Unified Yield

Traditional liquidity provision has a fundamental inefficiency: LP funds sit idle in the pool waiting for swaps. In a typical 24-hour period, deposited capital might only be actively used for a fraction of the time. The rest of the time, it earns nothing.

Unified Yield solves this by routing idle liquidity into yield-generating vaults, allowing LPs to earn lending yield continuously while remaining fully available for swaps through Just-In-Time (JIT) Liquidity Providing and Flash Accounting.

This results in a dual-yield position. LPs earn swap fees from trading activity AND lending yield from the underlying vaults, simultaneously, from the same capital. Because all returns are automatically reinvested, Unified Yield converts traditional LP APR into true APY. This enables a capital-efficient, “set-and-forget” liquidity strategy on top of Uniswap v4—maximizing utilization without active position management.

Unified Yield positions use ERC-4626 vault shares, a tokenized representation of your deposit that automatically accrues yield.

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How It Works

At the core of Unified Yield sits the JIT liquidity mechanism. Here's what happens:

The explanation below is simplified to convey the underlying logic. The production implementation includes additional safeguards.

1

Deposit

When you provide liquidity, your tokens are deposited into the Hook contract. The Hook immediately routes these tokens to ERC-4626 yield vaults based on the asset's yield strategy, where they begin earning lending yield.

You receive Hook shares representing your position. These shares automatically appreciate as yield accrues.

2

During Swaps (JIT)

When a swap occurs, the Hook uses flash accounting to make your liquidity virtually present in the pool:

1. beforeSwap: Liquidity is flash-added to the pool

2. Swap executes: Against full available liquidity

3. afterSwap: Net amounts settle. Tokens received go to the vault, tokens sent come from the vault

Your capital earns the swap fee while never actually leaving the yield-generating position.

Additional benefit: swap fees are automatically compounded instead of sitting idle like in standard Uniswap positions.

3

Withdraw

When you withdraw, the Hook burns your shares, retrieves the underlying tokens from the vault (including all accrued yield), and sends them to your wallet.

The liquidity is only "in the pool" at the exact moment of the swap. No capital sits idle.

Position Characteristics

Unified Yield positions differ from standard concentrated liquidity positions in several ways:

Simplified Ranges

Standard pools use full range. Stable pools use concentrated positions. No manual range management required.

Vault Shares

You receive Hook shares instead of an NFT. Shares are fungible and automatically accrue yield.

Dual Yield

Earn from two sources: swap fees from trading activity and lending yield from the underlying vaults.

APR Breakdown

Unified Yield positions display a combined APR from multiple sources:

Component	Source
Swap APR	Trading fees from swaps
Unified Yield APR	Pro rata lending rate based on both tokens vaults
Additional APR	Protocol-level rewards (points) and potential ecosystem incentives (airdrops, liquidity programs)

The total APR shown is the sum of all components. Actual returns vary based on pool volume, vault rates, and market conditions.

Supported Assets

Unified Yield works with assets that have compatible yield vaults. Each asset is routed to a vault based on its yield strategy.

ETH

Wrapped ETH lending vault

USDC

USDC lending vault

USDS

USDS lending vault

Why it Matters

Liquidity Providers

Traditional LPs face idle capital. Funds deposited into a pool only earn when swaps occur. Between trades, capital generates zero return. This inefficiency compounds over time, especially in lower-volume pools.

Alphix it. Unified Yield ensures your capital is always working. When not used for swaps, it earns lending yield in underlying vaults. When swaps occur, JIT accounting captures the fees. No idle capital. Dual yield streams.

Earn swap fees AND lending yield. Capital never sits idle.

Traders

Traders need deep liquidity. Shallow pools mean higher slippage. LPs constantly moving capital between protocols fragments available depth.

Alphix it. Unified Yield keeps liquidity in the pool while earning external yield. LPs have no reason to withdraw for better rates elsewhere. This concentrates liquidity and improves execution for traders.

Deeper liquidity. Better execution.

Protocols

Protocols struggle with LP retention. Liquidity providers constantly seek the highest yield, leading to mercenary capital that moves at any rate differential. Incentive programs become expensive arms races.

Alphix it. Unified Yield makes Alphix pools inherently more attractive by offering dual yield. Protocols leveraging our pools benefit from stickier liquidity without additional incentive spent.

Stickier liquidity. Lower incentive costs.