💸Deposits & Withdrawals

Detailed guide for depositing and withdrawing funds to / from Paradex

Overview

Paradex has a two step deposit / withdrawal process which entails:

1. Transferring funds from your Ethereum wallet to / from the Paradex bridge contract (requires L1 blockchain signature).

2. Transferring funds from the Paradex bridge contract to / from Paradex (requires L2 blockchain signature).

Note: Paradex will launch 1-step deposits and withdrawals to streamline the process in the next few weeks. Users will be able to seamlessly transfer funds from L1 to Paradex without needing the additional step of transferring between the Paradex bridge contract and Paradex. Stay tuned for updates across our social channels (Twitter, Discord, Telegram).

Deposits

Step 1: Initiate a Deposit to the Paradex Bridge

1. Navigate to the “Portfolio” tab in the webapp and connect your wallet (Metabase or other supported wallet)

2. Click the “Deposit” button and enter the amount of funds you wish to transfer to Paradex.

Note: This action will require 1-2 L1 signatures. If this is your first deposit to Paradex you will need to ERC-20 token transfers and set a spending cap for USDC to the Paradex bridge. If you already have an allowed spending limit set for this token, you can skip this step.

3. Confirm the transaction in MetaMask to send USDC to the Paradex bridge contract by selecting “Initiate Deposit to Bridge”.

Step 2: Transfer Funds from the Paradex Bridge to Paradex

4. Wait for L1 Confirmation:

   • Wait for the L1 deposit transaction to be confirmed on the Ethereum blockchain. This may take a few minutes depending on network conditions.

   • Once confirmed, the deposit status will update to “Available - L2” in the “Deposit / Withdraw” table.

5. Transfer to Paradex:

   • Click the “Deposit to Paraclear” button in the “Actions” section to complete the transfer of your funds from the bridge to Paradex.

6. Start Trading!

Withdrawals

Step 1: Initiate a Withdrawal to the Paradex Bridge

1. Navigate to the “Portfolio” tab in the webapp and connect your wallet (Metamask or other supported wallet)

2. Click the “Withdraw” button and enter the amount of funds you wish to transfer from Paradex.

3. Click “Initiate Withdrawal to Bridge”.

Step 2: Transfer Funds from the Paradex Bridge to Wallet

4. Wait for L1 Confirmation:

   • Wait for the L1 withdrawal transaction to be confirmed on the Ethereum blockchain. Once confirmed, the deposit status will update to “Available - L1” in the “Deposit / Withdrawals” table.

Note: “Pending - L2'' status can take 2-7 hours to update.

Withdrawing funds requires all preceding actions from all accounts (including risk checks) be validated on Ethereum (L1). Your Paradex (L2) withdrawal transaction will be batched along with other Paradex (L2) transactions (trades, deposits, withdrawals, etc) and sent to the Starknet Prover to generate a Proof guaranteeing the calculations. Batching and proving can take several hours depending on the volume of trades / transactions processed by Paradex (L2) and generating a Starknet proof takes around 2 hours. Once the proof is generated it is sent to the Starknet (L1) verifier contract which will confirm its validity and then unlock funds for withdrawal.

5. Transfer to Wallet:

   • Click the “Withdraw to Wallet” button in the “Actions” section to complete the transfer of your funds from the bridge to your wallet. This may take a few minutes depending on Ethereum network conditions.

6. Withdrawal complete!