Balancer
Balancer V2
Balancer V2
  • Protocol Overview
  • Developer Docs
  • Products
    • The Vault
      • Flash Loans
    • Balancer Pools
      • Weighted Pools
      • Composable Stable Pools
      • Liquidity Bootstrapping Pools (LBPs)
      • Managed Pools
        • Asset Managers
      • Boosted Pools
      • Custom Pools
    • Smart Order Router
    • Balancer CoW Protocol
    • Oracles (deprecated)
  • Concepts
    • Math
      • Weighted Math
      • Stable Math
    • Fees
  • Ecosystem
    • Governance
      • Governance Process
        • RFC/Proposal Forum Post Template
      • BAL Governance Token
      • Snapshot
      • Multisig
        • Other DAO Multisigs
      • Governable Protocol Fees
      • Emergency subDAO
    • Community
      • Ballers
      • Delegation
      • Grants
    • veBAL and Gauges
      • veBAL
        • How veBAL Works
        • How To Use veBAL
        • How veBAL Boosting Works
          • Working Supply
          • Calculating My Boost
          • Minimum veBAL for Max Boost
        • BIP19 and Yield Bearing Tokens
      • Gauges
        • How Gauges Work
        • How To Use Gauges
  • Security
    • Audits
    • Bug Bounties
    • Emergency Pause
    • Token Compatibility
    • Balancer x Certora Accelerator
  • Getting Started
    • FAQs
      • Swapping
      • Liquidity
      • Liquidity Mining with the veBAL and Gauge System
      • Liquidity Mining (Legacy)
      • Fees
      • Governance
      • The Vault
      • Pools and LBPs
      • Asset Managers
      • Oracles
      • About Balancer Protocol and Labs
      • V2 in a Nutshell
      • V1 ➝ V2 Migration
    • Walkthroughs
      • Trade
      • Invest
    • Contribution Guide
  • Community
    • Discord
    • Forums
    • Medium
    • Dune Analytics
  • Developers (Deprecated)
    • !!! DEPRECATED !!! ⛔
    • Guides
      • Pool Verification
    • Smart Order Router V2
    • GitHub
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On this page
  • What is the Vault?
  • How does the Vault work?
  • What are Internal User Balances?

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  1. Getting Started
  2. FAQs

The Vault

What is the Vault?

It is a single contract that holds and manages all the assets added by all Balancer pools. This allows Balancer to take full advantage of its multi-pool trading routing in order to offer the best trade routing options.

How does the Vault work?

Balancer V2 separates the Automated Market Maker (AMM) logic from the token management and accounting. Token management/accounting is done by the Vault while the AMM logic is individual to each pool.

Because pools are contracts external to the Vault, they can implement any arbitrary, customized AMM logic.

What are Internal User Balances?

Important: DO NOT blindly transfer tokens to the Vault expecting to get a User Balance. They must be added through the UserBalance smart contract. Any tokens sent directly to the Vault or a pool contract will be irretrievably lost.

Internal user token balances are tokens that belong to you that are kept inside the Vault. They are useful for high-frequency trading since they require no external token transfers. The only ERC20 token transfers you need to perform are when you're initially putting your tokens in the Vault and withdrawing them later. (This feature is available at the contract level.)

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Last updated 3 years ago

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