Features of Native Vaults
Last updated
Last updated
Native ByzVaults are ByzVaults in which the collateral asset is the native currency for a blockchain (currently this just means the vault's collateral asset is ETH, but in the future could include other chain's native currencies such as SOL or BNB). When users deposit into a Native ByzVault, their native currency is staked and then the token representing this are restaked into that vault's defined restaking protocols. For users this means they earn a yield from the restaking protocol, while also earning the staking yield from their underlying native currency validating the blockchain.
For users, they do not have to do any of the work associated with setting up and maintaining a validator. This task is handled by the validator manager, which is responsible for managing a set of validators that are registered to a vault and are used for depositing a users stake to the beacon chain. There are multiple types of validator managers that a vault can have, with more information being available .
The validator manager registers existing validator's to a vault so that all new incoming ETH is automatically deposited into the Beacon Chain. They are also responsible for handling all the deposit and withdrawal requests made to the vault, linking up the requests to validators in their validator set. Information on some of the best practices for validator managers on handling user requests and being capital efficient can be found .
Allows for automated validator set management. Validators can be managed purely through smart contracts rather than relying on a validator manager. This leads to a more trustless and efficient system.
Enables greater capital efficiency as the vault can trigger partial withdrawals from validators, instead of having to utilize full withdrawals. This means at any given point a higher % of ETH is validating the chain and earning a yield.
These features will be enabled on the Symbiotic Native Vault when it is live, as well as on the EigenLayer Native Vault when their EigenPod contract is upgraded to be EIP-7002 compatible.
Another major difference between the ERC20 ByzVaults and Native ByzVaults is that the native vaults require an in order to function correctly in order to ensure that the vault knows how much value it has on both the execution layer and consensus layer.
On May 7th 2025, the went live on the Ethereum mainnet. This included several EIP's that improve the Ethereum network and added several new features that Byzantine Finance is already taking advantage of or are positioning to integrate.
Pectra included which added a new type of validator - 0x02. This is the only validator type supported by the ByzVaults and it changed the maximum effective balance (maxEB) from 32 ether to 2048. Not only does this mean that validators can be much larger (and thus in theory validators could be consolidated together to improve the network's efficiency), it also means that these validators are auto-compounding. This improves capital efficiency and makes handling the yield from validators far simpler.
Pectra also included which allows for withdrawal requests for a validator to be triggered on the execution layer. When a validator performs a withdrawal, the funds are sent to the 'withdrawal credentials' address specified when setting up the validator. In our case, this is the ByzVault. This means that the ByzVault would be able to initiate a withdrawal from the validator itself. This:
