Global Pool
The Global Pool manages all Synth positions across all end-users.
For Synths that leverage off-chain strategies (i.e., those dependent on CEX strategies), the Global Pool is only facilitating transfers between itself and Umoja's OES providers. Similarly, each Synth Vault facilitates transfers between the Global Pool and end-users.
Global Pool
The Global Pool orchestrates the collective strategy for all Synths, streamlining the redistribution of collateral, profits, and losses across Synth Vaults. This unified management approach enhances the protocol's capital efficiency by allowing for the strategic transfer of collateral between positions, especially useful in strategies based on centralized exchanges.
In response to major, unexpected market shifts ("Black Swan" events) that could impact any Synth Vault, the protocol's Insurance Pool steps in to adjust the Global Pool's collateral levels, safeguarding all Synth Funds.
Furthermore, the Global Pool judiciously reallocates any extra collateral into the Investment Pool, increasing the protocol's revenue and bolstering the Insurance Pool, thereby fortifying the protocol against market volatility.
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