> For the complete documentation index, see [llms.txt](https://midas-docs.gitbook.io/midas-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://midas-docs.gitbook.io/midas-docs/how-does-it-work/issuance-and-redemption.md).

# Issuance & Redemption

Issuance and redemption mechanisms of Midas' issued tokens.

### Issuance & redemption

The midas.app website default mode is instant issuance and redemption as outlined in [#instant-issuance-via-crypto](#instant-issuance-via-crypto "mention"). If the instant redemption is unavailable, the website reverts to [#standard-mode](#standard-mode "mention"). Investors are informed of the mode that will be used before transferring their tokens to the Midas smart contract. 

### Redemption capacity 

For redemptions the default mode is [#instant-redemption-via-crypto](#instant-redemption-via-crypto "mention").

The instant redemption capacity is not available for 100% of collateral assets at all times. During certain market environments the redemption mode switches to the [#standard-mode](#standard-mode "mention"), which processes redemption via a queue between 1-7 business days. 

Investors can view the redemption mode and the correspondng pending transactions queue by connecting to [www.midas.app](http://www.midas.app). The available instant redemption capacity can be viewed on the specific product page.

## Issuance & Redemption features in detail

{% tabs %}
{% tab title="Instant" %}

## Instant Issuance via crypto

1. The investor connects their wallet. 
2. Midas reviews[#eligbility](#eligbility "mention") and [Verifications and Screenings](/midas-docs/resources/access-midas-tokens/verifications-and-screenings.md).
3. If necessary, the investor switches their wallet to the Ethereum or Base network.
4. The investor selects the cryptocurrency they wish to use to acquire the mToken.
5. The investor enters the desired amount.
6. The investor reviews and accepts the terms and conditions.
7. The investor approves the Midas smart contract to spend their tokens (requires on-chain transaction confirmation).
8. The investor invests their tokens and receives mTBILL in return (requires on-chain transaction confirmation).

### Instant Redemption via crypto

* The redemption process closely mirrors the issuance process, essentially functioning as its reverse.
  {% endtab %}

{% tab title="Standard" %}

## Standard Mode

When using the standard mode, investors follow a two-step process: first submitting an issuance or redemption request, then having that request processed. They can track the status of their request through the "pending" tab on the product page (e.g. [www.midas.app/mtbill](http://www.midas.app/mtbill)). Once the request is processed, Midas will transfer tokens directly to the investor’s wallet, typically within two business days.

### Step 1: Request Transaction <a href="#step-1-request-transaction" id="step-1-request-transaction"></a>

This process mirrors the [#instant-issuance-via-crypto](#instant-issuance-via-crypto "mention"), with the key difference that tokens are not received immediately.

Once the request transaction is confirmed on-chain, the investor will be prompted to check the request status in the "pending" tab, where they can view the expected timeline for receiving their tokens.

### Step 2: Receive Tokens <a href="#step-2-receive-tokens" id="step-2-receive-tokens"></a>

Midas will acknowledge the request and process it as quickly as possible, typically within two business days. The tokens are airdropped directly to the investor's wallet, using the same wallet that was used to request the issuance or redemption.

For issuance, the investor is only exposed to mTBILL price volatility once the tokens are delivered to their wallet, at the end of Step 2.

For redemption, the investor continues to benefit from potential price movements until the redemption request is processed.
{% endtab %}

{% tab title="Standard (via fiat) " %}

## Standard issuances and redemptions via FIAT

For investors preferring to use fiat, they must contact [**team@midas.app**](mailto:team@midas.app) to initiate the process.
{% endtab %}
{% endtabs %}

### Redemption Amount

The Redemption Amount is calculated on the basis of a hypothetical best-efforts liquidation of assets reflecting the Underlying and a share thereof corresponding to the number of Tokens redeemed by the Tokenholder versus the total number of Tokens issued.&#x20;

Tokenholder fees are subtracted from the redemption amount. Midas provides an approximated redemption price on [www.midas.app](http://www.midas.app) and via public blockchain oracles.

### Eligbility

Investors must meet the eligibility criteria applicable to the issuance or redemption method they choose. Please view the eligibility criteria under [Eligibility](/midas-docs/resources/access-midas-tokens/eligibility.md).&#x20;