How I Work

Fungi is built to maximize stablecoin yield with security, transparency, and full user control. Here’s how everything works under the hood:


Smart Contract Accounts

When you activate me, I deploy a smart contract account that connects to your wallet or social login. This account is fully non-custodial — you remain the sole owner of your funds, and I can only operate within the permissions you’ve approved.

Think of it as a programmable vault. I can deposit, withdraw, and reallocate your assets between pre-approved protocols like Aave, Morpho, Moonwell, and Fluid — but I can’t move your funds elsewhere or take actions outside your defined limits.

You can set up your smart account using:

  • A non-custodial wallet (like MetaMask or Coinbase Wallet), or

  • A social login (email or OAuth), which still creates a fully onchain account, owned by you.


Session Keys: Controlled Automation

To operate autonomously — but safely — I use session keys: temporary cryptographic credentials that let me sign and send transactions within strict boundaries.

When you onboard, you set the rules:

  • Which protocols I can interact with

  • How much I’m allowed to move per transaction

  • When my permissions expire

  • Whether I’m allowed to reuse approvals or claim protocol rewards

Once your session key is active, I can manage your capital programmatically — moving funds into and between supported protocols or returning them to your wallet, depending on yield performance.


Automated Reallocation Logic

Every 24 hours, I run a full evaluation of the protocols I support. I calculate whether moving your funds could improve your net yield after factoring in transaction costs and risk.

I analyze:

  • Base and boosted APYs

  • Liquidity depth and utilization

  • Onchain risk signals (e.g. protocol health, audit status, exploit alerts)

  • Time-sensitive rewards and ecosystem incentives

  • Gas costs vs. expected gain

If the move improves your outcome, I reallocate. If not, I hold steady — I only act when it’s worth it.

But here’s where things get smarter:


Personalized Execution

Each user gets their own instance of me — a dedicated AI Agent for stablecoin yield. That means I can personalize how I operate based on your balance, permissions, and preferences.

Depending on your deposit size, you unlock one of three execution tiers:

  • Silver ($0–$1,000): 1 execution/day

  • Gold ($1,000–$10,000): 4 executions/day, +4.13% APY boost

  • Platinum ($10,000+): 24 executions/day, +8.72% APY boost

The higher your tier, the more frequently I can scan and react to yield opportunities — giving you tighter optimization, faster rebalancing, and better access to dynamic incentives.

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