Smart Account VS Vaults

ZyFAI is built upon extensive feedback and experiences from the DeFi and infrastructure sectors.

• Vaults can be defined as a smart contract interface that manages users' funds by issuing shares, typically under the control of a curator.

• Smart Accounts represent a specific type of Ethereum account that can transfer and receive tokens on the blockchain. They rely on code, rather than a private key, to secure and recover wallet information.

Each of these innovative technologies has its pros and cons, dependent on their architectural design.

From a user's perspective, using a shared vault, involves trusting two specific layers: the vault provider with an associated global smart contract that holds all user funds, and the curator who manages the DeFi strategies for those funds.

Smart Accounts manage these layers differently. A Smart Account is exclusively used by you with your funds, thereby reducing potential hack vectors and providing the flexibility to choose your predefined strategies and protocols.

With all this information, ZyFAI was developed with the goal of providing users with the greatest flexibility to manage their funds while minimizing potential smart contract attack vectors.