> For the complete documentation index, see [llms.txt](https://docs.diversifi.trade/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.diversifi.trade/index-token-price-calculation/vault-opening.md).

# Vault Opening

**What happens when a vault is opened?**

#### Step 1 — Vault opens

* We fix that 1 dToken (portfolio token) = 1 $USDC NAV at the start.
* First depositor puts in 1,000 $USDC.
* Vault buys 1,000 $USDC worth of the portfolio assets (say BONK, BERN, GP, ART, MF).
* In return, vault mints 1,000 dTokens, each worth $1.00.

Now:

* TVL = 1,000 $USDC
* Supply = 1,000 tokens
* Price per token = 1,000 ÷ 1,000 = 1.00 $USDC

#### Step 2 — Second deposit

* Another user deposits 500 $USDC.
* Vault buys 500 $USDC of assets.
* TVL = 1,500 $USDC
* Vault mints 500 new tokens (still at $1 each).
* New supply = 1,500 tokens.

Price per token = 1,500 ÷ 1,500 = 1.00 $USDC (unchanged).

#### Step 3 — Market moves

* Suppose one token in the portfolio pumps, so vault’s assets are now worth 2,000 $USDC.
* Supply = still 1,500 tokens.
* Price per token = 2,000 ÷ 1,500 = $1.33.

So every token now reflects the gain.

Simple rule:

* Deposits/withdrawals → don’t change price, only change supply.
* Market performance → changes vault TVL, which changes token price.