Tokemak
10 known investors
Tokemak offers Autopools, automated DeFi vaults that optimize yield by rebalancing across major protocols and assets including ETH and stablecoins. The product targets DeFi users seeking automated yield strategies.
Also known as Auto Finance · Autopilot · Tokemak v2
Investors · 10
Also in the syndicate · 2
Company profile
researched Aug 2026Tokemak, rebranded as Auto Finance in September 2025, is a decentralized liquidity management protocol offering autonomous yield optimization for DeFi liquidity providers. Depositors place assets such as ETH, USDC or other stablecoins into Autopools — smart-contract vaults built on the ERC-4626 token standard that hold diversified sets of liquidity positions across decentralized exchanges, lending protocols and liquidity pools. Rebalancing logic reallocates capital among permitted destinations to target the best available risk-adjusted yield, so depositors do not manually claim rewards, bridge or re-enter positions.
The protocol's earlier version, Tokemak v1, was structured around "reactors" and a "liquidity director" model: liquidity providers deposited single-sided reserve assets (ETH, USDC, DAI) or project tokens, while TOKE holders voted to direct where that liquidity was deployed, targeting the problem of bootstrapping liquidity for new token markets and giving market makers access to additional trading capital. Tokemak v1 has since been sunset in preparation for the v2 open launch, with v1 deposits remaining withdrawable and v1 reactor rewards ended.
Under the v2/Auto Finance architecture, products include Autopilot (launched 2024), the autoUSD stablecoin Autopool, the balETH pool and baseUSD, a Base-network stablecoin Autopool. The TOKE token has migrated to AUTO.
Founding story
Tokemak emerged from Fractal, an established trading firm expanding into decentralized finance, and was founded by Carson Cook, who described the project as a network designed to generate sustainable liquidity for new and established DeFi protocols.
Business model
The protocol operates as non-custodial on-chain infrastructure: users deposit assets into Autopool vaults that deploy capital into third-party DeFi venues and earn yield from trading fees, lending interest and protocol incentives, reported as APY. Autopools currently charge no management, performance, deposit or withdrawal fees, and displayed yields are net of fees. Earlier, Tokemak v1 paired liquidity providers with TOKE holders acting as liquidity directors, and the token has since migrated to AUTO.
Autopools presently levy no management, performance, deposit or withdrawal fees; yield generated by underlying positions accrues to depositors net of fees.
Traction
Autopool products have expanded from the 2024 Autopilot launch to stablecoin pools (autoUSD, April 2025) and a Base-network pool (baseUSD, May 2025); v1 reactor rewards ended on March 13 and v1 is being sunset.
Latest developments
The TOKE to AUTO token migration went live in February 2026, following the September 2025 rebrand from Tokemak to Auto Finance and a December 2025 roadmap update that introduced "Otto." An August 2026 post outlines the next iteration of the Autopools and AUTO. Products now run at app.auto.finance.
▸Full profile — market position, technology, go-to-market, geography, history, risks & controversies
Market position
Described in press coverage as a generalized liquidity aggregator for decentralized exchanges, with a role compared to Yearn.finance and other yield-optimizing protocols that search for the most profitable strategies for user assets.
Fully autonomous, on-chain rebalancing gated on a cost-benefit test against gas and slippage; ERC-4626 vault standard; non-custodial and audited contracts with per-pool disclosure of deployment destinations; and, currently, no management, performance, deposit or withdrawal fees.
Technology
Autopools are ERC-4626 smart-contract vaults holding diversified liquidity and lending positions. The rebalancing engine continuously compares yields available at each permitted destination — DEX liquidity pools and lending-protocol supply markets — against the gas and slippage cost of moving, executing a rebalance only when projected gains exceed those costs. The full cycle runs on-chain and automatically. Contracts are open-source and audited, with per-pool disclosure of destination protocols and audit reports; security documentation is published at docs.auto.finance. Destination protocols cited include Curve, Balancer, Aave and Morpho.
Go-to-market
Distribution is direct-to-user through the protocol's web application (app.auto.finance), supported by a public blog, community calls, documentation and, historically, TOKE liquidity-mining distribution and a commemorative Autopilots NFT project tied to the Autopilot launch.
DeFi liquidity providers and depositors of ETH, USDC and other stablecoins seeking automated yield without manual position management. In the earlier v1 design the protocol also targeted projects and DAOs needing to bootstrap token liquidity, market makers seeking additional trading capital, exchanges wanting deeper market depth, and retail yield farmers.
Geography
The protocol is deployed on Ethereum and on Base, where the baseUSD stablecoin Autopool operates.
History
Tokemak was created by the team at trading firm Fractal as a "decentralized liquidity reactor" for DeFi, with founder Carson Cook, and raised $4 million in April 2021 ahead of an Ethereum mainnet launch targeted for late Q2 2021. The v2 design — introducing LMPs, Autopilot and a DAO Liquidity Marketplace — was published in May 2023, followed by an Autopilot guarded launch in February 2024, a Base deployment discussed in May 2024 and the Autopilot launch in September 2024. The autoUSD stablecoin Autopool went live in April 2025 and baseUSD in May 2025. The protocol rebranded to Auto Finance in September 2025, published an AUTO roadmap in December 2025, and completed the TOKE-to-AUTO migration in February 2026, with a further Autopool and AUTO update in August 2026. Tokemak v1 has entered a sunsetting process, with deposits remaining withdrawable.
Risks & controversies
Yields depend on third-party destination protocols (including Curve, Balancer, Aave and Morpho), and withdrawals are subject to available on-chain liquidity. Tokemak v1 has been sunset with reactor rewards discontinued, and the TOKE token has been migrated to AUTO.
Compiled by commissioned research from 8 cited public sources — announcements, filings, and press listed under research sources below.
Timeline · 10
launches, deals, and filingsThe protocol announced it is now Auto Finance, retaining the same team, contracts and documentation under the new brand at app.auto.finance.
Autopilot launched on September 16, 2024, converting manual liquidity providers into automated LPs (autoLPs) through Autopools.
Tokemak announced a $4 million investment round led by Framework Ventures, with Electric Capital, Coinbase Ventures, North Island Ventures, Delphi Ventures and ConsenSys participating, ahead of an Ethereum mainnet deployment planned for late Q2 2021.
$4M source ↗
Dated company events from announcements, filings, and press; legal rows summarize public dockets and regulator releases.
In the news
▸Research sources · 8
primary sources listed
- Tokemaktokemak.xyz · web
8 public sources were cited for this profile; the first-party ones are listed here.
Frequently asked questions
- What does Tokemak do?
- DeFi liquidity management protocol whose Autopools automatically rebalance ETH and stablecoin deposits across DEXs and lending markets.
- Who are Tokemak's investors?
- Tokemak's investors include Bollinger Investment Group, ConsenSys Mesh, Divergence, NIV, Youbi Capital, Blockchain Capital, Electric Capital, Framework Ventures.