Today, we are excited to announce that Orange Finance is finally launching our dual-liquidity vaults on Berachain in collaboration with Stryke.

Our vaults help LPs capture more value in AMMs and bootstrap liquidity in the Berachain ecosystem.

The following vaults are now live:

• WETH-HONEY Vault

• WBTC-HONEY Vault

• WBERA-HONEY Vault

We’re also excited to share that Stryke will provide a total of 15,000 $BERA in rewards to these vaults on Orange over the next two months.

$BERA Rewards to LP

By supplying liquidity through Orange’s vaults, users will earn $BERA rewards from Stryke for the next 8 weeks.

The total of 15,000 $BERA is allocated among the vaults as follows:

• 7,000 $BERA for WETH-HONEY Vault (875 $ BERA/week)

• 5,000 $BERA for WBTC-HONEY Vault (625 $ BERA/week)

• 3,000 $BERA for WBERA-HONEY Vault (375 $ BERA/week)

Rewards are distributed weekly based on each user’s share of the total vault deposits.

APR simulation

Curious about potential APRs? Check out the APR simulation spreadsheet to see how APR might vary with different TVL scenarios.

* This simulation displays only the APR from BERA token rewards and does not include swap fees or premium earnings.

How it works

Our dual-liquidity vault manages the liquidity position in the CLAMM pools on Stryke, which offers an options platform on Berachain.

About Stryke

Stryke is an options platform that leverages liquidity positions on AMMs, which built the options market on top of Kodiak on Berachain.

Unlike traditional AMMs that only earn swap fees, Stryke boosts capital efficiency by letting LPs earn swap fees on liquidity at the current price and premium fees on idle positions, allowing LPs to achieve higher capital efficiency.

Orange dual-liquidity vault

Managing liquidity for Stryke involves similar methods to v3 AMM rebalancing but is more complex. Our vault automates the entire process, streamlining the experience for LPs.

1. Tick-Level Liquidity Management

Orange manages liquidity at the tick level. It checks each tick during updates and, if liquidity is locked in derivatives, it can’t be withdrawn until settled. Orange then burns and reallocates that liquidity once it’s free.

2. Tick Interval Adjustment

To prevent excessive gas fees when expanding ranges, Orange adjusts tick liquidity intervals. Still, it manages approximately 70~100 liquidity positions simultaneously.

3. Simplified Performance Measurement

Managing numerous liquidity positions and tracking their performance can be labor-intensive. Orange simplifies this by wrapping these positions into an ERC20 token, allowing for streamlined performance tracking as a Vault.

Vault Strategy

Every three days, our vault rebalances its liquidity position based on a targeted range derived using implied volatility (IV) calculations (inspired by Panoptic’s methodology). The current ranges for each vault are:

• WETH-HONEY: +-27.42%

• WBTC-HONEY: +-20.23%

• WBERA-HONEY: +-49.31%

What is Orange Finance

Orange Finance is an automated liquidity management protocol for normal concentrated-type liquidity AMM and LPDfi protocols (which utilises concentrated liquidity to offer derivative products).