OLP Updates: A More Seamless Vault Experience for Liquidity Providers
From now on, providing liquidity to Ostium should feel as immediate as trading on it: deposit when you want, request a withdrawal whenever your strategy changes, and let the protocol handle the rest.
Today we are rolling out the most significant overhaul to the OLP vault since launch, marking the first step a once‑cumbersome withdrawal workflow into a fully delegated, one‑click experience. The update touches every layer of the vault stack, from the UI you see in the app to the smart contract plumbing.
Streamlined, Delegated Withdrawals
Under the hood, withdrawal logic has been rebuilt around delegation to support:
1. Auto-Withdrawals (No Manual Claiming): Requested withdrawals can now be automatically deposited back to users’ wallets without the need to return to the UI to claim. This update eliminates the issue of expired withdrawals and repetitive/fragmented UX—the biggest source of user frustration—with automatic processing. The contract can, with your prior approval, push the funds straight back to your wallet at the end of the required cooldown period/epoch. Nothing expires, nothing sits idle, and there is no longer a second transaction to sign. If you prefer the legacy flow you can always opt out.
2. No More Waiting to Request Withdrawals: Ostium now accepts withdrawal requests at any block, regardless of where you are in the epoch. In the original design, you could only request a withdrawal in the first 48H of an epoch. Under the new system, if you request a withdrawal outside the first 48H of the epoch, your request is queued and executed automatically as soon as the next window opens (<24H). This eliminates the need to set reminders to come back and click a button during a narrow time window, while preserving the epoch‑based liquidity schedule that protects LPs from adverse selection.
This update is live on staging and in final testing stages before being pushed to production next week (June 10th) on Ostium.
Existing OLP withdrawal requests remain under the legacy system. All new requests filed automatically inherit the delegated flow by default (with the ability to opt out for those who prefer to return to the interface to claim).
NotiFi Integration
Because automation is only useful if you know it happened, we are integrating NotiFi for push alerts. LPs can subscribe to unlock events and completed withdrawals through email, SMS, or mobile push, so a finished request never goes unnoticed. The notifications are triggered directly by contract events, removing any reliance on centralized cron jobs.
This update is currently in the works in collaboration with the NotiFi team and will be live in the second half of June.
Subscribe to Ostium Labs
Receive the latest updates directly to your inbox
Your subscription could not be saved. Please try again.
Your subscription has been successful.
UI Upgrades
An updated and improved UI is now visible on the vault page. Based on user feedback, we’ve added:
- OLP price performance on an interactive chart, covering 30D, 60D, and 90D time windows
- Epoch number, deposit, and withdrawal timing information
- Streamlined withdrawal withdrawal module, with the option to opt in to auto-withdrawals
Upgrading the Liquidity Model
While the vault UX is getting simpler, the liquidity model beneath it is about to get smarter. We are building out a dynamic hedging engine that disaggregates the vault’s two mandates, settling trades and warehousing long/short imbalance, allowing external market makers to shoulder directional risk while OLP capital stays delta‑neutral. Early back‑tests suggest we can recycle each dollar of liquidity three to six times without materially increasing VaR, opening the door for deeper markets and higher LP yields (NFA!). A detailed walkthrough of the mechanism will follow later this week.
TL;DR
From now on, providing liquidity to Ostium should feel as immediate as trading on it: deposit when you want, request a withdrawal whenever your strategy changes, and let the protocol handle the rest.
