feat(vault): split pegin fix

packages/babylon-ts-sdk/src/tbv/core/clients/vault-provider/types.ts

@@ -23,6 +23,8 @@
  *   -> ActivatedPendingBroadcast -> Activated
  *
  * Branching / terminal states:
+ * - IngestionRejected: terminal — ingestion permanently failed (e.g. malformed
+ *   Pre-PegIn, invalid HTLC outputs); reachable directly from PendingIngestion.
  * - Expired: activation timed out; non-terminal during the grace window
  *   (RFC 003) — transitions to ExpiredCleanedUp or ExpiredInClaim.
  * - InvalidSigInContract: terminal — pegin input signature posted on
@@ -46,6 +48,7 @@ export enum DaemonStatus {
   ACTIVATED_PENDING_BROADCAST = "ActivatedPendingBroadcast",
   ACTIVATED = "Activated",
   EXPIRED = "Expired",
+  INGESTION_REJECTED = "IngestionRejected",
   INVALID_SIG_IN_CONTRACT = "InvalidSigInContract",
   AML_REJECTED = "AmlRejected",
   EXPIRED_CLEANED_UP = "ExpiredCleanedUp",
@@ -105,6 +108,7 @@ export const VP_TRANSIENT_STATUSES: ReadonlySet<DaemonStatus> = new Set([
  * VP_TERMINAL_FAILURE_STATUSES.has(status)`.
  */
 export const VP_TERMINAL_FAILURE_STATUSES: ReadonlySet<DaemonStatus> = new Set([
+  DaemonStatus.INGESTION_REJECTED,
   DaemonStatus.INVALID_SIG_IN_CONTRACT,
   DaemonStatus.AML_REJECTED,
   DaemonStatus.EXPIRED_CLEANED_UP,

packages/babylon-ts-sdk/src/tbv/core/services/deposit/__tests__/waitForPeginStatus.test.ts

@@ -183,6 +183,30 @@ describe("waitForPeginStatus", () => {
     expect((error as Error).message).toContain("ExpiredCleanedUp");
   });
 
+  it("throws terminal when VP reports IngestionRejected", async () => {
+    const reader = createMockStatusReader([
+      { status: DaemonStatus.PENDING_INGESTION },
+      ...Array.from({ length: MOCK_RESPONSES_COUNT }, () => ({
+        status: DaemonStatus.INGESTION_REJECTED,
+      })),
+    ]);
+
+    const resultPromise = waitForPeginStatus({
+      statusReader: reader,
+      peginTxid: VALID_TXID,
+      targetStatuses: new Set([DaemonStatus.PENDING_DEPOSITOR_WOTS_PK]),
+      timeoutMs: TEST_TIMEOUT_MS,
+      pollIntervalMs: TEST_POLL_INTERVAL_MS,
+    }).catch((e: unknown) => e);
+
+    await vi.advanceTimersByTimeAsync(TEST_TIMEOUT_MS);
+
+    const error = await resultPromise;
+    expect(error).toBeInstanceOf(Error);
+    expect((error as Error).message).toContain("terminal status");
+    expect((error as Error).message).toContain("IngestionRejected");
+  });
+
   it("does not treat terminal status as error when it is in the target set", async () => {
     const reader = createMockStatusReader([
       { status: DaemonStatus.EXPIRED_CLEANED_UP },

services/vault/src/components/simple/DepositProgressView/BtcConfirmationDetail.tsx

@@ -32,12 +32,12 @@ function formatStartedAt(timestamp: number): string {
 /**
  * Combined estimate text: minutes left plus the count of BTC blocks still
  * to be mined. Once the depth is reached there is no wait left to estimate,
- * so it reads as finalizing instead.
+ * so it switches to the provider payout-prep wait.
  */
 function formatEstimate(confirmations: number, requiredDepth: number): string {
   const copy = COPY.deposit.btcConfirmation;
   const minutes = computeRemainingEstimateMinutes(confirmations, requiredDepth);
-  if (minutes === null) return copy.finalizing;
+  if (minutes === null) return copy.waitingForPayoutPrep;
   return copy.estRemainingValue(minutes, requiredDepth - confirmations);
 }
 
@@ -49,6 +49,7 @@ export function BtcConfirmationDetail({
   stacked = false,
 }: BtcConfirmationDetailProps) {
   const copy = COPY.deposit.btcConfirmation;
+  const depthReached = confirmations !== null && confirmations >= requiredDepth;
   // Stacked: label on its own line above the value (narrow split columns).
   // Inline: label left / value right (full-width single-column flow).
   const rowClass = stacked
@@ -68,7 +69,7 @@ export function BtcConfirmationDetail({
 
       <div className={rowClass}>
         <Text as="span" variant="body2" className="text-accent-secondary">
-          {copy.estRemaining}:
+          {depthReached ? COPY.deposit.waitDetails.status : copy.estRemaining}:
         </Text>
         {confirmations === null ? (
           <Loader size={14} className="text-accent-primary" />

services/vault/src/components/simple/DepositProgressView/BtcConfirmationDetailContainer.tsx

@@ -40,7 +40,7 @@ export function BtcConfirmationDetailContainer({
   // Direct poll only runs while the polling result is missing — once the
   // dashboard's cache is the source of truth, we trust it (avoids the
   // disagreement Greptile flagged: modal showing live count growing past
-  // requiredDepth while the card has coalesced to "Finalizing").
+  // requiredDepth while the card has coalesced to VP payout prep).
   const fallback = useBtcConfirmations(polling ? null : prePeginTxid);
   const confirmations = polling
     ? polling.prePeginConfirmations

services/vault/src/components/simple/DepositProgressView/DepositProgressView.tsx

@@ -78,8 +78,9 @@ export interface DepositProgressViewProps {
   currentVaultIndex?: number | null;
   /**
    * Per-vault raw steps for a split deposit, indexed to match the columns.
-   * Supplied on the resume path (each column reflects its own polled state);
-   * omit for the live flow, where position-based inference is correct.
+   * Supplied when the caller has a stronger per-lane source of truth: the
+   * initial live flow tracks explicit per-vault outcomes, and resume flows use
+   * polling. Omit only for strictly sequential happy-path inference.
    */
   perVaultSteps?: DepositFlowStep[];
   onClose: () => void;
@@ -183,13 +184,26 @@ export function DepositProgressView(props: DepositProgressViewProps) {
   const visualStep = isComplete
     ? TOTAL_VISUAL_STEPS + 1
     : getVisualStep(currentStep);
+  // `currentStep` is the active action, but split deposits can have each vault
+  // lane land on a different step after a recoverable per-vault failure. The
+  // aggregate progress bar and completed-group pill must therefore use the
+  // slowest lane, while the split columns below keep rendering their own steps.
+  const aggregateRawStep =
+    vaultCount > 1 && perVaultSteps && perVaultSteps.length > 0
+      ? perVaultSteps.reduce((minStep, step) =>
+          getVisualStep(step) < getVisualStep(minStep) ? step : minStep,
+        )
+      : currentStep;
+  const aggregateVisualStep = isComplete
+    ? TOTAL_VISUAL_STEPS + 1
+    : getVisualStep(aggregateRawStep);
   const completedSteps = Math.max(
     0,
-    Math.min(TOTAL_VISUAL_STEPS, visualStep - 1),
+    Math.min(TOTAL_VISUAL_STEPS, aggregateVisualStep - 1),
   );
   const showOverallProgress = completedSteps >= 1;
   const completedGroups = STEP_GROUPS.filter(
-    (group) => visualStep > group.endStep,
+    (group) => aggregateVisualStep > group.endStep,
   ).length;
   const totalGroups = STEP_GROUPS.length;
   const showCompletedGroupsPill = completedGroups >= 1;
@@ -229,7 +243,7 @@ export function DepositProgressView(props: DepositProgressViewProps) {
       {showOverallProgress && (
         <div className="mt-3">
           <ProgressBar
-            percent={isComplete ? 1 : getStepFillPercent(currentStep)}
+            percent={isComplete ? 1 : getStepFillPercent(aggregateRawStep)}
           />
         </div>
       )}

services/vault/src/components/simple/DepositProgressView/__tests__/BtcConfirmationDetail.test.tsx

@@ -69,27 +69,36 @@ describe("BtcConfirmationDetail", () => {
     expect(screen.getByText("~10 min (1 BTC block)")).toBeInTheDocument();
   });
 
-  it("shows a finalizing state once the required depth is reached", () => {
+  it("shows provider payout-prep status once the required depth is reached", () => {
     render(
       <BtcConfirmationDetail
         {...baseProps}
         confirmations={6}
         requiredDepth={6}
       />,
     );
-    expect(screen.getByText("Finalizing...")).toBeInTheDocument();
+    expect(
+      screen.getByText(
+        "Waiting for vault provider to prepare claim and payout transactions...",
+      ),
+    ).toBeInTheDocument();
+    expect(screen.getByText(/Status/)).toBeInTheDocument();
     expect(screen.queryByText(/block/)).not.toBeInTheDocument();
   });
 
-  it("shows a finalizing state when confirmations overshoot the depth", () => {
+  it("shows provider payout-prep status when confirmations overshoot the depth", () => {
     render(
       <BtcConfirmationDetail
         {...baseProps}
         confirmations={8}
         requiredDepth={6}
       />,
     );
-    expect(screen.getByText("Finalizing...")).toBeInTheDocument();
+    expect(
+      screen.getByText(
+        "Waiting for vault provider to prepare claim and payout transactions...",
+      ),
+    ).toBeInTheDocument();
   });
 
   it("shows no estimate until the first confirmation reading arrives", () => {

services/vault/src/components/simple/DepositProgressView/__tests__/DepositProgressView.test.tsx

@@ -172,6 +172,32 @@ describe("DepositProgressView", () => {
       expect(bar).toHaveAttribute("aria-valuemax", "100");
     });
 
+    it("uses the laggard per-vault step for split aggregate progress", () => {
+      render(
+        <DepositProgressView
+          {...baseProps}
+          currentStep={DepositFlowStep.AWAIT_VP_VERIFICATION}
+          vaultCount={2}
+          currentVaultIndex={1}
+          perVaultSteps={[
+            DepositFlowStep.SUBMIT_WOTS_KEYS,
+            DepositFlowStep.AWAIT_VP_VERIFICATION,
+          ]}
+        />,
+      );
+
+      expect(
+        screen.getByText(COPY.deposit.progress.stepsCompleted(1, 4)),
+      ).toBeInTheDocument();
+      expect(
+        screen.queryByText(COPY.deposit.progress.stepsCompleted(2, 4)),
+      ).not.toBeInTheDocument();
+      expect(screen.getByRole("progressbar")).toHaveAttribute(
+        "aria-valuenow",
+        "40",
+      );
+    });
+
     it("fills the bar fully on the final awaiting-confirmation step", () => {
       render(
         <DepositProgressView

services/vault/src/components/simple/DepositSignContent.tsx

@@ -7,6 +7,7 @@
  * `payoutSigningProgress`.
  */
 
+import { Callout } from "@babylonlabs-io/core-ui";
 import type { BitcoinWallet } from "@babylonlabs-io/ts-sdk/shared";
 import { useCallback, useState } from "react";
 import type { Address, Hex } from "viem";
@@ -49,9 +50,11 @@ export function DepositSignContent({
     currentVaultIndex,
     processing,
     error,
+    lastWarnings,
     isWaiting,
     payoutSigningProgress,
     peginSigningProgress,
+    perVaultSteps,
     btcConfirmationDetail,
   } = useDepositFlow({
     vaultAmounts,
@@ -109,6 +112,14 @@ export function DepositSignContent({
         </button>
       </div>
     );
+  // Soft deposit-flow warnings from `useDepositFlow`: recoverable issues such
+  // as local persistence failures or per-vault WOTS/payout steps that were
+  // skipped/failed while the rest of the split deposit kept moving.
+  const warningCallouts = lastWarnings.map((warning) => (
+    <Callout key={warning} variant="warning">
+      {warning}
+    </Callout>
+  ));
 
   if (
     continuationVaultIds &&
@@ -118,6 +129,7 @@ export function DepositSignContent({
     return (
       <>
         {banner}
+        {warningCallouts}
         <PostDepositContinuationContent
           vaultIds={continuationVaultIds}
           depositorEthAddress={flowParams.depositorEthAddress}
@@ -130,6 +142,7 @@ export function DepositSignContent({
   return (
     <>
       {banner}
+      {warningCallouts}
 
       <DepositProgressView
         currentStep={currentStep}
@@ -142,6 +155,7 @@ export function DepositSignContent({
         peginSigningProgress={peginSigningProgress}
         vaultCount={vaultAmounts.length}
         currentVaultIndex={currentVaultIndex}
+        perVaultSteps={perVaultSteps}
         onClose={handleClose}
         btcConfirmationDetail={btcConfirmationDetail}
       />

services/vault/src/components/simple/PostDepositContinuationView.tsx

@@ -9,9 +9,9 @@ import { deriveSplitVaultProgress } from "@/hooks/deposit/useSplitVaultProgress"
 import { useBtcDepthStartedAt } from "@/hooks/useBtcDepthStartedAt";
 import {
   getPeginDisplayStep,
+  getWarningPeginDisplayStep,
   isVaultActivated,
   isVaultPastActivation,
-  LocalStorageStatus,
   PeginAction,
   type PeginState,
   USER_ACTIONABLE_PEGIN_ACTIONS,
@@ -73,29 +73,6 @@ function hasActionableStep(
   });
 }
 
-/**
- * Step to freeze the stepper on for a warning (terminal failure) vault.
- *
- * `getPeginDisplayStep` returns `null` for warning states by design — it
- * never shows progress for a failed deposit. We derive a frozen step from
- * the vault's last persisted local status so the stepper shows the point
- * of failure rather than a generic "Awaiting BTC confirmation."
- */
-function stepForWarningVault(state: PeginState): DepositFlowStep {
-  switch (state.localStatus) {
-    case LocalStorageStatus.CONFIRMED:
-      return DepositFlowStep.ACTIVATE_VAULT;
-    case LocalStorageStatus.PAYOUT_SIGNED:
-      return DepositFlowStep.AWAIT_VP_VERIFICATION;
-    case LocalStorageStatus.CONFIRMING:
-      return DepositFlowStep.AWAIT_BTC_CONFIRMATION;
-    case LocalStorageStatus.PENDING:
-      return DepositFlowStep.BROADCAST_PRE_PEGIN;
-    default:
-      return DepositFlowStep.AWAIT_BTC_CONFIRMATION;
-  }
-}
-
 function StatusView({
   currentStep,
   onClose,
@@ -228,8 +205,34 @@ export function PostDepositContinuationView({
   const vaultCount = siblingVaultIds.length || 1;
 
   if (!currentVaultId) {
-    const warning = vaultIds
-      .map((id) => getPollingResult(id)?.peginState)
+    if (vaultIds.length === 0) {
+      return (
+        <StatusView
+          currentStep={DepositFlowStep.COMPLETED}
+          isComplete
+          onClose={onClose}
+          vaultCount={vaultCount}
+          currentVaultIndex={null}
+        />
+      );
+    }
+
+    const pollingResults = vaultIds.map((id) => getPollingResult(id));
+    const perVaultSteps = pollingResults.map((result) => {
+      if (!result || result.loading) {
+        return DepositFlowStep.AWAIT_BTC_CONFIRMATION;
+      }
+      const displayStep = getPeginDisplayStep(result.peginState);
+      if (displayStep !== null) return displayStep;
+      if (result.peginState.displayVariant === "warning") {
+        return getWarningPeginDisplayStep(result.peginState.localStatus);
+      }
+      return isVaultPastActivation(result.peginState)
+        ? DepositFlowStep.COMPLETED
+        : DepositFlowStep.AWAIT_BTC_CONFIRMATION;
+    });
+    const warning = pollingResults
+      .map((result) => result?.peginState)
       .find((state) => state?.displayVariant === "warning");
     if (warning) {
       // Freeze the stepper at the point of failure based on the vault's
@@ -240,13 +243,35 @@ export function PostDepositContinuationView({
       );
       return (
         <StatusView
-          currentStep={stepForWarningVault(warning)}
+          currentStep={getWarningPeginDisplayStep(warning.localStatus)}
           error={mapDepositError(
             warning.message ?? COPY.common.somethingWentWrong.body,
           )}
           onClose={onClose}
           vaultCount={vaultCount}
           currentVaultIndex={warningIndex >= 0 ? warningIndex : null}
+          perVaultSteps={perVaultSteps}
+        />
+      );
+    }
+
+    const hasMissingOrLoadingVault = pollingResults.some(
+      (result) => !result || result.loading,
+    );
+    const allVaultsActivated =
+      pollingResults.length > 0 &&
+      pollingResults.every((result) => isVaultActivated(result?.peginState));
+
+    if (hasMissingOrLoadingVault || !allVaultsActivated) {
+      return (
+        <StatusView
+          currentStep={DepositFlowStep.AWAIT_BTC_CONFIRMATION}
+          isProcessing
+          canContinueInBackground
+          onClose={onClose}
+          vaultCount={vaultCount}
+          currentVaultIndex={null}
+          perVaultSteps={perVaultSteps}
         />
       );
     }