Distributions are bought on the market, never minted.
A fee hook on the HOOK/ETH pool takes a fee on every swap: lower on buys, higher on sells. The fee splits three ways at rates fixed at launch. The reserve leg is sent to the treasury and held in ETH, which raises backing per token. The distribution leg buys HOOK on the pool and sends it to the staking contract, where the index rises each epoch by exactly what was bought. The burn leg buys HOOK on the pool and sends it to the dead address.
Holders stake HOOK and receive sHOOK. Holders may redeem, burning HOOK for backing per token minus a spread, capped per epoch.
There are no emissions. A staked balance grows because the machine bought tokens on the open market with fee revenue and handed them over. Every distribution traces to a swap that actually happened.
The fee sits inside the swap, before settlement. A token-level transfer tax cannot reach Uniswap v4, because the singleton pool manager exposes no pair contract to key a tax mapping against; a fee hook is collected by the pool itself, so there is no venue to escape to.
| term | meaning |
|---|---|
| backing per token | The treasury reserve in ETH divided by circulating supply. The floor under every token. |
| the fee hook | The pool contract that takes the fee inside every swap, before settlement. Lower on buys, higher on sells. |
| distribution | HOOK bought on the pool with fee revenue and credited to stakers through the index. Bought, never minted. |
| burn | HOOK bought on the pool with fee revenue and sent to the dead address. Supply only falls. |
| redemption | HOOK burned for backing per token minus a spread, capped per epoch. Permanent. |
| sHOOK | The staked position. Its claim on HOOK rises with the staking index each epoch. |
| contract | address |
|---|---|
| No canonical HOOK addresses on record. Verify any address you are shown against this page and the explorer. | |
| Uniswap v4 pool manager | 0x8366a39CC670B4001A1121B8F6A443A643e40951 |
Popular tickers on this chain attract impostor contracts. The terminal resolves the token, the pool and the fee hook from the registry, never by name. Check the full address, always.
Where do distributions come from?
From fees actually collected on the pool. The distribution leg buys HOOK on the open market and credits stakers through the index each epoch. Nothing is minted, so every distribution traces to a swap that happened.
What stands behind the token?
An ETH reserve held by the treasury, filled by the reserve leg of every swap fee. Backing per token is that reserve divided by circulating supply, and holders may redeem at backing minus a spread, capped per epoch. Redeeming burns the tokens permanently.
Why does the rate move?
The rate on this terminal is measured from distributions that already settled, and it is labelled that way wherever it appears. Future epochs are funded only by trading volume, so a quiet market means small distributions, and none at all is possible.
How do I know an address is real?
Popular tickers on this chain attract impostor contracts. Use only the addresses on this page, check the full address against the explorer, and treat anything else as fake.