Yield DTF deployment walkthrough

Getting started

• Navigate to the Yield DTF deployer UI: https://app.reserve.org/deploy/yield-dtf

• Connect your wallet using the Connect button in the top right.

Define your DTF

A DTF's name, ticker, and mandate are important as unique identifiers which serve to convey its core purpose and set it apart from other products in the marketplace.

• Network — The DTF's native blockchain

• Token Name — The DTF's full name

• Ticker — The DTF's abbreviated symbol (Staking token names and tickers are auto-generated)

• Mandate — Description of the goals the DTF's governors should try to achieve. By briefly explaining the DTF’s purpose and what the RToken is intended to do, it provides common ground for the governors to decide upon priorities and how to weigh tradeoffs.

Configure basket

Now it’s time to define what collateral assets back your DTF, and in what proportions. Emergency collateral can also be defined as fallbacks in the event any primary collateral defaults.

A number of collateral plugins can be employed “out-of-the-box.” If a desired collateral plugin doesn’t already exist, developers may create and deploy custom plugins: https://reserve.org/protocol/yield_dtfs/deployment_guide/ui_walkthrough/#appendix

• Under “Primary Basket,” click the “Add to basket” button

• Select your desired collateral assets. In this example, a number of yield bearing stablecoin positions will be used.

Note: In order to mint the DTF after it’s created, deployers must either have the selected collateral assets in their wallet, or use the “Zap Minting” utility, which enables minting using just 1 asset (e.g., mint eUSD using just USDC).

• Once satisfied with the selected assets, click “Add to basket”.

• Select your asset distributions, as well as the number of target units (e.g. USD, BTC, ETH) your “Target Basket” comprises.

Configure Backup Basket

It’s generally recommended to configure Emergency Collateral in a backup basket. These are defined separately for each target unit.

• The ‘Diversity factor’ of your backups dictates the number of backup assets the DTF will scale into when exiting defaulted collateral (split evenly if there are multiple backups).

Configure parameters

This section discusses what each configuration parameter does, and why it’s important. For more information on each parameter, see Advanced Parameters: https://reserve.org/protocol/yield_dtfs/deployment_guide/parameters/

Note that the Reserve app provides sensible defaults and unless you’re an advanced user, you can deploy your RToken using the defaults and skip this section.

Backing Manager parameters

Other parameters

Additional details on trading delay(s)

• The trading delay defines how many seconds should pass after the basket has been changed before a trade can be opened.

• A collateral asset can instantly default if one of the invariants of the underlying DeFi protocol breaks. If that would happen, and we would not apply a trading delay, the protocol would react instantly by opening an auction. This would give only auctionLength seconds for people to bid on the auction, making it very possible for the protocol to lose value due to slippage.

• The trading delay parameter may only be needed in the early days — once a robust market of MEV searchers is established this can likely be set to zero.

Deploy

Once you’re satisfied with your DTF’s name, basket composition, and other parameters, click the “Deploy” button which will prompt you to sign a transaction (“Tx1”).

Congratulations — you have successfully deployed your Yield DTF. However, no governance system has yet been configured. Continue reading to learn how to set up decentralized governance on your DTF using Governor Anastasius: https://reserve.org/protocol/reserve_rights_rsr/#governor-anastasius

Note that if you aren’t yet ready to set up governance, you can leave your RToken paused and return later to finish.

Set up Governance

• If you wish to use Governor Anastasius (default; recommended by Reserve), ensure the corresponding toggle is active.

• Carefully select addresses for Guardian, Pauser, and Freezer roles. See roles documentation: https://reserve.org/protocol/yield_dtfs/smart_contracts/?search=roles#s-result

Addresses for each role are separate from each other and from the Guardian. However, often the Guardian address is also included in the other three roles.

Next, configure the ‘Governance parameters’

Note that the Reserve app provides sensible defaults and unless you’re an advanced user, you can deploy Governance using the defaults and skip this section.

Governance parameters

Select whether your DTF will be left in a paused state or functional after configuring governance (i.e., whether the DTF should be active immediately post-deployment, or whether governors should decide to start in a paused state).

Once you’ve made a selection, click “Deploy Governance”. Once that transaction confirms, the DTF is live onchain with the live state parameters you chose above.