Question 1

What returns can I expect from Options Vaults?

Accepted Answer

Typical returns range from 5-30% APY depending on market volatility, strategy type, and network. Covered call vaults generally perform best in neutral-to-bearish markets, while cash-secured puts excel in sideways-to-bullish conditions. Returns fluctuate based on implied volatility levels, with higher volatility producing larger premiums but increased assignment risk.

Question 2

What happens if my option gets assigned?

Accepted Answer

In a covered call vault, assignment means your deposited assets get sold at the strike price, and you receive stablecoin value. For cash-secured put vaults, you'll purchase the underlying asset at the strike price using your stablecoin collateral. Most platforms automatically handle settlement and roll into new positions, though you can typically withdraw after the epoch completes.

Question 3

How do Options Vaults differ from regular yield farming?

Accepted Answer

Options Vaults generate real yield from option premiums paid by professional traders, creating sustainable returns independent of token emissions or liquidity mining rewards. Unlike impermanent loss in AMM pools, option strategies have defined risk profiles with known maximum profit and loss scenarios. Vaults also don't require managing LP positions or monitoring multiple token exposures.

Question 4

Can I withdraw my funds anytime?

Accepted Answer

Most vaults operate on weekly or bi-weekly epochs, and withdrawals process after the current epoch completes. You can typically submit withdrawal requests anytime, but funds remain locked until option expiration and settlement finish. Some platforms offer instant withdrawals with small fees by tapping into reserve pools, though availability depends on vault liquidity.

Question 5

Which platforms are the most established?

Accepted Answer

Ribbon Finance pioneered the space and maintains the largest TVL with vaults on Ethereum and Arbitrum. Typus offers high-leverage options on Sui, while Polynomial provides automated derivatives strategies across multiple chains. Newer platforms like 3Jane integrate restaking mechanisms, and Katana focuses on Solana ecosystem opportunities. Always verify audit reports and track records before depositing.

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STRATEGY

CHAINS

Options Vaults by Blockchain

Frequently Asked Questions

Options Vaults by Blockchain Network

Ethereum

3Jane

Binance

Bonsai Strike

Near

Spin DOV

Optimism

Polynomial Earn

Algorand

Silo Protocol

Sui

Typus DOV

Polygon zkEVM

Dirac Finance