Fees and the arb recapture split
How Hookr is paid on a new pool: its share of block fees, integrators, and how every arb recapture splits.
Hookr is paid two ways on a new pool, and the two never mix: a share of the block fees, and a cut of every arb recapture. The base LP fee goes to the pool's LPs in full.
Block fees
Hookr takes the pool's protocol share of the Snipe tax, the dynamic fee, LP Rewards and Auto Burn. The rest goes to the pool's LPs, or for Auto Burn is burned. The creator picks the share at launch, from 20% to 50%, and the pool keeps it for good.
| Per 1 ETH of block fees | LPs, or the burn | Hookr | Integrator |
|---|---|---|---|
| 80/20, no integrator | 0.8 ETH | 0.2 ETH | None |
| 80/20, integrator at the default rate | 0.8 ETH | 0.1 ETH | 0.1 ETH |
| 70/30, no integrator | 0.7 ETH | 0.3 ETH | None |
| 70/30, integrator at the default rate | 0.7 ETH | 0.15 ETH | 0.15 ETH |
Integrators
A launch can name the app it goes through as the pool's integrator, if the treasury lists that app. The list gives each integrator a rate of Hookr's share, up to 50%, with 50% as the default rate. The rate is fixed with the pool, and the trader pays the same either way. It applies to Hookr's share of block fees and to the Hookr minimum, never to the arb recapture cut.
The share floor
The floor is the larger of two: the release's own minimum, 20%, and the treasury's governed floor, at most 50%. A change to the governed floor waits 30 minutes and reaches only pools launched after it.
- Protocol share floor
- Hookr minimum
The arb recapture split
Once arb recapture is open, every arb recapture's realized profit splits between the partner, Hookr and the pool, in this order. With the partner at its full 25%, that is 25/25/50.
- The partner executor keeps the share set when Hookr opens the lane, up to 25% of the profit, and pushes the rest to the pool.
- Hookr takes 25% of the profit, whatever the pool's protocol share.
- The trader whose own swap opened the gap gets the trader share of what is left, 25% by default and up to 50%.
- The pool's LPs get the rest.
| Per 1 ETH of realized profit | Default split |
|---|---|
| Partner executor, at the lane's full share | 0.25 ETH |
| Hookr | 0.25 ETH |
| Trader | 0.125 ETH |
| LPs | 0.375 ETH, or 0.5 ETH when no trader is paid |
The LPs' part goes to all in-range liquidity and is released gradually, so liquidity added for a moment collects almost none of it. On a pool with King of the Pool on, the pot's share comes out of what is left after Hookr's cut, beside the trader's and the LPs', and only an arb recapture paid in the pool's quote fills it.
Arb recapture is live on new pools. What The Hook's executor runs the arb recapture, and if it cannot, the trade goes through without it.
Advisory blocks
An advisory block's take is its own, and no integrator shares in it.