> ## Documentation Index
> Fetch the complete documentation index at: https://docs.signalite.ai/llms.txt
> Use this file to discover all available pages before exploring further.

# Flow of Funds

> Visual maps for deposits, batching, instant redeems, queued redeems, and claim settlement.

Signalite has four money flows that partner apps must understand. The important distinction is that the user-facing vault flow is on HyperEVM, while yield generation depends on keeper-mediated strategy operations.

<Warning>
  Partner apps should never ask users to send assets directly to a strategy address. User deposits and claims go through the sHLP vault flow.
</Warning>

## Deposit and batching

```mermaid theme={null}
flowchart LR
  User[User wallet] -->|USDC deposit| Vault[sHLP vault]
  Vault -->|mints shares| User
  Vault -->|batched USDC| Strategy[Strategy keeper contract]
  Strategy -->|bridge / route| CoreSpot[Core spot balance]
  CoreSpot -->|allocate| HLP[HLP vault exposure]
  HLP -->|yield changes NAV| Nav[NAV source]
  Nav -->|reports total assets| Vault
```

## What changes after each step

| Step               | Asset movement                       | User-facing state                          | API source                           |
| ------------------ | ------------------------------------ | ------------------------------------------ | ------------------------------------ |
| User deposits      | USDC moves from user to vault        | User receives sHLP                         | `POST /api/v1/actions/deposit/quote` |
| Vault buffers      | USDC remains in vault until batching | Share price should include buffered USDC   | `GET /api/v1/vault`                  |
| Keeper batches     | Vault USDC moves to strategy path    | Product remains liquid through sHLP        | `GET /api/v1/health`                 |
| Strategy allocates | Funds become HLP exposure            | NAV reflects backing through proof buckets | `GET /api/v1/vault`                  |

## Instant redeem

Instant redeem uses the vault's free USDC buffer. It does not require an HLP unwind.

```mermaid theme={null}
flowchart LR
  User[User wallet] -->|redeem sHLP| Vault[sHLP vault]
  Vault -->|burns shares| Burn[Share accounting]
  Vault -->|USDC from buffer| User
```

Use this path when the requested exit fits the buffer and the user does not need a min-assets-out floor.

## Queued redeem

Queued redeem is used when the exit is larger than the instant buffer or when the user wants a min-assets-out floor.

```mermaid theme={null}
flowchart LR
  User[User wallet] -->|requestRedeem| Vault[sHLP vault]
  Vault -->|escrows shares| Request[Pending redeem request]
  Request -->|keeper unwinds when available| HLP[HLP exposure]
  HLP -->|USDC returns through strategy path| Vault
  Vault -->|marks request claimable| Claimable[Claimable redeem]
  User -->|claimRedeem| Claimable
  Claimable -->|USDC on HyperEVM| User
```

## Cancel path

```mermaid theme={null}
flowchart LR
  User[User wallet] -->|requestRedeem| Pending[Pending redeem]
  Pending -->|cancelRedeem while pending| User
  User -->|shares unlocked| Wallet[sHLP back in wallet]
```

## Receive-network path

The vault claim settles USDC on HyperEVM. Other receive networks are a second bridge step.

```mermaid theme={null}
flowchart LR
  Claim[Claim USDC on HyperEVM] --> HyperEVM[User HyperEVM USDC]
  HyperEVM -->|optional bridge| Base[Base]
  HyperEVM -->|optional bridge| Arbitrum[Arbitrum]
  HyperEVM -->|optional bridge| Ethereum[Ethereum]
```

## Partner implementation rule

Use the API to determine which flow applies:

| User wants                   | Preferred flow                                           |
| ---------------------------- | -------------------------------------------------------- |
| Deposit USDC                 | Deposit quote, approval requirement, deposit transaction |
| Exit within available buffer | Instant redeem quote                                     |
| Exit above buffer            | Queued redeem quote                                      |
| Pending request              | Show cancel if cancelable                                |
| Claimable request            | Show claim as primary action                             |
| USDC on another chain        | Claim first, then bridge                                 |