How It Works
Everything you need to know about Silo — the auto-compounding yield optimizer on Abstract Chain.
Overview
Silo deposits user funds into DeFi protocols on Abstract Chain, auto-harvests rewards, swaps them back into the underlying assets, and re-deposits them — compounding your yield over time with zero manual effort.
Users deposit tokens, receive ERC-4626 silo shares, and earn compounded yield minus a small performance fee. No lock-ups — withdraw anytime.
Silo Types
Deposits LP tokens into Aborean V2 gauges. ABX emission rewards are claimed, swapped back into the LP pair tokens, added as liquidity, and restaked — growing your LP position automatically.
Pairs: WETH-ABX, WETH-USDC, USDT-USDC, WETH-gBLUE, WETH-PENGU, WETH-YGG, WETH-ABSTER, WETH-BIG, USDC-PENGU, ABX-USDC, WETH-BORNE, and more
Manages full-range concentrated liquidity positions on Aborean CL pools. ABX gauge emissions and trading fees are compounded back into the position automatically.
Pairs: WETH-USDC, WETH-PENGU, WETH-ABX, WETH-BURR, WETH-ABSTER, WETH-BIG, WETH-GOD, WETH-RETSBA, WETH-KONA, WETH-YGG, WETH-NOOT, WETH-GOONER, gtBTC-WETH, gtBTC-USDC, USDT-USDC, GUSD-USDC, and more
Deposits single assets into Kona Finance lending pools. Interest accrues automatically and is compounded back into the lending position.
Assets: USDC, WETH, USDT, PENGU
Deposit ABX tokens to earn yield from Aborean's ve(3,3) system. Your ABX is permanently locked as veABX for maximum voting power. The silo votes for high-emission pools each epoch, claims trading fees, bribes, and rebases, then compounds everything back into more ABX.
90% locked as veABX, 10% kept as withdrawal buffer
Strategies
Strategies are vault-of-vaults that automatically diversify your deposit across multiple silos. Deposit a single token and the strategy distributes it by weight across its allocated silos.
Diversified WETH yield across Kona lending & CL pools
Pure meme-pair CL exposure for maximum yield potential
Diversified BTC across CL pairs
Strategies use ERC-4626 — deposit the underlying token, receive strategy shares. The strategy auto-distributes across silos by weight. No Zapper needed. View strategies →
How Compounding Works
LP Silos (Aborean V2 & CL)
- You deposit LP tokens and receive silo shares
- LP is staked into the Aborean Gauge for ABX emissions
- The harvester claims ABX rewards
- 5% performance fee is taken (4.5% treasury + 0.5% caller)
- Remaining ABX is split and swapped to the LP pair tokens
- New liquidity is added and restaked
- Your shares are now worth more LP tokens
Lending Silos (Kona)
- You deposit a single asset (e.g. USDC) and receive silo shares
- Funds are supplied to Kona Finance lending pools
- Interest accrues continuously on-chain
- The harvester compounds accrued interest
- Your shares grow in value over time
Zapper — Deposit Any Token
The Zapper lets you deposit any supported token into any silo in a single transaction. No need to manually swap tokens, add liquidity, or match LP pair ratios.
Supported tokens
The Zapper routes through Aborean to swap into the required tokens, adds liquidity, and deposits into the silo — all in one transaction. Default slippage: 2%.
Fee Structure
| Fee Type | Amount |
|---|---|
| Performance fee (on harvested rewards) | 4.5% |
| Harvest caller incentive | 0.5% |
| Deposit fee | 0% |
| Withdrawal fee | 0% |
Performance fees are only charged on harvested rewards, never on your principal. Fees are capped at 5% total and can only be lowered by governance.
Referral Program
Earn a share of protocol fees by referring new depositors. When someone deposits using your referral link, you earn a percentage of the performance fee generated from their positions.
10%
Referral Share
Lifetime
Duration
On-chain
Tracking
Auto Harvester
The AutoHarvester is a keeper contract that compounds all silos automatically. Anyone can call harvestAll() and earn the 0.5% caller incentive for triggering the compound.
A minimum harvest interval (default 4 hours) prevents excessive harvesting. The keeper bot monitors all silos and triggers harvests when profitable.
Security
All smart contracts have been analyzed with multiple security tools:
Slither
Passed
Aderyn
Passed
Mythril
Passed
Contracts use battle-tested OpenZeppelin libraries (ERC4626, Ownable, ReentrancyGuard, Pausable). All silos can be paused by the owner in case of emergency.
Smart contracts carry inherent risks. Only deposit what you can afford to lose.
Risks
Smart Contract Risk
Bugs in Silo, Aborean, or Kona contracts could result in loss of funds.
Impermanent Loss
LP silo depositors are exposed to impermanent loss from price divergence of the paired tokens.
veABX Lock Risk
ABX deposited into the veABX silo is permanently locked. Withdrawals are limited to the idle buffer (10%).
Oracle / Price Risk
Token swaps during harvest rely on on-chain DEX prices, which may be subject to manipulation.
Protocol Dependency
Silos depend on underlying protocols (Aborean, Kona). Issues with those protocols affect silo deposits.
Smart Contracts
Core infrastructure contracts deployed on Abstract Chain (chain ID 2741).
0xfcE532BD1f46D321Bf0eBdEb1C2f2bcDd7754F930x828209bD22Fe89C5fCE96BdEeC3398d9550Ddc380xBf2372245C0A7d3f20fd9f85Ea6DA2732B482E580x50Df1CeBB24727885E2829d62d414fc3f154336c0x188780b8993b0374A696B536FA228e06160CFd5DIndividual silo addresses can be found on the Earn page. All contracts are verified on the Abstract block explorer.
AI Agents
Silo provides tools for AI agents to interact with the protocol programmatically. Agents can discover yield opportunities, deposit into silos and strategies, withdraw, harvest rewards, and monitor portfolios — all without a frontend. Full agent docs →
The Silo MCP server exposes 14 tools that any MCP-compatible AI agent can use:
list_silosBrowse all silos with APY, TVL, risk
get_best_yieldFind highest APY by risk/token
get_silo_detailsDeep info on a specific silo
get_portfolioCheck wallet positions + USD values
get_harvest_opportunitiesFind profitable harvest bounties
estimate_earningsProject returns over time
get_deposit_txBuild deposit transactions
get_withdraw_txBuild withdraw transactions
get_harvest_txBuild harvest transactions
get_token_pricesGet live on-chain token prices
list_strategiesBrowse strategies with risk levels
get_strategy_detailsStrategy allocations and weights
get_strategy_deposit_txBuild strategy deposit tx
get_strategy_withdraw_txBuild strategy withdraw tx
Install: cd mcp && npm install && npm run build — Run: node mcp/dist/index.js (stdio)
A structured skill file that teaches coding agents (Claude Code, Cursor, Windsurf) everything about Silo — contract addresses, ABIs, APY calculation formulas, deposit/withdraw workflows, and common gotchas.
Download SKILL.mdSilo is registered in Abstract's ERC-8004 IdentityRegistry, making it discoverable by any AI agent querying the on-chain registry. The registration includes our MCP service endpoint and agent manifest.
0x8004A169...a432Chain: Abstract (2741)What agents can do with Silo
Token Addresses
Supported tokens on Abstract Chain (chain ID 2741).
0x3439153EB7AF838Ad19d56E1571FBD09333C28090x84A71ccD554Cc1b02749b35d22F684CC8ec987e10x0709F39376dEEe2A2dfC94A58EdEb2Eb9DF012bD0x4C68E4102c0F120cce9F08625bd12079806b7C4D0xC25714E79b694EeE7E8e8D21dae332A797d28Ac00x9eBe3A824Ca958e4b3Da772D2065518F009CBa620x0035b877C3aB50cFFA9eD52bA05282c7045f78dd0xa9053DC939D74222F7aa0B3A2bE407abbfd56C6a0x92aba186c85b5aFEB3a2CEdC8772Ae8638F1B5650x12d3E796D1F625EB6131aEB670BcD210bBb0f903Protocol Addresses
Key protocol contracts used by Silo on Abstract Chain.
0xE8142D2f82036B6FC1e79E4aE85cF53FBFfDC9980xF6cDfFf7Ad51caaD860e7A35d6D4075d74039a6B0x8f16B5713F412C5dE4951Aaf678Eb8409101f8190x8004A169FB4a3325136EB29fA0ceB6D2e539a4320x8004BAa17C55a88189AE136b182e5fdA19dE9b63