How to Use Nest
Everything you need to know to mint, earn, and redeem with Nest.
How to Use Nest
You deposit a supported stablecoin into a Nest vault to mint a receipt token representing your share of the vault. The vault allocates deposited funds between a liquid reserve used to process deposits and withdrawals, and yield-generating assets that produce returns. As yield accrues, the value of the receipt token increases. When you redeem, you burn the receipt token to receive the vault's redemption asset plus any earned yield.
End-to-End Flow
1. Getting Started
To get started, connect a supported Web3 wallet (e.g., MetaMask, Rabby, or Zerion) directly on the Nest portal. The protocol operates entirely on-chain and does not require custodial onboarding.
Switch to Arc (chain ID 5042) and select a vault with an Arc route in the Vault Directory.
2. Acquire a supported deposit asset
USDC is the deposit asset for Nest vaults on Arc. Check the Vault Directory for available vault routes before minting.
3. Mint Vault Tokens
Once you hold USDC on Arc, deposit into a vault listed in the Vault Directory.
Upon deposit, you receive a vault receipt token (an “nTOKEN”). This token represents your proportional exposure to the strategy. The receipt token does not distribute yield separately. Instead, value accrues inside the vault, and this is reflected in an increasing redemption value per token over time.
4. Redeem Token to Claim Yield*
To exit, you redeem your nTOKEN to receive the vault's supported redemption asset plus accrued yield. Redemption terms vary depending on the strategy.
Check the selected Arc vault's redemption estimate before submitting a request; liquidity and settlement times vary by strategy.
Key Concepts
| Concept | Description |
|---|---|
| Vault Receipt Token | ERC-20 receipt token users mint when they deposit into an EVM vault. Vault token value changes with vault performance. |
| Performance | Yield from the underlying assets is reflected in the vault share price. |
| Non-custodial | You hold your vault shares in your wallet; Nest does not hold assets on your behalf. |
AML Pre-Screening
Arc deposits use the vault's compliance entrypoint. Check the integration guidance for the selected vault.
Learn more about this system here.