# How Rebalancing Works

As you use Neox, you may occasionally see deposits or withdrawals temporarily unavailable. This guide explains how the system operates so you understand what to expect and can use the platform smoothly.

### How Neox Rebalancing Works

Neox uses an automated rebalancing system to optimise yield and manage risk across supported protocols and chains. This process runs on a fixed schedule and is a normal part of how the platform operates.

#### Hourly Rebalancing Cycle

Neox rebalances **once per hour**. During each rebalancing cycle, the system evaluates current yield conditions, liquidity depth, and risk parameters, then reallocates capital where necessary to maintain optimal performance.

To ensure accuracy and safety during this process, **new deposits are temporarily paused** while rebalancing is underway.

This pause typically lasts **15 to 30 minutes**.

#### Why Deposits Are Temporarily Paused

Deposits are paused during rebalancing to ensure that:

* All capital is allocated using the most up-to-date data
* Funds are not partially deployed mid-cycle
* Yield and risk calculations remain consistent for all users

This is a routine operational safeguard, not an error or outage.

#### What Happens If You Deposit Between Cycles

If you make a deposit shortly after a rebalancing cycle has completed, your funds will be queued and deployed during the **next scheduled rebalance**.

For example:

* A deposit made at 9:11am will be allocated during the 10:00am rebalance
* If rebalancing begins at 10:00am, deposits will be paused until the process completes

This ensures your funds are deployed correctly and fairly alongside other users.

To avoid any interruption, we recommend making deposits during the second half of each hour, for example between 10:30–11:00, 15:30–16:00, or 20:30–21:00.

#### Key Things to Know

* Rebalancing is automatic and runs hourly
* Temporary deposit pauses are expected and normal
* Funds are never lost during rebalancing
* Withdrawals are not affected unless you try to withdraw straight after depositing
* This process improves long-term yield and risk management

#### Why This Matters

By batching deposits and reallocations into scheduled rebalancing windows, Neox can:

* Reduce unnecessary transaction costs
* Improve execution efficiency
* Maintain consistent risk controls
* Deliver more predictable yield outcomes

This design prioritises correctness and safety over instant execution.


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