> For the complete documentation index, see [llms.txt](https://surf-2.gitbook.io/surfliquid-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://surf-2.gitbook.io/surfliquid-docs/infra-and-intelligence/surfs-user-owned-vault.md).

# Surf's User Owned Vault

<figure><img src="/files/prjk8hRv3f4DYt5xRq4G" alt=""><figcaption></figcaption></figure>

At the core of Surf is the user-owned vault.

A user-owned vault is a non-custodial on-chain account that holds capital and defines how that capital can be used through approved execution rules.

It is not a pooled contract where funds are mixed and controlled by the protocol.\
Each user has their own isolated vault, with their own rules, permissions, and withdrawal rights.

#### Key properties of a user-owned vault

**1. Non-custodial by design**

Funds are always owned by the user’s wallet. Surf never takes custody and cannot move assets unilaterally.

All actions require:

* On-chain permission from the vault
* Guardian Layer rule validation
* Valid cryptographic signatures

**2. Deterministic execution boundaries**

Every vault is configured with strict, on-chain enforced limits, including:

* Allowed protocols and venues
* Maximum exposure per vault
* Slippage and liquidity thresholds
* Leverage and LTV (Loan-to-Value) caps
* Rebalancing frequency and sizing
* Emergency halt conditions

The AI can propose actions.\
The vault only executes actions that satisfy these deterministic rules.

**3. Vault isolation**

Each vault is logically and financially isolated.

* No shared collateral risk
* No cross-user contagion
* No socialised losses
* Independent liquidation and health factors

This makes Surf vaults suitable for both retail users and institutional mandates.

**4. Modular execution attachment**

Execution modules are not hard-coded into the vault.

They are attached as modules, such as:

* Lending Vault optimisation
* Liquidity Vault execution for CLMM (Concentrated Liquidity Market Maker) positions
* Future RWA (Real-World Asset) and cross-chain vault modules

Each module operates under the same Guardian constraints.

**5. Always-on withdrawal rights**

Users can withdraw at any time.

There are:

* No lockups
* No protocol-level gating
* No discretionary delays

If the vault holds assets, the user can exit, subject only to on-chain settlement and liquidity conditions.

**6. Composable and upgrade-safe**

Vault logic is:

* Versioned
* Auditable
* Upgradeable via governance and security reviews
* Backwards-compatible with existing positions

This allows Surf to evolve vault logic and safety controls without breaking user positions or custody guarantees.

***

In simple terms:

The user-owned vault is the technical and control boundary between:

* The user
* Surf
* Vault execution
* The blockchain

It ensures that:

Surf can optimise. Vault execution can run. But control, custody, and final authority always remain with the user.