The Enclave is a way for users to lock their funds in a vault, and have privacy pertaining to their ownership and transfer activity. When in the vault, funds can be privately transfered. The funds can then be withdrawn from the vault. Your funds remain in your control and on your host blockchain. How does this work? Using the Sapphire Trusted Execution Environment, a user has their deposit transaction bridged using the Celer Inter-chain Message Framework. This is the only part of the process that requires an external bridge, the rest is entirely trustless. Once the funds are locked in the Enclave, the user needs to set a separate public key for their encrypted reads. This allows for information to be privately shared with the user, such as their current account balance. They can then use their current wallet to "sign" transactions. This allows their approval of a transaction to be trustlessly relayed and encrypted before being submitted to the secure enclave. This relaying is entirely trustless. They can also submit the transactions to sapphire directly if they prefer. This decreases visibility because the transactions can be relayed by any party. So a transfer from wallet A to wallet B will be private, will not come from any specific origin, and can not be identified as being a transfer event. This creates an end to end encrypted and private Enclave on Arbitrum or Ethereum for standard ERC20 transactions.

Title: Empyreal: Building ERC20 Leverage Tokens and ERC20 Perpetuals for Enhanced DeFi Risk Exposure Abstract: This white paper presents Empyreal's vision and rationale behind the development of ERC20 leverage tokens and ERC20 perpetuals. By utilizing the strengths of existing DeFi applications such as AAVE and GMX, Empyreal aims to offer comprehensive risk exposure solutions while empowering users with sovereign control over their assets. This report explores the mathematical foundations and benefits of tokenized positions, highlighting their potential applications in lending protocols as collateral. By leveraging best-in-class leverage solutions, Empyreal aims to address risks effectively and provide a robust framework for decentralized finance. Introduction Empyreal is at the forefront of revolutionizing decentralized finance (DeFi) by introducing ERC20 leverage tokens and ERC20 perpetuals. These financial instruments aim to offer enhanced risk exposure while allowing users to retain sovereign control over their assets. By building on the capabilities of established DeFi platforms such as AAVE and GMX, Empyreal combines the power of leverage solutions with the benefits of tokenized positions. This white paper presents an in-depth analysis of the mathematical models, advantages, and applications of Empyreal's ERC20 leverage tokens and ERC20 perpetuals. Empyreal's ERC20 Leverage Tokens and ERC20 Perpetuals 2.1 ERC20 Leverage Tokens:

People need GMX/GLP to be maxed out to unstake their esGMX in 1 year. Each user has a different unlock amount for their esGMX based on average staked amount while they’ve earned it. By creating a vault per user, people could provide reserves for esGMX users. Based on the amount staked by the user, the reserve varies a decent amount. Typically you’ll see around 3x-12x reserve required for (huge range). Basically anyone that provides the required reserves would have the funds allocated to the highest yield providing vaults. The reserves staked by users would still earn yield and accrue multiplier points, because when people withdrew their reserves it would pull from lowest APR accounts first. I think the bonus would need to be around 30-40% of the vested esGMX for fees/incentives. So imagine a sorted array tracking all esGMX accounts (each account transfer needs a new address). It would sort all these positions and stake the esGMX until sufficient reserves were provided to begin accruing the GMX for that account in the array. A person could put their esGMX in, and it would earn as normal until there’s sufficient staked reserves to begin vesting their position. People would prob not do this if they have a lot of multiplier points or large GLP/GMX positions, but if they don’t and are looking for a way out this gives a low effort way to exit, and GMX/GLP stakers get boosted rewards.

Intro Welcome to Empyreal Exchange! We are happy to announce the next phase of EmpEx, which marks a major milestone in our journey. We have laid the Tomb-esque system to rest to usher in the upgraded singular governance and rewards token, $EMP. Sustainable yield and governance remains our focus, with an emphasis on real revenue generation. In this article, we will cover the migration process, our unique tokenomics, FLAV technology, and our roadmap. A Fresh User Interface After the migration is over, you will notice a slight change in our UI. This is a temporary solution while the website design is being completed. You will be able to zap-in and stake LP during this transition phase to earn a sustainable yield in the interim. The new site is being designed in a way that needs to complement and showcase the unique dApps and contracts that the "FLAVOR" systems introduce. We want to deliver a product that is of high quality and compatibility, so we are not rushing anything. That said, we are on track for the site to be released in late-April/early-May. Migration We are excited to introduce the migration specifics, which were tailored specifically to enable us to launch FLAV vaults with a quick turnaround. Our goal is to ensure a smooth transition with as little difference between the old and the new from a user perspective. The migration adheres to the guidelines we have shared in our previous Medium articles, considering the market value (at the time of Snapshot) for all staked LP tokens ($EMP/egARB & $FIRM/USDC), staked $FIRM, unstaked LP, single tokens, and unclaimed rewards. Those who took part in the bootstrapping phase by following the mutually beneficial systems of liquidity provision and mitigation of sell pressure will notice an additional bonus to the supply of their new $EMP tokens. The breakdown is as follows:

Motivation The initial FLAVOR we want to launch will be for GMX staking rewards. GMX has a unique rewards policy. When you stake your funds, the longer they are staked, the more multiplier points you receive. So, if a person starts at 10% APR, after a month they may have 15% APR since they have accrued additional "Multiplier Points" (MPs). If a person unstakes even ${1\over10^{18}}$ of a GMX token from their staked position, they lose all of their MPs. To this end, the longer a farm is in production, the higher the multiplier rewards will be for that farm. A person can receive a token representing their staked position, such as empGMX, and this can be traded with other people to represent the value their staked position contains. One issue with this is people are not able to withdraw their funds from the farm. A person in the farm will need to keep their funds in the farm until the farm is retired, or they find someone to buy their position. There is also a concept of esGMX, which are tokens that can be used to yield rewards but have no cash value. They can be redeemed for GMX tokens if they are staked, at which point they are linearly vested over one year. Vault Composition So what can be done to create liquidity for this position? A FLAVOR can be created that is:

Abstract The following standard introduces a novel vault format for managing yield bearing assets. This is an extension of the Vault standard to introduce compounding strategies to the asset management. Motivation Typically, early stage protocols create vaults to incentivize locking certain tokens that benefit the protocol, in exchange for a token utilized by the protocol. For example, a team might reward creating liquidity for a governance token with more of that token. Fungible Liquidity Aggregator Vaults (FLAV, as in FLAVor) introduce a novel mechanism for integrating this token dillution into a vault directly, and allowing for additional services to be integrated with this vault. Specification FLAVs are standard ERC4626 vaults that provide a yield in a single asset. By locking the asset in the vault, the vault is able to create revenue for the asset in some external strategy, and in return increase the balance of the existing vault. FLAVs have a few key assumptions:

Get Ready for a Revolutionary DEX and the Introduction of Groundbreaking Capital Efficient Vaults. The Empyreal protocol is entering a new era as it successfully concludes its bootstrapping phase and evolves into the Empyreal Exchange. This marks the beginning of an exciting journey for all current and prospective investors, as we introduce groundbreaking technology that has never been done before. So, buckle up and join us as we unveil the future of decentralized finance! The Birth of Empyreal Exchange As the bootstrapping phase comes to a triumphant end, the Empyreal protocol is transitioning into a fully functioning Decentralized Exchange (DEX). This evolution will introduce a brand-new type of launchpad and vault system never been done before called Fungible Linear Aggregator Vaults (FLAV). The upcoming DEX promises to revolutionize the industry with its cutting-edge features, which we will elaborate on shortly. Introducing FLAV Technology At the core of the Empyreal Exchange lies the innovative FLAV technology. Fungible Linear Aggregator Vaults (FLAV) are designed to optimize returns for investors by allocating the backed liquidity for additional profit while still creating the ability for yield. This groundbreaking technology enables users to stake assets in any strategy they want or distribute their assets across multiple strategies using a FLAVOR (FLAV Optimized for Returns). One of the key features of FLAV technology is its permissionless nature. Anyone can create a vault, which means the platform is protected against bad actors, as underperforming or malicious vaults simply won't be used. Furthermore, routing capabilities allow for optimized trades across multiple vaults within the FLAVOR architecture.

Utilizing yield bearing FLAV vaults, a platform can be built to create a decentralized exchange that distributes risk across individual vaults, but still creates opportunities for profit. The core features of the FLAVOR architecture are: Users may stake assets in any strategy they want, or distribute their assets across multiple strategies using a Meta-FLAV A vault could get exploited, but this would not affect other vaults. This means they can be permissionless. Anyone can create a vault, and if it's they're bad actor, it just won't be used. Routing could be used to find optimized trades across mulitple vaults the FLAVOR. The composition of a FLAVOR would be as such. Each individual FLAV is created that allocates up to a risk measure to one or more yield strategies. A FLAV should be limited to no more than 2 strategies. These strategies should each get their allocation of the underlying assets. When people invest in the strategy, they are depositing the underlying vault assets, and the funds are allocated to the Vault strategies. When a trade is made, a reserve of the underlying assets is used to route the trade.