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Understanding the Protocol
Due to the underlying complexity in Spool, it is difficult to simplify the inner workings. We invite those that are more technically inclined to read our extensive technical documentation.
The Spool Protocol is an umbrella of many Spools that dynamically reallocate capital between their various Strategies/Protocols based on the Risk Scores calculated by their individually set Risk Appetite and Risk Models.
Spool allows users to maintain their desired level of risk exposure despite ever-changing market conditions, while also minimizing their gas costs, labor, and exposure to potential black swan events by rebalancing capital at a larger scale.
The Spool Protocol consists of multiple moving parts, namely:

A Spool:

A Spool is a "vault" consisting of creator defined settings for Strategies, a Risk Model, a Risk Appetite setting and (potential) rewards. Anyone can create a Spool by selecting their favorite Strategies, a Risk Model and a Risk Appetite.

The Master Spool:

The Master Spool is the contract that ties the entire Spool Protocol together. This contract connects every single Spool with the corresponding Yield Generators.

A Strategy:

A Strategy is a smart contract that interacts with an actual Yield Generator, like Aave. A Strategy manages deposits, withdrawals, balance tracking and re-compounding for any number of Spools.

A Risk Model:

A Risk Model is a quantitative model built to assess and assign Risk Scores associated with a Strategy/Protocol. Risk Models are only included within the Spool ecosystem when vetted and voted on by the DAO.

DoHardWork():

DoHardWork() The implementation of an aggregate function call allows Spool to dynamically re-allocate capital without the need to tax the user for it.

The Buffer System:

The Buffer System. The Buffer System minimizes the gas costs associated with participating in the Spool Ecosystem.

The Spool Protocol

All aforementioned aspects together form the Spool Protocol.