Defire's fund are smart contracts to create unique DeFi investment strategies. For example, a manager can create a low risk fund to lend assets and a high risk fund to do ETH margin trades. Any account or smart contract (that is not a fund) can participate in a fund investment by executing the deposit operation, in exchange they will receive an IOU token from the fund that they can use to withdraw their earnings.
In Assets: Assets that the fund holdsOut Assets: Fund token
An investor always supplies a percentage of the assets that the fund holds. For example if a fund has 50 DAI and 10 ETH, an investor that wants to have 10% share of the fund will need to supply 5 DAI and 1 ETH.
If the fund is empty, any asset can be deposited. For example, if there is a fund with no assets, an investor can deposit 3 DAI, 15 DAI or any amount of DAI he/she wants.
The operation always sends back the right proportion of its fund tokens that are IOU of the assets deposited.