1. Inefficiency of Idle Capital in DeFi
   Problem: Many crypto holders have idle assets but lack time, skill, or confidence to actively trade or earn yield.

Solution: ZenithVault allows users to deposit assets into strategy-based liquidity vaults managed by proven fund managers, enabling passive income generation.

2. Limited Access for Talented Traders
   Problem: Skilled traders often lack access to sufficient capital, preventing them from scaling their strategies.

Solution: Traders can become Fund Managers (FMs) on ZenithVault, gain access to pooled liquidity, and earn royalties based on performance — all without needing a reputation or startup capital.

3. Centralized Trust in Asset Management
   Problem: Traditional asset management and even some DeFi yield products require trusting opaque teams with fund allocation and fee structures.

Solution: ZenithVault introduces on-chain governance by LP token holders — every rule, royalty, and fund manager tier is governed through decentralized proposals and votes.

📘 Project Description
ZenithVault is a decentralized, cross-chain asset management protocol where skilled fund managers (FMs) can launch permissionless liquidity vaults to trade with user-provided capital. In return, liquidity providers (LPs) earn a portion of the profits and receive ERC-20 LP tokens, which not only represent their share in the pool but also grant governance power in the protocol.

Vaults are deployed natively on Ethereum Sepolia, Arbitrum Sepolia, and Base Sepolia, with governance centralized on Ethereum Sepolia. Using Chainlink CCIP and Chainlink Automation, ZenithVault ensures all vaults are synchronized with DAO decisions — including fund manager promotions, tier configurations, and royalty settings.

There is no separate governance token; the protocol is governed solely by those who have provided capital — the LPs — ensuring aligned incentives and true capital-weighted decision-making.

🧠 Key Roles
👑 Fund Managers (FMs)
Can deploy and manage liquidity pools via the Factory contract.

Assigned a tier that determines their withdrawal cap and royalty percentage.

Withdraw a limited percentage of pool funds for active trading.

Return profits to the pool and earn a royalty from net gains.

Can be promoted or demoted by DAO vote.

💰 Liquidity Providers (LPs)
Deposit capital into vaults managed by selected FMs.

Receive ERC-20 LP tokens representing pool share and voting power.

Earn yield based on FM trading performance.

Can redeem LP tokens for proportional liquidity at any time.

Participate in DAO proposals and votes.

🗳 DAO (Governance Layer)
Controlled entirely by LP token holders.

Proposals include FM management, tier configuration, and royalty rules.

Votes are counted based on LP token balance.

Executes governance decisions autonomously when proposal deadlines end.

Synchronizes state across all chains via Chainlink CCIP.

🔗 Chainlink Integration
Protocol Usage
CCIP Propagate DAO decisions to Arbitrum & Base
Automation Automatically execute proposals after voting deadline

🗳 DAO Proposal Types
All governance decisions are voted on by LPs using their LP token balance. The proposals include:

Add Fund Manager – Allow a new FM to manage a vault

Remove Fund Manager – Revoke permissions from an FM

Change FM Tier – Promote or demote an FM, adjusting limits & rewards

Change Royalty % for Tier – Adjust profit share for a specific tier

Change Withdrawal Limit % for Tier – Adjust cap on how much FMs can withdraw per tier

🔁 Protocol Workflow

1. 🏗 Pool Deployment
   FM deploys a pool via factory.sol on any chain.

Vault is registered in poolManager.sol, with a unique LP token.

DAO recognizes the FM at Tier 0 by default.

2. 💸 Liquidity Deposit
   LP deposits capital (e.g., USDC) into chosen pool.

Receives LP tokens representing their proportional share.

Vault total liquidity increases.

3. 🔓 FM Capital Withdrawal
   FM requests withdrawal from the pool (capped by their tier limit).

poolManager.sol verifies FM permissions and limit.

FM trades externally and returns capital + profit.

4. 📈 Profit Injection & Royalty Distribution
   FM returns funds to the vault.

poolManager.sol computes net gain.

A royalty percentage (based on FM tier) is distributed to FM.

Remaining profit increases the vault’s LP token value.

5. 🗳 DAO Governance
   Any LP can create a proposal via dao.sol.

Other LPs vote using their LP tokens.

Voting remains open until a pre-set deadline.

6. 🤖 Proposal Execution
   Once deadline is reached, Chainlink Automation triggers executeProposal().

If passed, DAO decision is finalized and recorded.

7. 🌐 Cross-Chain Synchronization
   daoAggregator.sol encodes final result.

ccipSender.sol transmits update to Arbitrum/Base using Chainlink CCIP.

poolManager.sol on each chain applies the new rules (e.g., FM tier update).

8. 🔁 LP Withdrawal
   LP burns their LP tokens to redeem their share of current vault liquidity.