If there are closed/terminated wallets in the system, the redemption process takes a long time. This is what happens:

1. The findWalletForRedemption function must iterate over all wallets to check which one can handle the redemption: https://github.com/keep-network/tbtc-v2/blob/51094e4cdaefdf82a11b80f7e9e6899a6333a9ca/typescript/src/services/redemptions/redemptions-service.ts#L127
2. To do the check, the above function must call wallets to fetch data of the particular wallet: https://github.com/keep-network/tbtc-v2/blob/51094e4cdaefdf82a11b80f7e9e6899a6333a9ca/typescript/src/lib/ethereum/bridge.ts#L583
3. The wallets function calls getWalletCompressedPublicKey under the hood: https://github.com/keep-network/tbtc-v2/blob/51094e4cdaefdf82a11b80f7e9e6899a6333a9ca/typescript/src/lib/ethereum/bridge.ts#L607
4. Closed/terminated wallets are no longer in the contract state so, getWalletCompressedPublicKey throws while calling getWalletPublicKey: https://github.com/keep-network/tbtc-v2/blob/51094e4cdaefdf82a11b80f7e9e6899a6333a9ca/typescript/src/lib/ethereum/bridge.ts#L521
5. The above is not a problem per se as the error is caught. However, the getWalletPublicKey uses a backoff retry mechanism inside so the final throw is made after 3 internal retries which takes time and contributes to the long execution time of the entire process: https://github.com/keep-network/tbtc-v2/blob/51094e4cdaefdf82a11b80f7e9e6899a6333a9ca/typescript/src/lib/ethereum/wallet-registry.ts#L69

The solution is simple. The backoffRetrier function should not retry if the contract call reverts with Wallet with the given ID has not been registered error. This can be achieved by passing a custom errorMatcher argument to this specific backoffRetrier call: https://github.com/keep-network/tbtc-v2/blob/51094e4cdaefdf82a11b80f7e9e6899a6333a9ca/typescript/src/lib/utils/backoff.ts#L93