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Frequently asked

FAQ

Honest answers to the questions we hear most often — about vaults, ZENT, audits, withdrawals, signals, and governance. If your question isn't here, ping us in Discord.

Vaults & deposits

Is my deposit custodied?
No. ZENTORY Alpha Vaults are ERC-4626 contracts. Your deposit sits in the vault contract itself — not on an exchange, not in a Zentory Labs account, not under any custodian. You hold ERC-20 shares (zBTC, zETH, zSOL, zXRP) that represent your fractional claim, and you can redeem them on demand. The vault has no admin function that can freeze, seize, or move your assets.
Can Zentory Labs disappear and I lose my money?
Your shares are redeemable directly against the vault contract, with or without us. The dApp is a convenience; it's not a dependency. If zentorylabs.com goes dark tomorrow you can still call redeem() on the vault from any Ethereum-compatible wallet that points at HyperEVM. The redemption code path is enforced by the chain.
What's the worst case for a depositor?
The strategy underperforms the underlying asset — you take a pro-rata share of the loss. The vault's mandate (max position size, max leverage, allowed assets) is enforced in Solidity, so a compromised keeper cannot drain the vault. Loss tolerance is bounded by the mandate parameters in the contract, which you can read on the explorer.
What's the performance fee?
20% on yield generated above a high-water mark, distributed via the per-vault FeeDistributor. Of that 20%, the split is 50% ZENT buyback + burn, 25% to the GP engine (the research team that produces vault signals + the grading oracle), 15% insurance fund, 10% routed through ProtocolTreasury which itself splits 50/50 to additional buyback and operations. Effective buyback is therefore ~55% of total fees. The split is hardcoded in the distributor contract and cannot be changed without governance. See /tokenomics for the breakdown.
Can I withdraw any time?
Yes. No lockups, no notice periods, no manager discretion. Call redeem() on the vault and the block that confirms the transaction is when you have your asset back. Withdrawal is processed against the live NAV.
Are the testnet vaults actively running a strategy today?
No, not yet. The contracts that hold deposits and issue shares are live; the StrategyExecutorrails (max leverage, max position size, mandate-bounded execution against HyperCore) are deployed and enforced. But the signal-grading economic loop is bootstrapping — the keeper is settling epochs and recording events while the GP engine ramps up. So a testnet depositor today is depositing into a fully-functional ERC-4626 vault with the strategy engine plumbed in but not yet generating meaningful yield. Mainnet target gates the strategy fully live. We'd rather say this clearly than ship marketing copy that implies a yield curve we can't back up.
Where does day-1 mainnet buyback liquidity actually come from?
Day one, the only meaningful ZENT pool is the Protocol-Owned Liquidity (POL) seed on HyperSwap. When fees flow through FeeDistributor.triggerBuyback(), the contract trades USDC into ZENT through that same POL pool. In other words: until secondary liquidity grows, the protocol is buying ZENT out of its own pool. The deflation math still works — burned tokens are burned regardless of where they were bought — but a critic could (rightly) point out that the price impact of day-1 buybacks is limited by the depth of a pool the protocol itself seeded. As depositor and quant activity grows, secondary CEX/DEX liquidity grows with it, and the buyback transitions from POL-circulation to a meaningful market bid. This is structural; we'd rather disclose it than have it discovered.

ZENT token

What is ZENT for?
ZENT is the utility + governance token for the protocol. Four uses: (1) staked by quants to back their signals (slashable on bad calls), (2) paid by users for premium signal subscriptions, (3) staked by LPs for veZENT governance weight, (4) buyback-and-burn target for 50% of protocol fee revenue.
Is ZENT a security?
ZENT is structured as a utility + governance token. We are engaging external legal counsel (see our public shortlist) for formal opinion across US, EU (MiCA), and Singapore (SFA) ahead of mainnet. The protocol intends to block US users at the application layer at launch pending the US securities review.
What's the total supply?
1,000,000,000 ZENT fixed supply. No inflation, no mint function in the contract — the supply is finalized at deploy. Distribution and vesting schedule are in the tokenomics page.
When does ZENT go live for trading?
ZENT mainnet launch is gated on completion of the external audit, multisig migration, legal opinion, and Immunefi bug bounty going live. Honest current target is Q1 2027. We will not launch for live trading until the audit report is public.

Signals & quants

How does a quant earn ZENT?
Stake ZENT, submit EIP-712 signed signals to the Signal Registry, wait for the next 4-hour epoch settlement. The keeper grades every signal against actual price movement and pays out from the epoch reward pool proportional to accuracy. Wrong signals slash a portion of the staked ZENT. Full walkthrough in the epoch scoring blog post.
Are signals public?
Yes. All signal submissions are on-chain, EIP-712 signed, and permanently visible. We don't run a privacy layer for signals — they're a public reputation primitive. If a quant wants to keep alpha private, they shouldn't submit it here.
If signals are public on submission, what stops copy-traders from front-running them?
Three things. First, the protocol's own vault execution is the largest single mover on a given signal — copy-traders riding the same direction amplify the alpha rather than steal it, because they push the price further into the predicted move. Second, signals are stake-backed: a signal that doesn't materialize burns a portion of the quant's ZENT, so high-frequency front-runners would slash themselves trying to extract value from their own scaled-up positions. Third, the “edge” here isn't raw direction — it's the calibrated combination of direction, confidence, and timing, which is hard to copy without modeling the same risk surface. None of these mean front-running is impossible; they mean the economic surface isn't friendly to it.
What's the minimum stake to post a signal?
Set by governance per asset class. As of testnet launch, BTC/ETH/SOL/XRP signals require 100 ZENT minimum. Each signal locks that stake for the epoch window plus the settlement period (~5 hours total). Higher stakes weight higher in the epoch reward distribution.
What stops sybil-farming the testnet airdrop with a thousand fake accuracy track records?
Honest answer: nothing absolute. The testnet airdrop snapshot applies sybil-resistance filters (minimum interaction depth, transaction graph analysis, IP/device clustering) before distribution, but no filter is perfect. Two structural limits help: (1) the airdrop bucket is only 3% of supply, so even a successful sybil farm caps out at small absolute value; (2) the larger quant rewards bucket (22%) is continuous and paid out epoch-by-epoch over the protocol's lifetime, which heavily weights long-term consistent accuracy over short-term batch farming. The mainnet sybil exposure is therefore bounded — but we publish the filter logic and the decision is auditable.

Security & audits

Has the protocol been audited?
Internal Slither + manual pentest completed April 2026. External third-party audit is being scoped right now (Spearbit, Cantina, or Trail of Bits). Mainnet launch is gated on completion + remediation of the external audit. We will not launch until the report is public. The full pre-audit brief is at github.com/Zentory-Labs/zentory-protocol/blob/main/docs/SECURITY_AUDIT_BRIEF.md.
Who controls the admin keys?
On testnet, admin sits on an EOA used only for deploys. Before mainnet, admin migrates to a 3-of-5 Gnosis Safe multisig with geographically distributed signers and hardware wallets. The Safe sits in front of a 48-hour Timelock, so even a compromised multisig gives depositors 48 hours to exit before any admin change takes effect. Plan documented at /MULTISIG_MIGRATION_PLAN.md.
Is there a bug bounty?
Goes live on Immunefi the same day as mainnet. Severity-based payouts: Critical $25k+, High $10k+, Medium $3k+, Low $500+. Scope includes all mainnet contracts + the dApp's auth and wallet flows.
What happens if the strategy or keeper is compromised?
The blast radius is bounded by the mandate. The keeper can't transfer principal out — it can only place trades within the vault's hardcoded position and leverage limits. A worst-case compromise means the attacker griefs the strategy (opens losing trades up to the position cap), bounded by slippage cost. Anyone can call checkCircuitBreaker() to pause new trades if NAV deviates beyond a threshold from the high-water mark.

Governance

How does governance work?
ZENT holders stake into ZENTStaking to receive time-decayed voting weight (read via veBalance()). That weight feeds ZentGovernor + Zentroller; successful proposals execute through a 48-hour Timelock. The governable parameters include epoch reward sizes, signal stake minimums per asset, fee distribution split (post-launch), vault mandate adjustments, and treasury actions.

Note on naming:the protocol uses the shorthand "veZENT" for voting weight. In the current implementation this is a view function on the staking contract — not a separately-mintable transferable ERC-20. A wrapped, transferable veZENT token (matching the veCRV / veBAL pattern) is on the Phase 2 roadmap.
Will founders / team hold majority voting power?
Team allocation is governed by the standard 4-year vest with 1-year cliff. Practical voting weight at launch will be split across the team allocation (locked, mostly non-voting until vest), early contributors, and the LP/depositor airdrop. The team-controlled multisig will deliberately NOT propose contentious parameter changes in the first 12 months — see the multisig migration plan for the governance handover sequence.

Investors & partners

Are you raising?
Talking to selective partners. Our priority is strategic capital + advisors who can help with HyperEVM ecosystem positioning, audit relationships, and Tier-1 LP introductions. If that's you, reach out via edge@zentorylabs.com with "Strategic intro" in the subject.
Where can I see the full investor materials?
The /pitch-deck is public. The /whitepaper has the full architecture, tokenomics, and security model. For confidential financials and partnership term sheets, sign the NDA in the partner intake.
What's your TVL target for mainnet launch?
Mainnet launch is product-readiness gated, not TVL-gated. We will launch with $0 in user deposits and grow from there. Initial seed liquidity for the ZENT/USDC pair on HyperSwap targets $250k Protocol-Owned Liquidity locked for 12 months as a confidence signal.

Question we didn't cover?

Drop into the community channels or read the deeper docs.