- Bonzo Vaults provides automated return strategies through smart EVM contracts that rebalance and automatically curate the Hedera network.
- $HBARHBARX, $USDCBONZO, SAUCE, DOVU, PACK and JAM are supported, and support for wETH/wBTC (ERC-20) is planned.
Bonzo Finance Labs has done that introduced Bonzo Vaults, a beta product that automates return strategies for Hedera decentralized finance (DeFi). The product relies on smart contracts based on the Ethereum Virtual Machine and deployed on Hedera. It executes deposits and strategy logic in the chain.
Each vault accepts a single asset or asset pair and adds a vault share token that keeps track of the user’s share of the pooled position. Strategy contracts deploy these pooled assets in locations such as pools of concentrated liquidity and credit markets, while the vault manages the accounting for deposits and withdrawals.
Bonzo Vaults (Beta) is now live
Enjoy automated return strategies via @Hedera DeFi. Deposit supported assets into a vault; this will execute the strategy, rebalance and compound returns on your behalf.
Explore vaults https://t.co/hBfL0oexy2 pic.twitter.com/otu61A8J2z
— Bonzo Finance Labs (@bonzo_finance) January 27, 2026
The design is modular, allowing for strategy upgrades or terminations without changing the vault interface. Bonzo also characterizes Vaults as permissionless for EVM developers, with a strategist fee tied to the revenue earned through a strategy contract.
Additionally, the initial strategies are based on open source approaches related to Beefy Finance and ICHI, and automate margins, rebalancing and reward harvesting to increase returns.
How Hedera’s initial Bonzo strategies are structured
Bonzo Vaults launches with three strategy families. Single Asset DEX vaults take one token, exchange a portion of the deposit into the linked asset, and then manage positions with concentrated liquidity, including range selection, periodic rebalancing, and compounding fees. Dual Asset DEX vaults manage positions of two tokens and rebuild ranges around prevailing prices to keep liquidity deployed and fees collected.
Source: Bonzo Finance Labs on X
In Bonzo’s documentation, implemented Dual Asset DEX vaults include: $USDC–$HBAR, $USDC-SAUCE, BONZO-XBONZO and SAUCE-XSAUCE. Additionally, the press release mentions additional pairs such as WETH-$HBARWETH-$USDCWBTC$HBARand WBTC$USDC as available soon.
A separate contracts index lists Single Asset DEX vaults and links pointing to tokens, including $HBAR, $USDCSAUCE, BONZO, DOVU and JAM, in addition to a leveraged liquid staking token (LST) vault for HBARX.
For leveraged positioning, the Leveraged LST strategy collateralizes an LST to Bonzo’s credit market, borrows the underlying base asset, and circulates the money back to Bonzo’s credit market. to expand and loans to build LST exposure. Bonzo Finance Labs noted that the HBARX leveraged vault was under maintenance at launch and deposits were disabled.
For single asset deposits, the token is automatically converted into the associated pool asset upon deposit. It also says that withdrawals will return a mix of both tokens, with the expected ratio shown in the vault interface.
Bonzo’s disclosure materials include risk information that provides coverage smart contract vulnerabilities, market volatility and dependence on underlying protocols used by each strategy. Vault strategies are also being monitored by Halborn, and audit reports are scheduled for release.
The Bonzo Vaults beta rollout adds a liquidity automation option for Hedera DeFi users by running rebalancing and compounding routines via onchain contracts.
Meanwhile, Hedera has continued to expand its US-focused partnerships. Recently CNF reported that the network has joined America250 to support digital experiences and community engagement in commemoration of the United States’ 250th anniversary.
At the time of writing it is $HBAR acted on $0.1044down 2.67% in the last 24 hours. The altcoin’s market capitalization reached $4.49 billion, while its 24-hour trading volume was approximately $141 million, an increase 20% within 24 hours.