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guide · Cairn research education

Earn vs Boost: two claims, different risks

Understand senior financing, junior residual exposure and why priority is not guaranteed principal.

·Reference model only
Senior claim to Vault assets to Junior residualSenior claimsynthetic modelVault assetsshow assumptionsJunior residualnot a guarantee

Earn queues senior financing for one vault. Until matched, the cash is refundable and earns zero modeled interest. After matching, a senior receipt has priority over residual equity but can still be impaired.

Boost deposits junior capital after a small entry fee and uses funded senior capital to create gross stock exposure. Junior value is the residual after the senior claim, so it absorbs ordinary losses first.

Use the comparison safely

Compare the same deposit in the calculator, then open the Risk Lab to see the loss waterfall. Neither output is a promise of return or execution.