Early Termination
You can always exit — the penalty exists so that exiting early does not come free at other holders' expense.
How it works
A vault can be terminated before its target is reached. It costs a penalty that eases with progress — 30% of the position at entry, easing to 5% at target, taken in the vault's own asset — plus a flat 20% fee on any gain, measured at the live price.
- Request the exit. Your progress is recorded.
- After a short wait, confirm the termination. The penalty uses the lower of your progress at request and at confirmation, so a favourable tick cannot be timed.
- The penalty and fee are taken in the vault's own asset, and the vault's MV-Shares and position token burn. Dividends already accrued stay claimable.
- The remaining balance returns to your wallet.
What the penalty funds
The penalty and fee stay in the engine as the protocol's take until they are sold for USDC and sent to the fee router. There they split exactly like a seal fee: MV-Share dividends, the referral pool, and the burn, staker and treasury lanes.
The position penalty applies whether or not the vault is in profit. Waiting costs time, the asset can keep falling, and an open vault's shares receive USDC only if other vaults seal. Selling the position on the market is the other way out.