Elemental
  • Elemental
  • Legal Disclaimer
  • Infographic
  • Compound Fund
  • Performance
  • Strategies
    • Delta Neutral Funding Rate Farming
    • Liquidity Pools
    • Lending Loops
    • Arbitrage
  • FAQ
  • Elemental Epoch
  • Risk Disclosures
  • Manifesto
  • Press Kit
  • Elemental Library
    • Derivatives
    • Funding Rates
    • Perpetuals
    • Moo's Thoughts
      • Market Update (Feb 2025)
      • Navigating Solana’s Evolving Yield Opportunities: Why Nimble Hedge Funds Matter
      • Sound strategies and a little patience is all you need.
      • There are many large pullbacks in a bull market.
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  • General Questions
  • Yield Questions
  • Deposit and Withdrawal Questions
  • Risk Questions
  • Other Miscellaneous Questions

FAQ

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Last updated 2 months ago

General Questions

Q: Which blockchain does Elemental operate on?

A: Elemental runs entirely on the Solana blockchain. We believe in a decentralized future, and building on-chain ensures unmatched transparency and trust.

Q: What tokens does Elemental work with?

A: Elemental operates funds denominated in USDC and SOL. Since we’re on Solana, we utilize SPL (Solana Program Library) tokens, which are fully compatible with the Solana ecosystem.

Yield Questions

Q: Where do the yields come from?

A: Our yields come from various DeFi protocols on the Solana ecosystem, which offer diverse yield and arbitrage opportunities. These include funding rate farming, liquidity provision for stable pairs, vanilla lending, and lending loops, arbitrage, and more. Each carries unique risks and is rigorously monitored to optimize returns.

Q: Are the yields sustainable?

A: Our yields depend on external sources and remain sustainable as long as these sources exist. However, we expect yields to diminish over time as markets become more efficient and competition increases.

Q: How can you offer a fixed yield?

A: We maintain a to buffer against revenue fluctuations. While the yield is fixed during each Elemental Epoch, it may be adjusted between epochs. We aim to minimize adjustments and ensure stability for our depositors.

Q: Do my yields compound?

A: No. Our yields are calculated on your initial capital, which is why we display them as APR rather than APY. However, this does not mean your returns are stagnant. Elemental uses complex strategies behind the scenes but provides a simple user interface. The competitive yields you receive result from rigorous back-testing and forward estimates of these strategies, enabling us to offer the fixed yields as advertised. Rest assured, no capital in Elemental remains idle; every portion of your funds is actively deployed to generate the returns we provide.

Q: Will Elemental’s yields decrease over time?

A: Not necessarily. While market yields may decline, Elemental compounds a portion of its gains. Over time, this compounding effect can lead to rising yields, assuming other factors remain constant.

Deposit and Withdrawal Questions

Q: When can I deposit?

A: Deposits are accepted as long as our funds have capacity, and new deposits activate at the start of the next epoch. While your funds are in the queue, you will not be able to initiate any unstaking; you can only unstake once your deposit has started farming. Because we prioritize competitive yields, our fund capacity is limited. If the funds are full, we appreciate your patience until more capacity becomes available.

Q: When can I withdraw?

Q: Do I earn yields while waiting to unstake?

A: Yields are not accrued during the unstaking epoch as your funds are being unwound and therefore not earning yields. However, yields for the current epoch are credited at its start so you would get the full amount. For example, if an epoch runs from 5 Dec to 10 Dec, yields for this period are credited up front on 5 Dec.

Risk Questions

Q: Is there a risk of losing money with Elemental?

Q: What happens if the fund incurs losses?

Q: Are your smart contracts audited?

A: No. Our processes are manually executed and not governed by smart contracts, so there is no code to audit. We focus on strong internal controls and risk management. All investments are conducted on-chain on Solana, ensuring full transparency.

Other Miscellaneous Questions

Q: What is an Elemental Epoch?

Q: How does Elemental cover its operational costs?

Q: I'm interested! How do I get started?

A: Once your funds begin farming, you can initiate the unstake process at any time. However, you must wait through one full after requesting the unstake before your funds become accessible. For example, if you initiate an unstake on 2 Dec, you must wait for the epoch from 5 Dec to 10 Dec to complete, and your funds will be subsequently available on 10 Dec. This short delay allows us to unwind more complex positions that may require several days.

A: Yes. Like any financial vehicle, investing with Elemental carries risks. Potential threats include protocol exploits, token depegging, bridge hacks, and more. Our team actively monitors conditions to mitigate risks, but we encourage you to review our for more details.

A: Elemental has two primary safeguards: 1) Insurance Fund - Covers initial losses. 2) Compound Fund - Provides an additional layer of protection. If losses exceed these safeguards, the remaining amounts will be distributed proportionally among affected depositors. Please refer to our for more information.

A: An Elemental Epoch is a 5-day period during which yields are fixed. Epochs start and end at 0200h UTC. View a sample schedule here: .

A: Elemental's model is designed for long-term growth and sustainability. After fulfilling user yields and other obligations, remaining profits are used for operational costs, such as staff salaries. For a visual breakdown .

A: We’re excited to have you onboard! Visit to deposit and begin your journey with Elemental.

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