Deposit Accounting

An epoch records new deposits and the distribution claims they fund. Its seal snapshots amounts and oracle prices; settlement moves the deposits into their configured accounts.

Additive capitalization

For a deposit asset i, let a_i and s_i be the existing reserve and effective scale. New deposits supply amount da_i and oracle-derived effective scale ds_i.

a'_i = a_i + da_i
s'_i = s_i + ds_i

The new deposit’s price and value come from the oracle. The oracle supplies the valuation used for capitalization. The resulting ratio s'_i / a'_i can differ from both the opening pool price and the deposit oracle price.

Seal and re-seal

Sealing closes new deposits and snapshots the values for settlement. Before settlement, an authorized re-seal can replace an unsuitable snapshot. It replaces the epoch’s sealed values with the newly computed snapshot.

Settlement must occur in a later block. Large phases can process assets in chunks. Read epoch flags and progress to determine settlement status.

Scale representation

The pool scale accumulator maps ledger base scales to effective scales. New oracle-valued effective scale is converted into base scale before the ledger update. Double-entry accounting preserves the scale totals.

Coefficients are derived from the resulting reserve, scale, and elasticity. Their values follow from the updated state.

Claims and proceeds

Deposit receipts identify epoch claims. Settled claims and permitted refunds consume the applicable receipts. A pool-capitalizing deposit phase directs proceeds to reserves; a token sale directs proceeds to Treasury according to its configuration.

See Deposit Phases for the wallet workflow.