Minimum Lock Period (Cooldown)
1. Cooldown by Pool Risk Profile
After depositing into any pool, the LP's funds are locked for a minimum cooldown period before they can initiate a withdrawal request. The cooldown duration reflects the risk profile of each pool — thinner EM pools require longer cooldowns because sudden withdrawals are more disruptive and replacement liquidity is harder to source.
| Pool | Cooldown | Rationale |
|---|---|---|
| USDT | 24 hours | Deepest pool. High LP turnover expected. Short lock balances LP flexibility against minimal disruption risk. USDT is instantly sourceable externally if needed. |
| tnSGD | 48 hours | Moderate depth. SGD is stable but pool is smaller than USDT. Slightly longer lock gives buffer. External SGD stablecoin sourcing is less liquid than USDT. |
| IDRX | 72 hours | Thin EM pool. IDR volatility + thin liquidity means sudden withdrawals are very disruptive. Longer lock gives protocol time to react. IDRX minting via issuers has 3–5 min latency. |
| MYRC | 72 hours | Thin EM pool. Same risk profile as IDRX. Additionally, MYRC is used in the MYR-IDR cross corridor, so withdrawal impacts two corridors. |
2. Cooldown Reset Rules
The cooldown applies per deposit, not per LP. This means:
| Scenario | Behaviour |
|---|---|
| LP deposits $100K on Day 1 | Cooldown starts. $100K locked until Day 1 + cooldown period. |
| LP deposits additional $50K on Day 2 | New cooldown starts for the $50K only. The original $100K cooldown is unaffected and remains on its original schedule. |
| LP tries to withdraw $120K on Day 2 | Only the $100K from Day 1 (if cooldown has expired) is eligible. The $50K from Day 2 is still locked. |
| Partial withdrawal during cooldown | Only the portion whose cooldown has expired can be withdrawn. Locked portion remains. |
The system tracks cooldown expiry per deposit record, not as a single timer on the LP's total position. This is implemented via a deposit ledger that records each deposit timestamp and amount.
3. Fee Accrual During Cooldown
The kToken rebasing model (Liquidity Index) continues to accrue fees and yield to the LP throughout the cooldown period. The LP's kTokens appreciate in value at the same rate as all other kToken holders. The cooldown is a timing control, not a penalty. The LP earns the same return regardless of whether their funds are in cooldown or freely withdrawable.