Documentation
A closer look at your kHYPE, its yield, and spending power.
How Overflow Works
- Deposit kHYPE. The vault moves it to the kHYPE adapter, which records your principal in HYPE at the current kHYPE rate.
- It keeps earning. kHYPE’s HYPE value rises as staking rewards accrue. As it does, the same principal needs less kHYPE to cover it, and the kHYPE above that is your yield.
- Spend ahead of it. Once the adapter has an observed rate, part of your projected yield is available to spend. A payment creates an advance against your position and the Reserve pays the recipient.
- Settle. Anyone can submit a settlement that uses your realized yield to repay the Reserve. You can also repay in kHYPE at any time. Settlement is an onchain transaction; it does not run by itself.