Architecture Overview

Rosera is designed as a modular social finance infrastructure where strategy execution, capital ownership, and lending markets are cleanly separated, yet composable.

At the core of the system is the Strategy Vault, a permissionless, share-based primitive that integrates with existing DeFi layers and powers community-driven lending markets.

Core Design Principles

Rosera’s architecture follows four core principles:

1. Composable by default Strategy vaults integrate directly with existing DeFi primitives rather than reinventing them.

2. Share-based ownership All capital participation is represented through shares, not balances, ensuring fair and transparent accounting.

3. Strategy-driven lending Lending capacity is derived from real strategy performance, not interest rate curves or emissions.

4. Separation of risk domains Strategy risk, lending risk, and user participation are isolated and enforced by code.

Strategy Vault Layer

The Strategy Vault is the foundational primitive in Rosera.

Each vault is:

• Created permissionlessly via the Strategy Vault Factory

• Owned and operated by a strategy creator

• Governed by program-enforced rules

• Accounted using share-based ownership

Community participants deposit capital into a vault and receive vault shares, which represent proportional ownership of the vault’s total equity.

Vault shares:

• Track ownership

• Absorb profits and losses

• Are the sole mechanism for withdrawals and fee accounting

No assets ever leave the vault without program authorization.

Strategy Execution & DeFi Integration

Strategy Vaults are designed to be composable with core DeFi layers.

A vault may execute strategies using:

• DEX aggregators (e.g. Jupiter) for token swaps

• Liquidity protocols (e.g. Meteora) for LP strategies

• Lending and leverage protocols (e.g. Kamino)

• Liquid staking protocols for yield-bearing assets

All interactions are executed through program-controlled accounts, ensuring:

• Assets remain within the vault

• Strategy execution is auditable

• Vault owners cannot directly extract funds

Rosera does not impose a specific strategy framework; strategy composition is left to the vault creator.

Yield & Share Accounting

Strategy performance is reflected in the vault’s equity.

• Profits increase the value of each vault share

• Losses are absorbed proportionally by share holders

• Fees are implemented through share minting, not asset extraction

This ensures that:

• Vault liquidity is preserved

• Incentives are aligned with long-term performance

• Capital accounting remains transparent

Per-Vault Lending Markets

Each Strategy Vault can power its own dedicated lending market.

Strategy yield is reported into the Yield Engine, which:

• Evaluates strategy performance

• Determines borrow capacity

• Enforces system-wide risk constraints

Borrowing capacity is therefore:

• Strategy-dependent

• Performance-driven

• Dynamically adjusted

This ensures that lending markets expand only when real value is being created.

Community Participation Roles

Participants can engage with Rosera in multiple roles, each with a distinct risk and return profile.

• Strategy Creators Operate strategy vaults and execute trades across integrated DeFi layers. Creators are responsible for strategy performance and risk management.

• Strategy LPs Provide capital directly to strategy vaults and receive vault shares. Strategy LPs participate in the full upside and downside of the strategy, including drawdowns.

• Lenders Supply liquidity to per-vault lending markets. Lenders earn yield derived from strategy performance but do not take direct strategy risk or drawdowns. Their exposure is limited to lending market parameters and protocol-enforced safeguards.

• Borrowers Access lending markets powered by strategy performance to borrow capital. Borrowers repay principal and are subject to collateral and liquidation rules, without accruing interest.

Security & Risk Isolation

Rosera’s architecture enforces strict separation between:

• Strategy execution

• Capital ownership

• Lending exposure

Key safeguards include:

• Program-controlled asset custody

• Share-based accounting

• Strategy-scoped lending markets

• Performance-based expansion and contraction

These constraints are enforced at the protocol level, not through off-chain trust.