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ConceptsWaterfalls & redemption

Waterfalls & redemption

Liquidation and the waterfall

An issuer can declare in advance how proceeds are paid out if the asset is wound down: a waterfall of up to 16 tiers, paid in order.

  • FIXED pays a fixed amount of a denom to one claimant.
  • PRO_RATA distributes to the holders of a kind (through Income), optionally up to a cap.

MsgRunWaterfall walks the tiers in order: each FIXED tier takes what it is still owed (or what is left), each PRO_RATA tier takes up to its cap, and the rest stays in the pool for the next deposit. The waterfall can be changed until liquidation starts, never after.

Redemption pools

Separately, an issuer can fund a redemption pool for a kind: a price per unit, a coin amount and a closing time. Until then, holders redeem units into the pool — the units are burned and the holder is paid. After closing, the issuer withdraws what is left.

Messages

MsgSetWaterfall, MsgLiquidate, MsgDepositProceeds, MsgRunWaterfall, MsgFundRedemption, MsgRedeemForPool, MsgWithdrawRedemption — Reference → Messages.

CLI

aevad tx waterfall set-waterfall <asset-id> fixed:<claimant>:300000000aeusd,pro_rata:0:aeusd --from issuer
aevad tx waterfall liquidate <asset-id> 72h --from issuer
aevad tx waterfall deposit-proceeds <asset-id> 1000000000aeusd --from payer
aevad tx waterfall run <asset-id> --from anyone
aevad tx waterfall fund-redemption <asset-id> 0 2 2000aeusd 2026-12-31T00:00:00Z --from issuer
aevad tx waterfall redeem-for-pool <asset-id> 0 aeusd 300 --from holder

On the explorer

/assets/<id> — the Liquidation & waterfall panel above the tabs: the status and exercise window, each tier with its entitlement and what it has been paid, the proceeds, and the redemption pools with price, funded and paid.

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IncomeSplits