Withdraw

LPs can withdraw from the Domination Finance vault by redeeming $dfUSDC for USDC.

LPs must first submit a request to withdraw which in turn kicks off a cool off period. During the cool off period, $dfUSDC is locked in the LP’s wallet. The duration of the cool off period depends on the collateralization percentage of the vault.

After initiating a withdrawal request, LPs will see it appear in the Pending Withdrawals tab alongside the epoch during which the withdrawal will be claimable.

Cool Off Periods

If vault collateralization > 120% then the cool off period is 1 epoch (3 days)

If vault collateralization is between 110% and 120% then the cool off period is 2 epochs (6 days)

If vault collateralization is < 110% then the cool off period is 3 epochs (9 days)

Epochs

An epoch is a fixed 3 day window during which liquidation fees and net trader PnL are accrued before being credited to $dfUSDC at the end of the epoch. The epoch based accrual exists to mitigate the risk of LPs front-running the realization of large trader gains or losses.

Unlocking

LPs who lock their deposit receive a NFT representing their $dfUSDC allocation (initial deposit + lock boost). The $dfUSDC tokens are locked in the vault until the lock duration elapses and the deposit is unlocked by the LP. When the deposit is unlocked, the NFT is burned and $dfUSDC tokens are returned. The LP can then choose to redeposit or withdraw the newly unlocked $dfUSDC tokens.