Deposit and Redemption flows

Lagoon vaults' deposit and withdrawal flows are based on an asynchronous mechanism.

Asynchronous deposits and withdrawals follow a four step flow. Requests are grouped and settled at a single valuation point, ensuring consistent pricing within each settlement cycle.

Why Asynchronous Matters

Asynchronous flows reduce fragmented execution and allow settlement to align with valuation, strategy constraints, and operational processes.

Vaults can be configured as async-only, permanently disabling synchronous deposits and redeems.

Deposit flow:

Deposit workflow

1

Request

^{User signals intent to deposit}

Users call requestDeposit to signal their intent to enter the vault. Assets are transferred to the pending silo, a utility contract deployed at vault creation to hold assets awaiting settlement.

2

Valuation and Settlement

^{Curator batches and processes requests at a valuation point}

Settling requires a fair valuation of the vault's positions. The valuation provider submits a NAV to the vault. The curator reviews and approves it by calling settleDeposit, ensuring no settlement occurs on an unverified valuation.

All queued deposit requests are then processed at this single valuation point. The corresponding shares are minted.

This is a two-step procedure: the valuation provider proposes the NAV first, then the curator accepts and settles. This separation adds an extra layer of verification.

3

Claim

^{User receives shares after settlement}

After settlement, users start earning directly. Ownership of the vault is represented by an ERC-20 share token. Shares are held inside the vault and can be claimed at any time on the vault page.

The curator can claim shares on behalf of users and transfer them directly to their address. See How to claim shares on behalf of users.

Redemption flow

In the redemption process, unlike the deposit process, users cannot cancel their withdrawal requests. This measure prevents users from making curators unwind positions without a valid reason.

Redemption workflow

1

Request

^{User signals intent to withdraw}

Users call requestRedeem to signal their intent to exit the vault. Shares are transferred to the pending silo. Unlike deposits, redemption requests cannot be cancelled once submitted.

2

Settlement

^{Curator batches and processes requests at a valuation point}

The valuation provider submits a NAV. The curator reviews, approves, and calls settleRedeem. All queued redemption requests are processed at this single valuation point. The corresponding assets are unlocked.

3

Claim

^{User receives assets after settlement}

After settlement, assets are available for the user to claim on the vault page. The curator cannot claim on behalf of users for redemptions. Each user must trigger their own claim transaction.

The curator can claim assets on behalf of users and transfer them directly to their address.

Lagoon Epoch workflow