Confidential Vault: Encrypted Strategy
The Confidential Vault turns the vault manager's strategy into a private input. Allocation weights, rebalancing triggers, and per-vault contributions stay encrypted end to end. Only aggregate net orders reach the chain, while NAV, TVL, and APY stay publicly visible.
The problem: public vaults leak the strategy, not just the positions
On-chain vaults expose the one thing a manager cannot afford to reveal: the strategy itself. Allocation weights are readable on any block explorer, rebalancing triggers are inferable from on-chain timing, and the per-vault attribution of every trade is traceable.
The result is predictable. Competitors replicate the playbook, bots front-run the next move, and the alpha that justified the strategy disappears before the next rebalance settles. Keeping the strategy confidential is the prerequisite to deploying at scale.
The Nox solution: encrypt the strategy, publish the performance
Performance stays publicly visible to preserve trust; the strategy stays confidential. Allocation weights, rebalancing triggers, and per-vault intents are protected from competitors, copy-traders, and MEV bots, while NAV, TVL, and APY remain visible for LPs, indexers, and compliance.
Concretely, the vault gives you:
| Capability | Description |
|---|---|
| Encrypted allocation intents | Allocation weights are submitted on-chain as encrypted handles, validated and aggregated, never decrypted alone. |
| Confidential rebalancing logic | The timing and triggers of capital movements never appear on-chain, so there is no leakage by inference. |
| Cross-vault netting inside a TEE | Intents from every active vault are aggregated into one batch per epoch, hiding per-vault attribution. |
| Public performance | NAV, TVL, and APY are published for LPs, indexers, and analytics platforms; the strategy underneath stays hidden. |
How it works
Four roles interact with the vault:
- Vault manager (strategist) generates the allocation strategy off-chain and submits it on-chain as an encrypted intent. The chain stores unreadable bytes, and the strategy is never decrypted individually.
- Liquidity provider deposits and receives standard ERC-20 share tokens, tracking performance through the published NAV and APY. Composability with the rest of DeFi is preserved by design.
- Nox protocol engine (inside the TEE) aggregates the encrypted intents from every active vault at each epoch, computes the net order per destination, and triggers one batch trade per protocol. Inputs and intermediate values never leave the enclave.
- Auditor / regulator is granted scoped, revocable read access through the on-chain ACL, and sees exactly what compliance requires, nothing more. No party, including iExec, has unilateral access.
Confidentiality by aggregation
Privacy here does not rest on a cryptographic assumption that could one day weaken. It rests on a structural property: as soon as multiple vaults run multiple assets, the information published on-chain is mathematically insufficient to reconstruct any individual strategy.
The more vaults active on the protocol, the stronger the guarantee. Every new vault increases the protection of every existing one, so privacy compounds with adoption.