Glossary

Backing — the quote-side balance sitting in a coin's own pool. Before the bond it is USDC; after, the coin's tracker. It is the money the coin's trading has actually put behind it, not a valuation.

Bond — the one-time migration that re-pairs a coin from USDC to its leveraged tracker, at the same dollar price, once the pool has accumulated the launcher's threshold. Permissionless.

bondBackingUsd — the bond threshold, in USDC, immutable and public on the launcher. 15,000 USDC on the current launcher.

CREATE2 mining — searching for a deployment salt that produces a coin address sorting below its quote, so the coin is always token0 and is priced the right way up by every tracker.

Creator fee — 0.7% of every swap, booked to whoever launched the coin, claimable at any time, forever.

Delegate key — the keeper's signing key, registered by a tracker's vault on Avantis. The venue lets it open, close and resize the vault's positions and nothing else; the vault owner can revoke it at any time.

Direction — long or short. A long tracker rises with its market; a short tracker rises when its market falls. Marked by an S suffix on the tracker symbol.

Entry — on the hedge book, the mark at which a tracker's position was opened. Added backing averages into it at the mark it arrived at.

Hedge allowance — the USDC allowance a tracker's vault grants the venue's TradingStorage. Set by anyone, via syncHedgeAllowance(), to the vault's idle USDC above its redeem-buffer floor; it is the most the venue can ever pull, and so the buffer policy itself.

Leverage (the multiple) — how many times harder than its market a tracker moves. Chosen by the creator at launch, from 1× up to LTFactory.maxLeverageFor(symbol): the lower of the product ceiling (MAX_LEVERAGE = 5) and the venue's cap for the pair.

Leveraged tracker (LT) — an ERC-20 following a real market at a fixed multiple, e.g. NVDAx5. Backed by a perpetual position on Avantis that the tracker's own vault holds as trader, valued at NAV, mintable and redeemable at NAV.

Liquidation threshold — the point at which the venue closes a position for the trader. On Avantis, roughly 90% loss of the collateral: at 5×, an 18% move against the position from its entry.

Locked by absence — liquidity that cannot be withdrawn because the holding contract has no function that could, rather than because a timelock currently refuses.

MIGRATION_DUST — 1e12, the tolerance for coin left behind by a bond. Anything larger reverts the whole migration.

NAV — a tracker's net asset value: the equity of its backing position divided by its supply. Posted on chain, readable by anyone.

Notional — a position's exposure: size times mark. Five times the margin behind it, at 5×.

Seed buy — the creator's opening purchase of their own coin, made inside the launch transaction. At least minSeedUsdc (1 USDC), paid in USDC or bought with ETH via launchWithEth. The only buy the token allows in the launch block.

Single-sided position — a Uniswap V3 position holding only one of the two tokens, valid because the pool is initialised exactly at the range's bound. It is why launching needs no capital.

sqrtPriceX96 — Uniswap V3's price representation, the square root of the price in smallest units, scaled by 2^96. Never square one: (2^160)^2 overflows a uint256.

Tracker pool — a tracker's own USDC market, with most of its depth in a tight band around NAV and a full-range floor underneath.

USDC — the quote asset, Circle's dollar stablecoin native to Base, at 0x833589fCD6eDb6E08f4c7C32D4f71b54bdA02913. 6 decimals, which is why every price conversion here carries a 10^(18 − dq) term.

Volatility decay — the ground a constant-leverage product loses on a round trip in the underlying. Structural, not a defect.