Dedicated Client Vaults

On-chain yield, in a vault that is entirely yours, managed by Tesseract Investment Oy under a MiCA-authorized discretionary portfolio management mandate. Allocate your own capital, or offer the same structure to your clients.

Regulatory status

MiCA-Authorized CASP · Tesseract Investment Oy

Architecture

Per-client segregation
One client, one vault

Security certifications

ISO 27001 · SOC 2 Type II
Technology platform · Tesseract Earn Oy

Vault products

What the yield looks like

The yield you earn, or the yield you pass to your customers. Indicative target rates across major assets, each actively managed under a discretionary mandate.

USDC

• Conservative
  5–6%* Target Gross APY
  USDC is deployed across established on-chain lending markets and optimized for the best available rate, with no leverage.

• Advanced
  7–10%* Target Gross APY
  USDC is deployed in a leveraged carry strategy, borrowing stablecoins against collateral to reach higher-yielding positions.

wETH

• Advanced
  3–5%* Target Gross APY
  wETH is deployed across on-chain lending, liquid staking, and leveraged carry.

wBTC

• Advanced
  1–3%* Target Gross APY
  wBTC is deployed across on-chain lending, staking, and leveraged carry, and used as collateral to borrow and deploy stablecoins.

Note

Target rates are not guaranteed and may not be achieved. Capital at risk.
* Indicative gross target APY based on the historical performance of comparable strategies previously managed by Tesseract Investment Oy and current market conditions, before any partner margin or fees. Rates are not guaranteed and will vary. Advanced strategies use leverage: leveraged positions can be liquidated in adverse market or protocol conditions, which amplifies losses. Past performance is not indicative of future results. This does not constitute investment advice. This product is not covered by investor compensation or deposit guarantee schemes. On-chain strategies carry smart-contract, protocol, and liquidity risk. Capital is at risk.

The reality of vaults today

Institutional capital wants DeFi yield. The problem was never the returns. It’s the structure: deposits with no KYC or suitability checks, capital pooled with shared exposure, management without authorization, and securities-like tokens.

Most vaults today

Inadequate KYC/AML

Anyone can deposit: no identity verification, sanctions screening, or suitability assessment.

Dedicated Client Vaults

Gated Onboarding

Every client clears KYC, AML, and suitability (verified through Sumsub) before a vault is funded.

Pooling

Your capital is commingled with every other depositor’s, and the structure can read as a collective investment scheme under AIFMD.

One Client, One Vault

Your own contract, address, positions, and exposure. Segregation is enforced at the smart-contract level.

Unlicensed Management

Strategy selection and rebalancing is portfolio management: a licensed activity most on-chain vault managers aren’t authorized to provide.

MiCA-Authorized Portfolio Management

Each vault is run as a discretionary portfolio management service by Tesseract Investment Oy.

Transferable Shares

Fungible vault tokens can resemble fund units or securities under AIFMD and MiFID II.

Non-Transferable Tokens

A balance, not a security: no secondary market, no fungible shares.

Now choose how you put a vault to work

One vault for your own capital, the same structure for your clients. The same segregated, MiCA-authorized discretionary portfolio management mandate underneath both.

Direct

On-chain yield your investment committee can sign off.
For treasuries, funds, family offices, and ETP issuers allocating their own capital. Your assets sit in your own segregated vault, managed under a MiCA-authorized discretionary portfolio management mandate. One client, one vault, never commingled, with reporting your committee can rely on.

Distribution

Offer your clients on-chain yield you can stand behind.
For asset managers, exchanges, wallets, and platforms. Put your clients into the same segregated, MiCA-authorized vault structure, with the look-through and reporting you need to carry it inside your own product. You own the client relationship; we run the mandate behind it.

Compare paths

Two paths, compared

Same vault, same mandate. The difference is whose capital is inside, and who owns the client relationship.

Fast to start

Direct clients go live in days, distribution partners in weeks. Both follow the same four steps.

1. Onboard
   Direct: Clear KYC and a suitability check, sign your agreement, and your wallet is whitelisted to deploy. Onboard in the app, or with our vaults team.

Distribution: We scope the program together, then set up the partnership: terms, DDQ, and your KYB. You choose who runs client KYC: you, us, or a mix.

2. Deploy
   Direct: Choose your asset and deploy your vault in one transaction. Funded at creation, owned by you outright.

Distribution: Onboard your users through your flow or ours, programmatically or with our compliance app embedded in your product. Each becomes a client in their own right, with their own segregated vault.

3. Select strategy
   Direct: Pick the strategy that fits your risk profile and sign to assign it. No transaction, no gas.

Distribution: Each client vault runs its own strategy, chosen at setup and actively managed by Tesseract.

4. Live
   Direct: Tesseract manages your vault under the mandate: allocation, rebalancing, and risk. Monthly reporting, with everything also visible on-chain in real time.

Distribution: Your clients are live, each vault managed the same way. Look-through reporting flows to you, and onward to them.

FAQ

DeFi Vault FAQs

• What is a Dedicated Client Vault?
  A Dedicated Client Vault is functionally equivalent to a Separately Managed Account (SMA) in traditional asset management. Each client has a single dedicated on-chain structure run under their own mandate. Your assets sit in your own vault and are never commingled with those of other clients. Vaults are individually managed by Tesseract Investment Oy, a MiCA-authorized CASP.

• How do I get started?
  Book a call with our team to discuss your requirements, risk profile, and timeline. We'll guide you through KYC/KYB onboarding, vault configuration, and asset transfer.

• How is asset segregation enforced?
  Each vault is a dedicated smart contract instance assigned to one client. There is no shared pool. Your assets, your returns, and your risk exposure are attributable solely to your vault.

• What DeFi venues are used?
  Vaults are deployed across a curated set of audited lending and yield protocols. Tesseract's risk team selects and monitors all venues for security, liquidity, and concentration risk. Specific protocol allocations vary by vault strategy and market conditions.

• What reporting and transparency do I receive?
  You receive monthly reports covering yield, deployment allocation, fees, and any vault actions taken during the period. Dashboard access provides real-time visibility into your vault balance and performance.

• How is a Dedicated Client Vault different from a fund?
  A fund pools capital from multiple investors into a shared portfolio. A Dedicated Client Vault does neither. Each vault is a single smart contract assigned to one client. There is no pooled capital, no shared portfolio, and no fungible units. Vault tokens are non-transferable. They represent a balance in your vault. They are not shares in a collective scheme. Tesseract Investment Oy operates each vault individually under MiCA CASP authorization, separate from any fund management license.

• Where do my assets sit and who can move them?
  Your assets are allocated to a dedicated on-chain vault structure associated with your account. While assets are deployed into DeFi protocols to generate yield, they remain owned by your vault at all times. Tesseract operates the vault and has the technical ability to move assets between the vault and approved protocol addresses (e.g. DeFi smart contracts) in order to implement the agreed investment strategy. This includes deploying, rebalancing, and withdrawing positions. All protocol interactions are restricted to whitelisted protocols, governed by Tesseract's internal controls and governance processes. Withdrawals from the dedicated client vault to external wallets can only be made to your own wallet address that you have whitelisted. All transactions are recorded on-chain and auditable.

• What happens if a DeFi protocol is exploited?
  Tesseract's risk team monitors all deployed venues 24/7. Position health is checked automatically every 60 seconds; positions auto-deleverage when key risk thresholds are breached. The team also tracks venue-level security signals including TVL changes, governance proposals, and smart contract anomalies, and wallets are continuously screened via TRM Labs. Vaults are deployed only to established lending protocols, with smart-contract audits by Omniscia and CertiK, and protocol selection is governed by a formal whitelisting process with multi-signature approval. Smart contract risk cannot be eliminated. DeFi lending involves inherent protocol-level risks that differ from traditional counterparty risk, and clients should understand this distinction.

• What custodians are supported?
  Dedicated Client Vaults work with your existing custody setup. No migration required. You connect via your custodian’s wallet (WalletConnect or similar). Your custodian may need to whitelist the vault contracts, but beyond that there’s no implementation on your side. BitGo clients can deploy and allocate to a Dedicated Client Vault directly from BitGo qualified custody. For custodians who want visibility into vault performance, a reporting API is available. We support multiple custodians across different vault instances for the same client.

• How is yield generated on stablecoin vaults?
  Returns are generated through active portfolio management. Tesseract deploys stablecoins into DeFi lending protocols and liquidity venues. Yield derives from protocol-level activities including borrower interest, trading fees, and liquidity incentives. This is not interest on the stablecoin itself and is not related to the stablecoin issuer's reserve management. Returns are variable and performance-dependent.

• Where can I find the crypto-asset whitepapers?
  Issuer whitepapers for the assets serviced under our MiCA authorization (USDC, Ether for wETH, and Bitcoin for wBTC) are published on our Compliance page.

Regulatory clarity

This page is a marketing communication. It is not investment advice, and not an offer, solicitation, or recommendation to use any product.

The Dedicated Client Vault is a discretionary portfolio management service provided by Tesseract Investment Oy, authorized as a CASP under MiCA by Finland’s Financial Supervisory Authority (FIN-FSA). On-chain yield vaults involve significant risks, including smart contract vulnerabilities and liquidity risk. Dedicated Client Vaults are not regulated financial instruments.

• · Regulated under MiCA
• · FIN-FSA supervised
• · Authorized CASP