Documentation Index
Fetch the complete documentation index at: https://usefleetsgmailcom.mintlify.app/llms.txt
Use this file to discover all available pages before exploring further.
Two Ways to Exit
FYC and FFC holders can exit their positions in two ways:
| Scheduled Redemption | Accelerated Redemption |
|---|
| Fee | None | Dynamic fee (see below) |
| Wait time — FYC | 30-day queue | Immediate |
| Wait time — FFC | 90-day queue | Immediate |
| Price used | Conservative price at settlement | Conservative price at request |
| Queue order | First-come, first-served by timestamp | Instant — subject to liquidity |
Scheduled Redemption (No Fee)
Scheduled redemption joins a time-ordered queue. Requests are processed first-come, first-served as liquidity becomes available from the Liquidity Reserve.
- FYC holders wait up to 30 days
- FFC holders wait up to 90 days
During the wait, your tokens continue to accrete yield normally — you lose nothing by queuing rather than accelerating.
Redemption is settled at the conservative price on the day the queue processes your request. The conservative price reflects only confirmed, collected income.
Accelerated Redemption (Dynamic Fee)
Accelerated redemption is immediate. You receive USDC at the current conservative price minus a small fee. The fee is dynamic — it depends on how large your redemption is relative to the tranche’s Effective Liquidity Base (ELB).
Effective Liquidity Base
The Effective Liquidity Base (ELB) is the total liquid capital available to process redemptions without recalling active loans.
In practice, ELB represents all capital currently available in the pool. This includes the liquidity reserve and any undeployed capital that has not been allocated to active loans.
Total ELB = Liquidity Reserve + Undeployed Capital
FYC ELB = Total ELB × (FYC NAV / Pool NAV)
FFC ELB = Total ELB × (FFC NAV / Pool NAV)
- Higher undeployed capital → higher ELB → lower redemption pressure
- Higher loan deployment → lower ELB → tighter liquidity conditions
Accelerated redemption fees are based on how much liquidity a redemption consumes relative to the tranche’s share of the Effective Liquidity Base (ELB).
FYC Fee Rate = 0.10% + (Redemption Amount / FYC ELB) × 0.40%
Min: 0.10% Max: 0.50%
FFC Fee Rate = 0.50% + (Redemption Amount / FFC ELB) × 0.50%
Min: 0.50% Max: 1.00%
Examples
FYC redemption — 75% deployment
| Parameter | Value |
|---|
| Total ELB | $200,000 |
| FYC Share | 80% |
| FYC ELB | $160,000 |
| Redemption Amount | $30,000 |
| Fee Rate | 0.10% + (18.75% × 0.40%) = 0.175% |
| Fee Paid | $52.50 |
FYC redemption — 0% deployment (no active loans)
| Parameter | Value |
|---|
| Total ELB | $800,000 |
| FYC Share | 80% |
| FYC ELB | $640,000 |
| Redemption Amount | $30,000 |
| Fee Rate | 0.10% + (4.69% × 0.40%) = 0.119% |
| Fee Paid | $35.70 |
Redemptions and the Liquidity Floor
Redemptions are always processed regardless of whether the Liquidity Reserve is above or below the 20% floor. However, if the floor is below 20%, the protocol cannot originate new loans until it has been restored above that threshold.
FFC Special Rule: Coverage Constraint
FFC redemptions — both scheduled and accelerated — are subject to an additional check. After the redemption, the FFC coverage ratio must still satisfy:
φ = V_FFC / Active Loans ≥ 0.80
