Product Update: Withdrawal Queue

Product Update: Withdrawal Queue

May 7, 2025

At cSigma, we connect DeFi liquidity with institutional-grade private credit, offering 15–18% APR on stablecoins. We’re now introducing the Withdrawal Queue, a feature that ensures fair, transparent access to your funds during high-demand periods while you continue earning yields.

The Challenge

Private credit pools deploy capital to real-world businesses through short-term loans. While we maintain a 5% liquid reserve for each pool, certain withdrawal requests can sometimes exceed available liquidity, potentially causing users to wait until the next borrower payment.

The Solution: A FIFO Withdrawal Queue

Our new Withdrawal Queue uses a system that prioritizes users fairly:

How Withdrawals Work

Instant Withdrawal: If reserves are available, withdraw directly up to the reserve amount.

Queued Withdrawal: For amounts exceeding reserves:

  • Remainder enters the queue in a First-In-First-Out (FIFO) basis

  • Funds sitting in withdrawal queue continue earning 15–18% APR while waiting

  • Claim funds as they become available

How Funds Flow When Borrowers Repay

  1. Withdrawal Queue First: When borrowers make payments, funds go directly to fulfill pending withdrawals, rather than the general reserve

  2. Claim Your Funds: Once your queued amount is fulfilled, a “Claim” button appears for you to retrieve your funds

  3. Reserve Replenishment: Only after clearing all queued withdrawals do funds flow to the general pool reserve

Quick Example

Withdrawing $50,000 when reserves show $20,000:

  • $20,000 withdraws instantly

  • $30,000 enters queue as Position #1

  • When borrowers repay, your queue gets priority

  • “Claim” button appears as funds fulfill

  • Keep earning yields throughout

Key Benefits

✓ Priority System: Queued users get first access to incoming liquidity

✓ No Lost Yield: Earn 15–18% APR even while queued

✓ Full Transparency: Real-time queue status and claim notifications

✓ Fair Access: FIFO ensures everyone is treated equally

Start Earning with cSigma Edge

The Withdrawal Queue is now live on edge.csigma.finance.

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