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⏳ Unilateral Exit

The Unilateral Exit (also called the Timelock Exit Path) is the final Taproot branch in every dVault. It guarantees that the vault owner can always recover their BTC, even if all DCN members or the Execution State Machine (ESM) become unavailable.

This path enforces sovereignty at the script level - not by protocol promises, but by Bitcoin’s native time-lock logic.

Example Unilateral Exit Hypothetical

  • Day 1 - Collateral is deposited and stablecoin is distributed
  • Day 300 - EVM / DCN goes offline
  • Day 365 + 7 - Borrower can unilaterally withdraw all collateral without paying back principal + interest

Why It Exists

All other dVault spend paths require multi party coordination:

If those external systems fail - DCN goes offline, oracle data stops updating, or the ESM halts - the user still needs a guaranteed way to recover funds.
That’s what this Taproot spend path enforces: after a fixed delay, the user can unilaterally spend the vault.

Script Logic

The unilateral exit leaf commits a simple, auditable Bitcoin script using OP_CHECKLOCKTIMEVERIFY (CLTV):

# Timelock Exit Path
# Spendable by user only after predefined timelock expiry
AND(
    OP_CHECKLOCKTIMEVERIFY,
    OP_DROP,
    OP_CHECKSIG(user_exit_key)
)