> For the complete documentation index, see [llms.txt](https://docs.flash.trade/flash-trade/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.flash.trade/flash-trade/flash-trade-protocol/build-on-flash/flash-trade-v2/concepts/funds-lifecycle.md).

# Funds lifecycle

Collateral flows through four stages:

```
deposit  →  delegate  →  trade  →  withdraw
```

```
init-deposit-ledger   ─┐
init-basket           ─┼─ one-time setup
deposit               ─┘   (bundles any missing setup + funds the ledger)
delegate-basket       ─── enable trading
   │
   ▼
trade (fast, gasless)
   │
   ▼
withdraw              ─── pull funds back out
```

## Deposit

The one-shot [`deposit`](/flash-trade/flash-trade-protocol/build-on-flash/flash-trade-v2/reference/account-and-funds.md#deposit) endpoint funds the deposit ledger and conditionally bundles whatever setup is missing (basket, deposit ledger, delegation, trade vault). Prefer it for onboarding. Use [`deposit-direct`](/flash-trade/flash-trade-protocol/build-on-flash/flash-trade-v2/reference/account-and-funds.md#deposit-direct) if you'd rather run each setup step yourself.

**Deposit ledger** — a per-owner PDA that tracks the balances available as collateral. Deposits credit it; opening positions and adding collateral draw it down.

**Trade vault** — a per-mint token account that deposits land in and withdrawals are paid from.

## Delegate

[`delegate-basket`](/flash-trade/flash-trade-protocol/build-on-flash/flash-trade-v2/reference/account-and-funds.md#delegate-basket) is a one-time step that enables trading on your basket. A trade submitted before the basket is delegated is rejected.

## Withdraw

The single-call [`withdraw`](/flash-trade/flash-trade-protocol/build-on-flash/flash-trade-v2/reference/account-and-funds.md#withdraw) endpoint builds one transaction that locks the amount and releases the funds. Two things to know:

1. **Fee payer ≠ owner.** The client supplies its own fee payer (which must differ from `owner`) and co-signs the transaction with both keys.
2. **It's asynchronous.** Funds release after the transaction lands; poll the returned escrow `receipt` until it closes.

Two response flags drive the flow:

* `custodySettlementRequired: true` → the trade vault can't cover the amount yet. Call [`custody-settlement`](/flash-trade/flash-trade-protocol/build-on-flash/flash-trade-v2/reference/account-and-funds.md#custody-settlement) first, then retry `withdraw`.
* `isNativeSol: true` → the released funds arrive as WSOL; unwrap the WSOL account back to native SOL.

If a withdrawal doesn't finalize on its own, [`withdrawal-settle`](/flash-trade/flash-trade-protocol/build-on-flash/flash-trade-v2/reference/account-and-funds.md#withdrawal-settle) resumes it.

Step-by-step: [Withdraw funds](/flash-trade/flash-trade-protocol/build-on-flash/flash-trade-v2/guides/withdraw-funds.md).


---

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