Redeem at maturity

When your bond matures, its state card in the bond view shows the amount owed and a Redeem button, “Paid instantly from the Coffer contract.” Press it, sign, and the contract pays the full maturity value to your wallet.

Full value or nothing

While no default stands, redemption never pays a partial amount. The redeem call has exactly two outcomes. The contract holds enough and you are paid in full, or it does not and the same transaction declares the validator’s default instead of paying you less. You never trade your bond for a fraction of it by accident.

When the contract is short, the app shows it before you press anything. The card warns that the Coffer contract has only so much of the ETH owed, and the button becomes Declare Default, “Declaring the default freezes the validator’s access and accelerates every bond in this Coffer.” What follows is When a validator defaults.

The race near the boundary

Around the moment a bond matures, a redeem and a validator top up race each other, the mempool decides which lands first. If the top up lands first you are simply paid. If your transaction lands first while the balance is short, the default is declared even if the validator’s funds arrive one block later. A declared default stands until every bond is paid in full, so near the boundary the timing is real, for you and for the validator.