	INDEX every week, claimable, plus LUTE compounded onto your position

More vaults will follow the same shape. A vault that only pays out, in a stablecoin for example, is the same machinery with the compounding leg unused.

Next: how the INDEX Coffer works →