# Plane-Level Failure Handling

Each external execution environment exhibits distinct failure characteristics and recovery behavior. The protocol isolates these environments to ensure that localized faults cannot compromise solvency or accounting correctness.

#### Canonical Settlement Layer (zkSync) Degradation

While uncommon due to zkSync’s validity-proof security model, degradation at the canonical settlement layer may result in:

* Temporary suspension of new capital allocation and routing.
* Continued operation of external strategies without new capital movement.
* NAV computation based solely on the most recently validated external state.
* Temporary pausing of deposits and withdrawals as a safety precaution.

Normal operation resumes once settlement guarantees are restored.

#### External Execution Environment Degradation

If an external execution environment experiences stalling, misreporting, or availability issues:

* All strategies operating within the affected environment are paused.
* Reported valuations from the affected environment are excluded from NAV computation.
* Withdrawals are serviced only from available liquidity in healthy environments.
* Upon recovery, state reconciliation and revalidation are performed prior to reintegration.

#### Low-Latency Execution Environment Degradation

If a latency-sensitive execution environment experiences performance instability or stale state propagation:

* Strategies are immediately paused and frozen at their last validated state.
* Affected valuations are excluded from NAV computation.
* Capital recall procedures are initiated when connectivity and validation resume.

In all cases, execution environment failures are fully isolated. Solvency, accounting correctness, and user asset safety remain preserved regardless of localized execution degradation.


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