Nova Finance

How does Nova work?

Nova creates a range of on-chain accounts related to your private key. Only you can control your assets within your portfolio and you can withdraw your asset or select another portfolio at any time. Once you've selected the assets, strategies and yield generation opportunities you would like within your portfolio, the protocol sets about assigning those assets into dedicated on-chain accounts:
  • Primary: This is your web3 wallet.
  • Secondary: Each asset selected to be in your portfolio is placed into an individual secondary account on the blockchain. From here, the portfolio program can execute actions based on your approval and strategies/yield you defined in the creation process of your portfolio.
  • Tertiary: When you have employed a strategy technique on an asset that buys or sells between another asset, the output asset is stored in a tertiary account. This ensures that funds related to different strategies are kept seperate from eachother.
  • LP: When you participate in a yield generation strategy, the assets are placed into specific liquidity provision (LP) accounts. LP accounts manage instructions and relationships with external protocols that are producing yield on your assets.
  • Rewards: When you claim rewards from yield generation, those funds are transferred into a seperate rewards account. From here, you can withdraw those funds to your regular wallet. In the future, you will be able to program the rewards account to compound or re-allocate profits within your portfolio structure.
For greater detail, our whitepaper can be viewed here​