The protocol earns fees from deposits and withdrawals across its senior and junior tranches, which split yield from underlying strategies into risk-adjusted products.

Strata is a risk-tranching protocol on Ethereum that tokenizes yield strategies into senior and junior tranches. Senior tranches provide over-collateralized yield with downside protection, while junior tranches offer leveraged upside and serve as insurance for the senior tranche.

Strata was launched in October 2025 and is governed by a multisig structure with a 48-hour timelock.