How Fuel Earn works

Position lifecycle

1. Open: deposit approved collateral priced at the lower of the live O2 bid and its on-chain rolling TWAP, then choose a 6, 9, or 12-month term.
2. Receive: the Vault mints one native Fuel position NFT to your wallet.
3. Hold or transfer: the NFT holder owns the collateral claim and fixed USDC return rights.
4. Trade: escrow the NFT at a fixed ETH or USDC ask, or fill a general USDC buy order when the bond satisfies its optional eligibility filters.
5. Exit: claim principal plus USDC at maturity, or begin a 14-day early-unbonding period and forfeit the return.

Fixed opening economics

The Vault records the collateral, opening price, term, maturity, and promised USDC when the transaction confirms. Transfers and market sales do not reset or modify these terms.

opening value = collateral raw × min(live O2 bid, rolling TWAP) e6 ÷ 1e9
fixed return = opening value × 10% × term ÷ 365 days

Authority

Wallet-signed transactions change protocol state. The Vault reads its price from the shared on-chain simplified TWAP oracle. Fuel Earn's Cloudflare Workers provide indexing/read APIs but cannot open, transfer, list, buy, unbond, or claim a position for a user. Oracle updates are permissionless and independently operated.

Important limitations

• The market is fixed-price with expiring asks and general escrowed USDC buy orders; auctions and fractional position-NFT sales are not implemented.
• Rewards unlock only at maturity; there are no partial reward claims.
• User principal remains protected on-chain; only penalties or surplus can be deployed.
• New positions require enough on-chain USDC to cover their promised return.
• Test assets are valueless and testnet-only.