The Yield 3.0 Engine: Part 4 (YAV)

How DeFi Strategies Multiply Every Distribution

Shilsi4 min read·Just now

This is Part 4 of a four-part series on Seasons’ Yield 3.0 engine. Having unpacked the three-module architecture in Part 1, the Transactional Transfer Tax (TTT) component in Part 2, and the Stakeholder Stablecoin Yield Module (SSYM) in Part 3, we now dive into the Yield Asset Vaults (YAV) module, which amplifies yields using DeFi strategies and locks the system’s self-compounding loop in place. And along with TTT and SSYM, the YAV enables us to say with conviction: earn the best yield DeFi can offer.

Yield 3.0’s compounding flywheel comes a full circle with the Yield Asset Vaults (YAV) module. It takes the mechanism’s output — the Inclusion Set assets that the system already distributes — and runs it through a rotating mix of predefined onchain strategies. Liquidity provision. Delta-neutral fee accumulation. Lending. Your capital works for you twice (and then some more).
Once live, the YAV, similar to the SSYM, will unlock variable amplification of individual yield payouts while facilitating the recursive process designed to make Seasons and Yield 3.0 optimally self-sufficient in yield generation and value accrual for $SEAS.

The Yield 3.0 Engine: Part 4 (YAV) | How DeFi Strategies Multiply Every Distribution

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Inside the circuit strategy

Just like the SSYM ensures that the accumulated fees (denominated in stablecoins) aren’t underutilized, the YAV generates additional returns on the Inclusion Set assets while they await distribution.

As the name suggests, the YAV will represent a vault consisting of Inclusion Set assets (currently, $wBTC, $XAUt0, and $jlUSDC). Coupled with deposits from the wider public, the vault’s assets will be channeled through curated onchain strategies: providing liquidity to deep and battle-tested pools, capturing delta-neutral fees, lending via secured instruments, and so on.

Only a limited number of strategies (most likely, four) will be implemented at any given point to ensure maximum control. And these strategies, as well as the instruments involved thereof, will be selected based on stringent qualitative criteria. Moreover, while Seasons can theoretically implement an infinite number of vaults, following the first deployment, new vaults will be opened strictly on a need-basis. Our core community and early adopters will be included in the decision-making on such matters.

That said, the YAV will also be accessible to non-$SEAS holders through alternative DeFi platforms or the Seasons Terminal. Such public interactions will generate fees, which will be routed back into our system, joining the TTT and SSYM’s value streams.

Three tracks, one closed loop

The YAV runs a continuous loop. Every 72 to 96 hours — the window between two consecutive yield distributions — the module generates additional returns, as described above, and at the next payout, they are sliced three ways. Weights vary cycle to cycle, based on what the system most needs:

Yield Boosting: A slice of the YAV’s strategy proceeds gets piped directly into the next distribution. Layered on top of TTT fees and SSYM interest, this acts as a third source of upward pressure on what nodes receive each cycle, every distribution.
Reserve Strengthening: Another slice flows back into the vaults, expanding the underlying capital base round after round. The bigger the vaults grow, the deeper their liquidity, the more fees they capture, the more outside participants they attract, and the greater the amplification in the next round. Compounding, applied to compounding.
$SEAS Buybacks: The final portion of strategy proceeds funds open-market $SEAS buybacks. Alongside the SSYM, this will provide the second reflexive touchpoint, where every buyback strips supply out of circulation and feeds the TTT fresh volume, adding pressure on $SEAS at the same time it fuels the next round of yield.

With these three tracks, the YAV does what the other modules can’t. It puts Yield 3.0’s own output back to work. Every distribution becomes working capital. Every $SEAS buyback feeds the next round of volume. Every vault that grows widens the floor for the next.

The engine, fully assembled: TTT supplying the front, SSYM compounding the float, YAV amplifying the back. Three modules, three independent revenue streams, all converging on the same wallet. Round after round, regardless of conditions.

The TTT is online today. The SSYM and YAV will ship soon. By the time all three modules run together, the recursive loop the entire architecture has been built around will have finally closed. From that point on, Yield 3.0 grows on top of itself. Just Let It Grow!

Earn more.
Earn always.
Earn Yield 3.0. ✨