Unstaking & Liquidity Buffer

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Operator & jurisdiction: BASIS is operated by BASIS DIGITAL INFRASTRUCTURE LTD, a Seychelles-incorporated entity (LEI: 254900IX2F2KCWNSSS64arrow-up-right).

Currency convention: Portfolio values may be displayed using USDT as an internal accounting unit for USD-equivalent reference. USDT is not a depositable or withdrawable asset on BASIS. Supported native assets are BTC, ETH, SOL, and PAXG.

If a yield product claims immediate liquidity under all conditions, the underlying unwind process should be examined carefully.

BASIS applies a controlled liquidity buffer and deterministic unstaking process to preserve execution precision, reduce market impact, and protect pool participants from disorderly exits.

1) How unstaking works on BASIS

When a user unstakes, the system processes the position according to pool rules:

  • Flexible pools may use a controlled liquidity window to complete orderly settlement

  • Fixed pools can only be unstaked after the lock-up period ends

  • Unstaking is processed on a full-position basis only

  • The entire staked position is auto-MAX at unstake

  • Upon completion, the claimable amount is auto-credited to the Staking Wallet as the corresponding stToken

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2) Why a liquidity buffer exists

If many users exit simultaneously, immediate forced unwinds can:

  • degrade execution quality

  • increase slippage and market impact

  • transfer losses to remaining participants

  • weaken pool stability during stressed conditions

A controlled liquidity buffer reduces these externalities by allowing the system to unwind positions in an ordered sequence under defined risk constraints.

3) How the system uses the liquidity window

During the unstaking process, BASIS may:

  • unwind strategy positions in a predefined order

  • consolidate balances into withdrawable native assets where applicable

  • apply state-machine risk controls during stressed conditions

  • complete settlement only after the unwind path satisfies internal execution and liquidity constraints

This framework supports deterministic execution and structural alpha capture while limiting disorderly market interaction.

4) What users should expect

  • Unstaking timing depends on pool mechanics and current market conditions

  • Flexible pool exits may require additional processing time during volatility or venue disruption

  • Fixed pool unstaking is available only after the lock-up period has ended

  • Rewards accumulate in real time as the same stToken in the Staking Wallet until unstake is completed

  • After unstake, the resulting stToken balance appears in the Staking Wallet and can then be swapped 1:1 into the same native asset

  • stBTC → BTC at 1:1

  • stETH → ETH at 1:1

  • stSOL → SOL at 1:1

  • stPAXG → PAXG at 1:1

5) Wallet flow after unstake

Wallet
Holds
Purpose

Funding Wallet

BTC, ETH, SOL, PAXG

Deposit and withdrawal of native assets

Staking Wallet

stBTC, stETH, stSOL, stPAXG

Staking balances and reward accrual

Typical flow:

  1. Unstake the full stToken position

  2. Receive the resulting amount in the Staking Wallet as stToken

  3. Swap the stToken 1:1 into the same native asset

  4. Move or withdraw the native asset from the Funding Wallet

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Next: read Position Unwinding Protocol for the step-by-step unwind logic.

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