Deposit Interval

When creating a VEO on Lucid, you will be asked for the deposit interval. The deposit interval sets the target cadence for purchases in a Lucid VEO market. Lucid expresses this value in hours.

It determines the maxPayout of the market. Minimum is 1 hour.

It is used to calculate max payout of market (maxPayout = length / depositInterval * capacity).

It plays three key roles:

1. Sets maxPayout – The contract sizes the maximum payout per purchase so that, if deposits arrive roughly once every Deposit Interval, the entire capacity will be sold by the market deadline.

2. Drives price-decay speed – Dutch-auction markets combine the Deposit Interval with the Target Interval Discount to decide how quickly the price drifts down when nobody buys. A shorter interval → faster decay; a longer one → slower decay.

3. Anchors other timing settings – Best practice is to make the vesting window at least 3–5 × the Deposit Interval. This prevents sudden price cliffs and keeps debt decay smooth between deposits.

How to choose a value

• Start with 1 hour – Works well for most markets and keeps on-chain gas costs reasonable.

• Increase when you expect infrequent, whale-sized buys or want a more gradual price slide.

• Decrease if you anticipate very active demand and prefer smaller bites per buyer.

• After changing the interval, revisit Capacity, Vesting, and Target Interval Discount so all timings remain consistent