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FAQs: New Netted Withdrawals

  • Updated

  1. What is a netted withdrawal?

    1. This is a new withdrawal configuration that allows Platforms to generate withdrawals where the network fee is 1) locked in for a set period of time, 2) network fee is quoted in the same asset that is being withdrawn, 3) and the network fee is deducted from the total amount of the withdrawal. For example if the user requests to withdraw 100 USDC.SOL and the locked network fee is 0.0025 USDC.SOL. The netted withdrawal amount is going to be 99.9975, which is the amount that will actually move on-chain to the provided destination address.  

  2. Can Platforms use multiple withdrawal fee-payor models?

    1. No, Platforms can only enable one network-fee payor model at a time. 

  3. What endpoints should Platforms use to create withdrawals if they are configured for netted withdrawals?

    1. Platforms should only use the two following endpoints to create withdrawals, these collectively make the netted network fee withdrawal:

      1. GET /withdrawals/locked_network_fee

      2. POST /withdrawals/execute

    2. Platforms should not use the existing POST /withdrawals/requests endpoint.

  4. What is the underlying asset for the locked network fee?

    1. The locked network fee is quoted as the asset that is requesting to be withdrawn. Example, if the user requests to withdraw 10 COMP.ETH - the network fee is quoted in COMP.ETH. 

  5. How will the network fee show on the Participant’s account ledger?

    1. Network fees will be debited using a “network_fee_transfer” movement type.

  6. When withdrawals are processed on-chain aren’t network fees charged in the native asset of the chain, who is covering that if you are collecting the asset of a non-native asset of the chain?

    1. Zero Hash collects quoted network fee as the requested withdrawal asset and then Zero Hash covers the on-chain withdrawal. 

  7. How does the “max_amount” flag work?

    1. This field accepts either “true” or “false”, and is an optional field. The Platform only needs to provide this field when the value is set to “true”. When provided as “true”, Zero Hash will calculate the total amount available in the Participant’s account and will use that as the withdrawal amount. This will drain the Participant’s account.