# Inventory Management

Collateral pool is held in two primary locations:

* On-chain smart contract wallet; and
* Institutional custody.

#### On-chain smart contract wallet

Majority of ETH and BTC collateral is held on-chain, in a smart contract wallet linked to the protocol mint and redemption smart contract ([Etherscan](https://etherscan.io/address/0xacb7027f271b03b502d65feba617a0d817d62b8e)).

#### Institutional custody

A portion of collateral pool is designated as margin for futures positions and held at institutional custody wallets outside of exchanges:

<table><thead><tr><th width="140">Custodian</th><th width="235">Off-Exchange Delegation</th><th>Collateral Wallet</th></tr></thead><tbody><tr><td>Fireblocks</td><td>Deribit</td><td>Standalone on-chain wallet (<a href="https://etherscan.io/address/0x22062B644aADD7e7Bb11e58C37BC1b022f4Ec3aC">Etherscan</a>)</td></tr><tr><td>Fireblocks</td><td>Bybit</td><td>Standalone on-chain wallet (<a href="https://etherscan.io/address/0x2a144e059cd8a8200298976ce55e8938f33b1d3b">Etherscan</a>)</td></tr><tr><td>Ceffu</td><td>Binance</td><td>Omnibus wallet</td></tr></tbody></table>