# How it Works

**Account Explanation**&#x20;

When you create a sub-account (smart account), it’s bound to your connected wallet (or EOA), with your wallet address set as the sole owner during account creation.&#x20;

All actions for your sub-accounts must be signed with your connected wallet, ensuring you maintain full control over them.

#### Features

* **Sub-accounts:** Enables flexible management of isolated positions.
* **Improved on-chain experience:** Simplifies user operations through bundled transactions, reducing the need for continual signatures.
* **Automation**:\* Manages position health automatically, helping users avoid liquidation.
* **Intent-based actions:**\* Allows users to set up one-click strategies with predefined workflows.
* **More EIP-4337 features:**\* Supports gas-free transactions.

Reference:\
<https://github.com/coinbase/smart-wallet?tab=readme-ov-file#passkey-owners-and-ethereum-address-owners>


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