# Emergency Unlock

## **Emergency Unlock for veCVE**

For users who have locked their CVE tokens as veCVE, they have access to the **Emergency Unlock** function. This function is available for users who need immediate access to their liquidity before the lock matures. The Emergency Unlock provides a way to unlock veCVE early, subject to a penalty that redistributes forfeited tokens to the DAO treasury.

### **How Emergency Unlock Works**

When a user opts to unlock veCVE early, they incur a penalty on the underlying CVE amount (currently 80%), that gradually decreases as the lock nears maturity.&#x20;

**Examples**:

* If a user locks 1,000 CVE for veCVE and chooses to use the Emergency Unlock immediately, they would receive 200 CVE back while the remaining 800 CVE (80%) is redirected to the DAO treasury as the penalty.
* As the lock duration progresses, the penalty decreases, reaching zero once the full 12-month lock period has completed.

### **Penalty Scaling**

* **Starting Penalty**: The initial penalty rate is configured by the Curvance DAO (currently 80%).
* **Linear Reduction**: The penalty rate decreases linearly as the lock approaches its 12-month term, incentivizing users to hold the lock as intended.

The Emergency Unlock function allows users flexibility while ensuring that early exits contribute to the DAO’s sustainability by replenishing the treasury. This design maintains protocol stability and aligns user incentives with long-term engagement, balancing flexibility with a commitment to the platform’s growth.


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