Maturity & Redemption

Before the maturity timestamp the issuer must deposit the full principal and interest into the Funding Vault. When the scheduled moment arrives the Keeper Bot calls a settle instruction. The Binding Machine Program verifies that the repayment is complete and updates the state to Matured, opening redemption for investors. Holders burn their LTT and withdraw the corresponding USDC from the Funding Vault. The program tracks each burn until no LTT remain and every investor has been paid.

After all tokens are redeemed the program releases the collateral from the Collateral Vault to the issuer. This final transfer confirms that every obligation is met: investors hold USDC equal to principal plus interest and the issuer regains the collateral. If the issuer fails to fund the vault by the deadline the Keeper Bot triggers Defaulted instead.