# Buffer Pool Mechanism

<figure><img src="/files/k65OlwKFzUYs5U6zwaAG" alt=""><figcaption></figcaption></figure>

How Splashing Staking manages SEI deposits and withdrawals:

* **Deposit Flow**: When a user sends SEI, the protocol’s dynamic distributor automatically allocates part of the funds to the buffer pool (for instant liquidity) and the rest to native staking (to earn rewards).
* **Instant Unstake**: Users can request instant withdrawals from the buffer. The fee for instant unstaking is calculated based on the current buffer liquidity tier:
* **Lower buffer liquidity = higher fee**
* **Higher buffer liquidity = lower fee**

This tiered fee structure incentivizes users to keep the buffer well-funded.

**Key Point:**

The instant unstake fee is dynamic and depends on the buffer’s current liquidity tier. The less liquidity in the buffer, the higher the fee—encouraging users to maintain a healthy buffer for everyone’s benefit.![](/files/qdWfxxdOMAvJuCtyZLeF)


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