> For the complete documentation index, see [llms.txt](https://docs.raxprotocol.xyz/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.raxprotocol.xyz/start-here/glossary.md).

# Glossary

This glossary defines key terms used throughout the RAX Protocol documentation.

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**Allocation Engine** — The decision-support system that evaluates opportunities and proposes capital allocations within mandate constraints. Can be invoked manually through the interface or autonomously through RaxBot.

**Decision Cycle** — One complete evaluation pass by RaxBot: risk calculation, mandate checking, allocation proposal, and execution or hold. Each cycle produces a logged decision record.

**ERC-4626** — A tokenized vault standard on Ethereum. The RAX vault implements this standard, issuing shares proportional to deposits and managing assets across multiple strategies.

**Exposure** — The actual distribution of capital across protocols, assets, or chains at any point in time. May differ from the target allocation due to market movements between rebalances.

**Intelligence Score** — A proprietary composite metric (0-100) where higher values indicate better risk-adjusted opportunity. Inverts risk dimensions and adds yield quality bonuses.

**Keeper** — A dedicated wallet authorized to execute rebalance transactions on the vault contract. The keeper operates within mandate rules and is the only address permitted to call the rebalance function on-chain.

**Mandate** — A user-defined set of constraints that governs all autonomous actions: risk tolerance, exposure limits, allowlists, rebalance thresholds, drawdown limits, and approval rules.

**RaxBot** — The autonomous execution process that runs decision cycles on a schedule, monitoring conditions and acting within the mandate without requiring user interaction for each cycle.

**Risk Score** — A normalized value from 0 to 100 representing relative risk. Derived from five weighted dimensions and used for comparison across assets, protocols, and portfolios.

**Strategy Adapter** — A smart contract that connects the vault to a specific DeFi protocol (Aave, Compound, Uniswap V3, Aerodrome), handling deposits, withdrawals, and yield collection through the IStrategyAdapter interface.

**Tier** — Access level determined by $RAX token holdings. Four tiers: Free (0 RAX), Holder (1+ RAX), Pro (1,000+ RAX), Power (10,000+ RAX).