Protocol model · Robinhood + Base + Arc + Ethereum

One pool.
Two exposures.

A platform launch creates one standard Uniswap v4 market with a permanent launch position and a full-range lpTOKEN position.

01 / Protocol architecture

Two ways to create an lpTOKEN vault.

Launch a new token and pool, or create a vault for a supported existing Uniswap v4 pool.

Path A · Permissionless

Platform dual launch

In one transaction, TokenLaunchpad creates a fixed-supply token, initializes its protected static-fee pool and deposits permanent one-sided launch liquidity. The Factory then bootstraps the token's LP vault.

new tokennew PoolKeypermanent launch position

Path B · Curated

External-token LP vault

The Factory admits a reviewed, initialized, hookless static-fee pool and deploys a vault around that exact PoolKey. The original token and pool are unchanged.

existing tokenexisting PoolKeyno protocol launch position

Exact PoolKey binding

Vault contract

lp{TOKEN} vault

Each vault is permanently linked to one PoolKey, token pair, tick range, and optional launch-fee source.

Pool position: One bounded full-range, salt-0 position
Holder asset: Fungible lp{TOKEN} ERC-20 shares
Interaction: Mint · redeem · permissionless compound

Platform launch: one shared pool

K_launch=K_vault⇒same PoolKey

Launch and vault liquidity earn fees from the same pool.

Holder claim · each asset i

claim_i(s)=sS×[ principal_i + fees_i + idle_i + launchNAV_i ]

i ∈ {TOKEN, COUNTER}; launchNAV is zero for external pools. Shown before share fees and integer rounding.

Token holders swap directly against the bound v4 pool. lpTOKEN holders instead mint or redeem a pro-rata claim on the vault's exact two-asset backing; lpTOKEN is not a second token-pair market and introduces no separate price to arbitrage.

02 / lpTOKEN shares

Minting means owning the market-making position.

Minting lpTOKEN is not buying a second speculative coin. A pair mint contributes TOKEN and COUNTER to the vault; in return, the vault issues a transferable pro-rata claim on its full-range LP position, earned fees and idle balances. A zap can provide one-asset convenience, but the resulting exposure is still the same two-asset position.

Price risesTOKEN → COUNTER

The pool sells TOKEN into the rally.

Deep inside range≈ 50 / 50

By value, not token units

Price fallsCOUNTER → TOKEN

The pool buys TOKEN into the decline.

Idealized full-range model · fees excluded

r = P_t / P₀Token ≈ rlpTOKEN ≈ √r∂ ln V_LP / ∂ ln P ≈ 1/2

The position still follows the token's direction, but its local price sensitivity is roughly half that of holding only the token. This is an idealized active-range result, not a guaranteed volatility cap: range boundaries, path, idle assets and impermanent loss all matter.

Routed volumeSwap feesVault NAVCompoundMore liquidity

fees ≈ routed volume × pool fee × active-liquidity share

Vault fees stay in NAV. Pairable balances can be compounded into the LP position, while unpaired assets continue to back lpTOKEN shares.

Initial bootstrap shares are sent to the dead address, so the NAV they hold is permanent — see Permanent floor. Pair mint and in-kind redemption use exact on-chain balances, and anyone may compound matched idle balances after the 10-minute cooldown.

03 / Fee flow

Two positions. Two fee paths.

Platform markets follow both stages. External markets such as CASHCAT begin at Path 2: without a protocol one-sided launch position, there is no launch split or launch-NAV inflow. The positions share one Uniswap pool while keeping their fee accounting separate.

Path 1 · Platform markets only

One-sided launch position

Only fees earned by this permanent position use the creator / NAV / Treasury split.

Target-token fees

40%Creator

60%Vault NAV

Counter-asset fees

40%Creator

20%Vault NAV

40%Treasury

Path 1 → Path 2Vault NAV inflow

60% target-side + 20% counter-sideFee-leg allocations, not fixed asset weights.

Path 2 · All markets

Full-range lpTOKEN vault

Full-range position earnings

100% retained in shareholder NAV

Performance fee0%

Anyone can compound pairable balances. Unmatched or capped balances remain idle, stay in NAV and are redeemable.

Vault share operations · Path 2 only

0.30% share fee

Charged in backed lpTOKEN shares on public mint and redeem, never deducted from LP earnings. The current Treasury receives the shares.

Permissionless launch distribution: Anyone can distribute launch fees.
Uniswap protocol fee: A separate governance-controlled fee can be deducted by Uniswap before LP fee growth.

04 / Permanent floor

Every trade thickens a floor nobody can withdraw.

A platform launch sends its bootstrap shares to the dead address. Those shares are unredeemable, so the launch-fee NAV they hold accumulates permanently instead of being claimable by anyone — including us.

ACCRUAL0.20% of buy volume in the native currency + 0.60% of sell volume in TOKENThe NAV legs of the 40/60 target and 40/20/40 counter launch-fee split

For platform launches, permanent NAV grows with cumulative launch-position fees. New launches seed 0.001 ETH on Ethereum, Base, and Robinhood, or 2.5 USDC on Arc. Compounding adds matched assets to the full-range position; unmatched assets remain in the vault.

PairedBecomes bid depth

Compounded into the full-range position, where it buys TOKEN as the price falls. It can never be withdrawn.

SurplusLeaves circulation

The leg compound cannot pair sits in the vault with no redeemable claim against it, shrinking effective float.

The floor does not guarantee a minimum price, and only the dead-share portion of NAV is permanent. External-token vaults do not receive the additional launch-position fee flow described here.

05 / Backtest

What the home replay assumes.

The CASHCAT replay is a historical model, not a forecast, and excludes launch fees and execution constraints.

Returns measured in WETH over CASHCAT/WETH v3 OHLCV as a market proxy, starting after the first close.
Hypothetical v4 vault at 20% of pre-join TVL with equal fee efficiency and fee-leg value.
100% of full-range LP fees stay in holder NAV and compound when pairable.
Net holder value assumes one 0.30% mint and one 0.30% redeem share fee.
OHLCV cannot estimate protocol-wide share-fee revenue or lpTOKEN turnover.

06 / Risk

Volume exposure is still market risk.

Impermanent loss

Full range stays active but can become almost entirely one asset as price moves.

LVR

Arbitrage against stale pool prices transfers value away from passive liquidity.

LP competition

Concentrated and just-in-time liquidity can dilute full-range fee share.

Routing

Aggregators can route volume elsewhere even when the pool remains liquid.

Token risk

External tokens and creator-launched tokens can fail economically or technically.

Smart contracts

Vaults are non-upgradeable; a bug cannot be patched in place.

Inspect contracts →

One pool.Two exposures.