Rolling and withdrawing

When a blade reaches the end of its term, its principal, its interest net of the protocol fee and any redistribution allocations it holds become claimable. The owner then chooses one of two actions: withdraw the matured amount to their wallet, or roll it into a new blade in the same slot.

What becomes claimable at maturity#

A blade matures at the end of its term, six protocol months after it was opened. At that point:

matured amount = principal
               + interest − protocol fee
               + redistribution allocations

The protocol fee applies to interest only, never to principal. Once matured, the blade stops accruing interest.

Withdrawing a matured blade#

Withdrawing sends the full matured amount to the owner's wallet. The slot becomes free and can take that month's new blade. The rest of the wheel is unaffected: the next blade still matures in the following month.

An owner who wants to keep only part of the matured amount on the wheel can therefore withdraw and then open a new blade with a smaller principal in the same slot that month.

Rolling a matured blade#

Rolling turns the matured amount into the principal of a new blade in the same slot. A new six-month term starts, and the slot matures again six months later, which keeps the wheel on its schedule of one maturity per month.

Because interest and allocations become part of the new principal, rolling compounds a blade's earnings from one term to the next.

Adding funds to a rolled blade#

When rolling, the owner can add new funds. The new blade's principal is then the matured amount plus the funds added. This is how a wheel grows over time without opening extra slots: each slot still holds one blade, but each blade can be larger than the last.

Matured blades that are not acted on#

A matured blade that is neither withdrawn nor rolled stays claimable. It stops accruing interest, so leaving it idle forgoes the interest a rolled blade would earn, and it continues to occupy its slot. Whether an automatic roll option will exist is confirmed at launch.

Example: rolling with a top-up#

All figures are illustrative. The rate is an illustrative 5% annual rate, not a forecast, and the protocol fee is left out because its level is announced at launch.

A blade of 1,000 stablecoin units is opened in slot 2 in month 2. It matures in month 8.

interest over the term   = 1,000 × 0.05 × 6/12 = 25
allocations held         = 2       (from other blades' breaks; may be zero)
matured amount           = 1,000 + 25 + 2 = 1,027

In month 8 the owner has two choices:

Either way, the blade in slot 3 still matures in month 9.

Choosing between rolling and withdrawing#

Rolling keeps capital on the wheel and the slot on its monthly turn. Withdrawing returns cash without forfeiting anything, which is the point of the ladder: a maturity every month means cash can be taken without an early break. The decision is made one slot at a time, every month.

The simulator lets you try a wheel with illustrative inputs before launch.