# Strategy Lifecycle

Each strategy progresses through a well-defined lifecycle governed by the zkSync Home Vault:

#### 1. Registration

The vault records strategy metadata, assigned execution environment, exposure limits, valuation parameters, and risk classification.

#### 2. Activation

Capital is allocated to the strategy, marking the beginning of its active lifecycle.

#### 3. Execution Phase

The strategy operates within its assigned execution environment. Execution environments may provide different performance profiles, such as:

* Deterministic, low-cost execution for baseline or fallback strategies.
* High-throughput and parallel execution for computationally intensive strategies.
* Low-latency, event-driven execution for time-sensitive strategies.

The specific execution environment is selected based on strategy requirements and system constraints, independent of chain identity.

#### 4. Reporting Phase

At defined intervals or upon strategy-specific triggers, the strategy submits valuation updates for validation through zkSync-based verification channels.

#### 5. Validation on zkSync

Reported values are validated prior to acceptance. Only validated state updates are eligible for inclusion in NAV computation and vault accounting.

#### 6. Rebalance or Unwind

During portfolio rebalancing or withdrawal-driven liquidity requirements, the vault may instruct strategies to adjust or unwind positions.

#### 7. Deactivation

If a strategy is deprecated, paused, or retired, all associated capital is fully unwound and returned to the vault.

This lifecycle enforces deterministic behavior and consistent accounting guarantees regardless of execution environment variability or cross-domain execution dynamics.


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