# Distribution Mechanics

Liquidity mining rewards are calculated and distributed hourly among all vault depositors, proportional to their deposit size that has remained within the vault for the entirety of the hour. If you deposit funds during an hour, your rewards will begin accruing only from the following hour onward. Likewise, if you withdraw your funds during an hour, you will not be eligible to receive rewards for that specific hour.

#### Lockups

* **No Lockups For Principal**: Participants are free to withdraw their capital at any time.
* **Rewards Lockup**: Liquidity mining rewards are subject to a **6-month lockup period** after which they can be claimed to prevent immediate selling pressure.

These rewards are provided in addition to the baseline yield from the underlying basis trading strategy.
