Lifecycle
Last updated
Last updated
The N-Vault operates in distinct epochs, each with defined timelines and user interactions. Here’s how the lifecycle and features are structured:
Live (Start of Epoch):
Marks the point (1am UTC) when the N-Vault transitions from the Indicative phase to the Active phase.
User deposits are locked and deployed according to the N-Vault strategy.
Maturity (End of Epoch):
On the last Friday of the calendar month at 9am UTC, signifying the end of the epoch.
Users can make full withdrawal of principal and profits, if applicable.
Indicative Phase (Minimum 7 Days):
Users can preview the indicative terms of the upcoming epoch, including estimated APY, option strategy parameters and coupon payment schedule.
Terms like option strikes, coupon rates, and APY might be updated from time to time depending on market conditions.
Deposits and withdrawals are open during this phase.
Active Phase (Typically 30–90 Days):
The terms are fixed, user deposits are locked, and the N-Vault deploys pooled capital to:
A fixed-yield source (e.g., Pendle Finance's Principal-Token).
An options strategy to generate additional returns.
Early withdrawal is available for amounts in multiples of minimum batch size.
Matured Phase (Typically less than 1 day):
User deposits are open for withdrawal.
User may not make new deposits as indicative terms of the upcoming epoch are not published.
1. Pre-Deposit (Indicative Phase):
Users can review the investment structure, including indicative returns, before the N-Vault becomes Active.
Deposits can only be made during this phase, requiring users to contribute the specific deposit token supported by the N-Vault.
If users do not already hold the required token, they can:
Obtain it via a decentralized exchange (DEX) or centralized exchange (CEX).
Mint it directly through the deposit token's protocol.
2. Withdrawal (Indicative and Matured Phase):
Users can freely withdraw their total balance during this period.
3. Early Withdrawal (Active Phase):
Users who meet the minimum deposit batch size requirement may submit an early withdrawal request during the Active phase.
Users principal are immediately withdrawn, whilst the option value, if applicable, will be transferred directly to the user's address within 24 hours.
Deposits below the batch size threshold remain locked until maturity.
Early Withdrawal is available up to 1 day before maturity.
4. Coupon Withdrawal:
Coupons represent fixed-yield payments distributed to users as scheduled (1am UTC) during the Pre-Deposit phase.
Users can redeem coupons anytime after distribution usually by the end of day of each coupon payment date.
5. Options Profit Withdrawal:
Once the N-Vault reaches maturity, users can withdraw the profits generated from the options strategy at any time.
6. Auto-Roll:
Only the Principal balance will be automatically rolled-over to the next epoch if users do not withdraw before the next epoch’s Live date.
