Yala Redemption Plan: Process, Timeline & What To Expect
Today, we are releasing the full Yala Redemption Plan as promised, including the process, timeline, and how all affected users can participate.
Over the past weeks, we have communicated openly with the community regarding liquidity constraints and our commitment to a structured, transparent resolution. Today, we are releasing the full Yala Redemption Plan as promised, including the process, timeline, and how all affected users can participate.
This plan is designed to ensure fairness, clarity and predictable liquidity distribution for all YU participants (including Euler Yala Frontier Vault users), while allowing Yala to continue operating and building through this transition period.
The Redemption: How It Works
At the core of the redemption system is a YU–USDC Redemption Pool, which allows users to deposit eligible assets and withdraw USDC on a 1:1 basis, subject to the monthly available redemption capacity.
Assets Eligible for Redemption
Users may redeem the following deposited assets at a 1:1 rate into USDC (this rate does not include any interest-related amounts):
1. Euler Yala Frontier USDC Vault Token
https://etherscan.io/token/0x481D4909D7ca2eb27c4975f08dCE07DBeF0d3Fa7
2. YU (Ethereum Mainnet)
https://etherscan.io/token/0xE868084cf08F3c3db11f4B73a95473762d9463f7
YU tokens on all other chains (Base, Solana etc.) must be bridged back to Ethereum mainnet before they can be redeemed. The buyback/redemption can only be executed in USDC.
Redemption Schedule
From December 15, 2025, at 12:00 PM UTC, the YU–USDC redemption pool will be open for deposits.
Deposit here: https://app.yala.org/redeem
Starting in January 2026, between the 15th and 25th of each month, new USDC capacity will enter the pool. You can decide to claim your USDC the same month or withdraw later in one transaction.
The monthly USDC allocation will be distributed proportionally based on:
- Total YU or vault tokens deposited
- Monthly USDC capacity added to the pool
By December 31, 2026, Yala will complete all YU-USDC redemptions based on the final outcomes of the judicial processes or updated debt assessment following the September 14 incident.
Should any changes arise from these legal proceedings or revised assessments, the team will update the community promptly.
Redemption Guide

The redemption process is simple: deposit your assets, track your claimable USDC in real time, and withdraw whenever you choose. Here’s how it works step-by-step:
Step 1: Deposit
Select the token you want to deposit. If this is your first time, you’ll need to authorize the contract in your wallet.
Deposit YU or Euler USDC Vault Tokens into the Redemption Pool.
Step 2: View Claimable Amount
After depositing, wait for the USDC to be credited. Once the USDC is credited, your redeemable shares will be calculated proportionally, and your token will be bought back.
When new monthly liquidity enters the pool, the interface automatically updates to show your Claimable USDC, calculated based on:
- Available USDC in the pool
- Proportional allocation for the month
- The amount of YU or Vault Tokens you deposited
You can view your balance on the page. Your balance may change each time USDC is credited.
Step 3: Claim/Withdraw USDC
Users may claim or withdraw USDC at any time.
There are no lock-ups and no restrictions on when users can claim.
Please note, users may deposit or withdraw YU and USDC deposit tokens at any time, and may claim USDC at any time.
You can view the Your Deposited YU Balance, Your Euler Vault Token Balance, and Your Claimable USDC directly on the claim page.
Final Words
To the entire Yala community: Thank you. Your patience, feedback, and support over recent weeks have been invaluable. We understand the frustration and uncertainty this period has caused, and we remain committed to transparency, user protection and long-term responsibility.
Yala continues building. We are moving forward with a new AI-agent roadmap and will share ongoing updates with the community.
If you have questions or need support, please reach out through our official channels:
Thank you again for standing with us.
The Yala Team