Architecture

A high-level overview of how Vertex Alpha is structured across the protocol stack.

System Layers

Quickstart

Go from zero to depositing into a vault in under five minutes.

Vault Overview

Vertex Alpha vaults are the core primitive of the protocol, permissionless, transparent trading funds that anyone can launch or invest in.

Vault Types

Vault Metrics

Creating a Vault

Any connected wallet can create a vault. The process takes two minutes and requires no code.

Managing a Vault

As vault manager, you have exclusive trading authority and a fiduciary duty to your depositors.

Trading Authority

The vault manager's wallet is the sole authorised signer for trades placed from the vault's Hyperliquid sub-account. No depositor, third party, or smart contract can execute trades, only the manager.

Manager Dashboard

Your Dashboard shows:

• Live PnL and unrealised positions
• Current AUM and share price
• Depositor count and recent deposit / withdrawal activity
• Accrued but unclaimed management and performance fees

Claiming Fees

Fees accrue continuously but must be manually claimed by the manager. Claiming mints new vault shares to the manager's wallet at the current share price, diluting depositor shares by the fee amount.

Vault Closure

Managers may close a vault at any time. Closure winds down all open positions, distributes remaining USDC pro-rata to all share holders, and removes the vault from the Discovery page.

Depositing & Withdrawing

Depositing mints vault shares. Redeeming burns them. Both operations happen on-chain in a single transaction.

Depositing

To deposit into a vault:

1. Open the vault page and click Deposit.
2. Enter the USDC amount you wish to allocate.
3. Review the current share price and estimated shares you will receive.
4. Confirm the transaction in your wallet.

Shares are minted at the current share price at the block your transaction is included. There is no slippage, the price is exact.

Withdrawing

Withdrawals burn your vault shares and return the proportional USDC value to your wallet, net of any applicable performance fees.

Share Price Example

Fee Structure

Vertex Alpha earns fees from two engines, the DEX (trading fees) and the vaults (manager + protocol fees). Both convert to HYPE and flow to veVXA lockers.

Manager Fees

Protocol Fees

The protocol takes a flat 0.1% of vault profits, plus a share of DEX trading fees from the concentrated-liquidity markets. Both streams are converted to HYPE and distributed to veVXA lockers, so locker yield is backed by real revenue rather than token emissions.

High-Water Mark

Performance fees are only charged on new all-time-high profits. If a vault falls in value, the manager earns no performance fee until the share price exceeds its previous peak. This aligns manager incentives with depositor outcomes.

Token Overview

VXA is the native token of Vertex Alpha. Lock it for veVXA to direct emissions, capture fees from both the DEX and the vaults (paid in HYPE), and govern the protocol.

Token Utility

Token Distribution

Staking

Lock VXA into veVXA to direct emissions and earn fees from both the DEX and the vaults, paid in HYPE.

How Locking Works

Reward Calculation

Your locker APR is determined by:

• Fees from both engines,DEX trading fees plus the protocol's share of vault fees
• Your veVXA share of the markets you voted for
• Lock duration,longer locks earn more veVXA and a larger share

Governance

veVXA holders govern Vertex Alpha two ways: weekly gauge votes that steer emissions, and on-chain proposals over protocol parameters.

Governable Parameters

• Protocol fee rate (currently 0.1% of vault profits)
• Manager fee caps (maximum allowed management and performance fees)
• Staking cooldown period
• Treasury spending
• Smart contract upgrades (via timelock)

Proposal Lifecycle

Contract Overview

Vertex Alpha is composed of four core smart contracts deployed on Hyperliquid's EVM layer.

Contract Addresses

Upgrade Policy

VaultCore contracts are non-upgradeable,once deployed, vault logic cannot be changed. This protects depositor funds from rug-via-upgrade scenarios.

Protocol-level contracts (VXAToken, StakingRewards, VaultFactory) use a transparent proxy pattern with a 48-hour timelock governed by the DAO.

VaultFactory

The VaultFactory contract is the entry point for vault creation. It deploys VaultCore instances and maintains the registry of all vaults.

Key Functions

/// @notice Deploy a new vault
function createVault(
    string calldata name,
    string calldata strategy,
    uint256 managementFeeBps,   // e.g. 100 = 1.00% / yr
    uint256 performanceFeeBps,  // e.g. 2000 = 20%
    uint256 seedAmount          // initial USDC deposit (18 dec)
) external returns (address vault);

/// @notice Return all registered vault addresses
function getAllVaults()
    external view
    returns (address[] memory);

/// @notice Return vault count
function vaultCount() external view returns (uint256);

Events

event VaultCreated(
    address indexed vault,
    address indexed manager,
    string name,
    uint256 timestamp
);

StakingRewards

Handles VXA staking, sVXA minting, and USDC reward distribution from protocol fees.

Key Functions

/// @notice Stake VXA, receive sVXA
function stake(uint256 amount) external;

/// @notice Begin cooldown to unstake
function initiateUnstake(uint256 sVrtxAmount) external;

/// @notice Claim VXA after 7-day cooldown
function claimUnstaked() external;

/// @notice Claim accrued USDC rewards
function claimRewards() external;

/// @notice View pending USDC rewards for an address
function pendingRewards(address user)
    external view
    returns (uint256 usdcPending);

Reward Distribution Flow

1. A depositor withdraws from a vault and the vault has generated profit above the high-water mark.
2. The vault deducts the 0.1% protocol fee and transfers USDC to the StakingRewards contract.
3. StakingRewards updates its cumulative reward-per-sVXA accumulator.
4. Any sVXA holder may call claimRewards() to sweep their accrued USDC at any time.

Security

Vertex Alpha is designed with a security-first architecture. This page documents the threat model, protections, and audit status.

Threat Model

Audit Status

Bug Bounty

A bug bounty programme will be launched alongside mainnet. Critical vulnerabilities will be eligible for rewards up to $50,000 USDC. Details TBA.

Emergency Pause

The VaultFactory and StakingRewards contracts include an emergency pause function controlled by a 3-of-5 multisig. In a critical exploit, the multisig can freeze new deposits and withdrawals while the issue is assessed, without affecting existing positions.

FAQ

Answers to the most common questions about Vertex Alpha.

General

Is Vertex Alpha live on mainnet?

Not yet. Vertex Alpha launches direct to Hyperliquid mainnet with no public testnet; this site is a preview ahead of that. Launch details will be shared via the official X account.

Do I need to KYC to use Vertex Alpha?

No. Vertex Alpha is a fully permissionless protocol. Any wallet can create vaults, deposit, or stake, no identity verification required.

Is Vertex Alpha non-custodial?

Yes. Your assets are held in auditable smart contracts at all times. Vertex Alpha never takes custody of your USDC or VXA.

Vaults

Can I lose more than I deposit?

No. Depositors cannot lose more than their deposited amount. Vaults cannot be leveraged beyond the Hyperliquid platform's margin rules, and there are no mechanisms for socialised loss.

What happens if a manager goes inactive?

Depositors can withdraw at any time, manager presence is not required for withdrawals. If a vault has no open positions, funds can be reclaimed instantly.

Are vault fees negotiable?

No. Fees are set at vault creation and locked permanently. Choose vaults whose fee structures align with your expectations.

VXA

Where can I buy VXA?

VXA is not yet publicly tradeable. It will be available on Hyperliquid's DEX and select centralised exchanges at TGE. No date has been announced.

What is the total supply of VXA?

Total supply will be disclosed in the official tokenomics publication prior to TGE.