Vaults

A Vault is a smart contract used to issue and manage $taoUSD loans.

The TaoBank protocol supports $wTAO collateral Vaults, allowing users to utilize their $wTAO.

The Vault maintains two balances: one is the asset ($wTAO tokens) acting as collateral and the other is a debt denominated in $taoUSD. Modifying those balances by adding collateral or repaying debt changes the Vault’s health factor accordingly.

Vaults can be closed at any time by fully paying off the debt