Asset Adapters

Asset adapters offer a destination for capital within the Reservoir protocol (USDC) to generate yield in both onchain and real world asset opportunities. Once Governance approves the capital allocations and destinations, the stablecoins can be transferred to the underlying smart contracts with a standardized interfaces that report a net asset value, in order to track overall solvency within Reservoir.

Whether it's an offchain net asset value, debt token, or LP position fund adapter holdings are in custody of the protocol and thus contribute to the asset side of the balance sheet of the Reservoir protocol.