> For the complete documentation index, see [llms.txt](https://docs.rip.xyz/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.rip.xyz/hypurr-vault/overview.md).

# Overview

## What is rHYPURR?

rHYPURR is an automatically managed NFT index token that provides diversified exposure to the Hypurr NFT collection on HyperEVM. The vault holds a automatically managed portfolio of Hypurr NFTs, seeking exposure to the collection and any benefits that come with that exposure, such as airdrops from the Hyperliquid ecosystem. 

| Backing Asset  | WHYPE         |
| -------------- | ------------- |
| Strategy Type  | NFT Portfolio |
| Token Standard | ERC-4626      |

## How rHYPURR Works

rHYPURR operates as an automatically managed NFT treasury with transparent on-chain reporting:

### 🏦 Vault Custodies NFTs

The vault manager (MPC wallet) holds a portfolio of Hypurr NFTs. These NFTs are the core assets backing the vault's value.

### 📊 NAV Calculated Regularly

A keeper bot continuously monitors NFT floor prices using recent sales data. It calculates the total value of all vault assets and publishes Net Asset Value (NAV) reports on-chain.

### 💱 Users Deposit/Redeem at NAV

You deposit WHYPE tokens to mint rHYPURR shares or redeem shares to receive WHYPE back. All transactions are processed at the fair NAV price determined by the keeper using our proprietary valuation model.

### 📈 Portfolio Value Appreciation

The vault manager can manually acquire or rotate NFTs to optimize portfolio value. As the NFT collection appreciates and executed strategy activity improves the portfolio, the NAV per share increases.

## Key Features

### 🔒 Multi-Signature Security

Assets are held by a secure MPC (Multi-Party Computation) wallet, requiring consensus for all transactions.

### 🎯 Transparent Valuation

NAV is calculated using objective floor price data from recent Hypurr NFT sales, ensuring fair and verifiable pricing.

### ⚖️ Fair Price Discovery

Asynchronous queues ensure all users get NAV-based pricing without front-running or manipulation.

### 🔄 Liquidity Management

The vault maintains WHYPE reserves for redemptions while maximizing capital efficiency through automated liquidity sweeps.

## Managed Vault Architecture

rHYPURR separates the vault contract from the vault manager contract to enhance security and flexibility:

| Vault Contract                        | Vault Manager Contract                |
| ------------------------------------- | ------------------------------------- |
| Holds user shares (ERC-20 tokens)     | Holds and manages NFT portfolio       |
| Manages deposit/redemption queues     | Executes approved buy/sell operations |
| Enforces protocol rules and limits    | Maintains working capital reserves    |
| Calculates NAV and processes requests | Implements trading strategy logic     |

## Investment Strategy

The rHYPURR vault employs a sophisticated approach to NFT portfolio management:

### Automated Liquidity Management

When WHYPE reserves exceed a configured threshold, excess liquidity is automatically swept to the vault manager wallet. This capital can be deployed by the vault manager to purchase Hypurr NFTs when sufficient liquidity has accumulated, expanding the portfolio.

### Standardized NFT Trading

A **5% trading fee** is charged on every NFT purchase and sale executed by the vault manager. This fee is routed to the protocol treasury and is recognized as protocol revenue. NAV calculations reflect the post-fee proceeds of any trade activity.

### Liquidity Generation

When large redemptions require additional liquidity, the vault sells NFTs from the treasury to generate WHYPE, ensuring users can exit their positions while maintaining portfolio quality.

### Portfolio Diversification

Holding a basket of Hypurr NFTs spreads risk across the collection, reducing exposure to single-asset volatility while maintaining broad exposure to the ecosystem.

### Long-Term Value Accrual

Benefiting from the overall growth of the Hypurr NFT ecosystem as the collection matures and gains adoption.

### Airdrop Benefits

Holders receive a proportional share of any airdrops received by the vault treasury, adding additional value beyond the core NFT strategy.

## Risk Considerations

Like all investments, rHYPURR carries risks. Understanding these risks is essential:

{% hint style="warning" %}
**NFT Market Volatility**

NFT prices can be highly volatile. The vault's NAV fluctuates with floor price movements.
{% endhint %}

{% hint style="warning" %}
**Liquidity Risk**

In extreme market conditions, redemptions may be delayed or partially fulfilled due to limited vault liquidity.
{% endhint %}

{% hint style="warning" %}
**Smart Contract Risk**

While audited, smart contracts may contain undiscovered vulnerabilities.
{% endhint %}

{% hint style="warning" %}
**Keeper Dependency**

NAV calculations rely on accurate data from the keeper bot and NFT marketplaces.
{% endhint %}

{% hint style="warning" %}
**Strategy Risk**

The vault's trading strategy may not always be profitable, especially in bear markets.
{% endhint %}

{% hint style="danger" %}
Only invest what you can afford to lose. Past performance does not guarantee future results.
{% endhint %}

## Permissioned Roles

rHYPURR is managed by multiple specialized contracts to ensure security and operational efficiency:

### Admin Role

Controls vault settings including caps, thresholds, and emergency pause functionality.

### Treasury Role

Manages fee configuration and withdrawal of protocol revenue.

### Keeper Role

Authorized to publish NAV reports and process deposit/redemption queues.

### Vault Manager

MPC wallet that custodies NFTs and executes the trading strategy.

## Technical Specifications

| Parameter                    | Value                      |
| ---------------------------- | -------------------------- |
| Network                      | HyperEVM (chainId 999)     |
| Token Standard               | ERC-20 (ERC-4626 inspired) |
| Backing Asset                | WHYPE (Wrapped HYPE)       |
| Vault Assets                 | Hypurr NFT Collection      |
| NAV Update Frequency         | \~1 hour                   |
| Queue Processing             | Asynchronous (FIFO)        |
| Deposit Fee                  | 0.3% (30 bps)              |
| Redemption Fee               | 0.5% (50 bps)              |
| NFT Trading Fee (Buy & Sell) | 5%                         |
| Deposit Cap                  | 20,000 WHYPE               |
| Minimum Deposit              | 0.1 WHYPE                  |
| Minimum Redemption           | 1 rHYPURR                  |
| Minimum Partial Payout       | 1 WHYPE                    |
| Liquidity Sweep Threshold    | 1,000 WHYPE                |
| NAV Drift Limit              | 10% (1000 bps)             |
| Max NAV Staleness            | 2 hours                    |

## Ready to use the Hypurr Vault?

Learn more about how the vault works or start your first deposit today.

* [How to Deposit/Redeem](/hypurr-vault/deposit-redemption.md)
* [Understand NAV](/hypurr-vault/nav-calculation.md)
* [Open Vault](https://www.rip.xyz/rhypurr)