💡UltraX Arb Vault V2 (ETH)
1. Overview
UltraX Arb V2 (ETH) Vault is the latest generation of Vectis' institutional-grade market-neutral arbitrage strategy, purpose-built to capture funding rate and basis inefficiencies across the world's leading perpetual trading venues.
Building on the proven architecture of previous vaults UltraX Arb V2 (SOL), The ETH vault introduces advanced arbitrage strategies, and an upgraded execution infrastructure designed to support larger institutional allocations.
The strategy seeks to generate stable, risk-adjusted returns from structural market inefficiencies rather than directional market movements.
Historical Performance of V2 (SOL):
Annualized Returns: ~13% | Max Drawdown: ~ 0.2%
2. Why UltraX Arb V2 (ETH)?
Enhanced Alpha Generation
UltraX Arb V2 (ETH) Vault significantly expands its arbitrage universe by adding markets linked to Crypto, RWA, U.S. stocks, and commodities, increasing the number of structural inefficiencies available for capture.
At the same time, an upgraded execution engine enables more frequent portfolio rebalancing and faster trade execution, allowing the strategy to capitalize on short-lived funding rate and basis dislocations before they converge.
Together, these enhancements improve the strategy's ability to generate consistent, market-neutral returns across a broader range of market conditions.
Expanded Liquidity Network
With the addition of OKX, UltraX Arb V2 (ETH) now executes across three of the industry's deepest perpetual trading venues: Binance, Hyperliquid, and OKX. More than 90% of deployed capital is concentrated within this high-liquidity network.
The expanded exchange coverage provides:
Access to a broader range of funding rate and basis arbitrage opportunities
Deeper order books
Lower execution costs
Reduced slippage
Higher capital efficiency
Greater operational resilience
Capital is dynamically allocated across venues as market conditions evolve, allowing the strategy to continuously pursue the most attractive arbitrage opportunities.
Institutional-Grade Infrastructure
UltraX Arb V2 (ETH) Vault is built on institutional-grade Vault-as-a-Service (VaaS) infrastructure provided by Accountable, delivering a secure and scalable foundation for on-chain asset management.
The integration with Accountable streamlines vault deployment, operations, and ongoing management while providing a seamless experience for users across ETH networks.
Meanwhile, UltraX Arb V2 (SOL) continues to be powered by Voltr, Vectis' long-standing infrastructure partner. Both deployments operate on audited, production-ready infrastructure and deliver the same institutional standards for security and reliability.
By leveraging specialized infrastructure providers across different ecosystems, UltraX Arb V2 (ETH) offers a consistent user experience while taking advantage of each blockchain's native strengths.
3. Strategy Details
Cross-Exchange Arbitrage Engine UltraX Arb V2 (ETH) Vault captures returns from funding rate arbitrage, basis arbitrage, and cross-exchange pricing inefficiencies. The strategy remains fully market neutral, utilizing dynamically hedged positions and automated capital allocation across exchanges to maximize risk-adjusted opportunities.
Dynamic Capital Allocation Our capital allocation is fully adaptive. The strategy continuously evaluates key metrics—including funding rates, basis spreads, market liquidity, margin utilization, exchange capacity, and execution efficiency. Assets are automatically rebalanced based on these factors to maximize capital efficiency while maintaining conservative risk exposure.
Intelligent Collateral Management Because perpetual arbitrage depends on healthy collateral across multiple venues, UltraX monitors every exchange account in real time. When collateral utilization approaches predefined safety thresholds, assets are automatically rebalanced between exchanges to maintain sufficient margin and significantly reduce liquidation risk during periods of elevated volatility.
4. Risk Management
Real-Time Risk Engine The proprietary Vectis risk engine continuously monitors position exposure, margin health, account equity, funding anomalies, exchange status, and execution quality. This automated monitoring is complemented by predefined operational procedures, allowing the system to respond rapidly to exchange-specific events and changing market conditions.
Institutional Custody Client assets are protected through an institutional custody architecture combining Ceffu for Binance operations and Cobo MPC Custody for Hyperliquid, OKX, and other supported environments. This dual-custody framework provides robust key management, withdrawal controls, and asset segregation suitable for institutional capital.
Transparent Infrastructure UltraX Arb V2 (ETH) combines transparent on-chain vault management with professional trading infrastructure. Unlike conventional arbitrage funds that operate entirely within centralized exchanges, users can independently verify vault activity while benefiting from institutional-grade execution and operational controls.
Transparent Infrastructure UltraX Arb V2 (ETH) combines transparent on-chain vault management with professional trading infrastructure. Unlike conventional arbitrage funds that operate entirely within centralized exchanges, users can independently verify vault activity while benefiting from institutional-grade execution and operational controls.
5. Fees
Performance Fee
20% of Net Profits
Management Fee
2% Annually
6. Risks
UltraX Arb V2 (ETH) Vault is designed to deliver consistent, risk-adjusted returns with limited market exposure, all investments involve risk.
Investors should carefully consider the following:
Smart contract risk
Exchange operational risk
Counterparty risk
Funding rate fluctuations
Execution and liquidity risk
Extreme market volatility
Multi-platform operational risk
Vectis continuously upgrades its trading infrastructure, custody framework, and risk management systems to minimize these risks wherever possible. However, no investment strategy can eliminate risk entirely.
7. Disclaimer
UltraX Arb V2 (ETH) Vault is designed to pursue consistent, market-neutral returns through systematic arbitrage strategies. Historical performance is provided for informational purposes only and should not be interpreted as a guarantee of future results.
All investments involve risk, including the potential loss of principal. Users should carefully evaluate their investment objectives and risk tolerance before participating.
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