Glossary
The vocabulary used across these docs and in the contracts.
- Allocation
- A recipient + amount pair minted as initial supply when a new token is created. The full token supply exists from block one.
- Allowlist
- An optional early-access phase where only signatures from a trusted signer can participate. After the allowlist deadline passes, participation opens to everyone.
- Basis points (bps)
- One hundredth of a percent. 50 bps = 0.5%, 10 000 bps = 100%. Used for protocol fees, buy-back shares and claim fees.
- Burn address
- 0x000…dEaD — an address nobody can spend from. LP tokens are minted there at pool creation, and bought-back tokens are swapped straight into it.
- Claim delay
- A cooling-off window (in seconds) between an epoch ending and its rewards becoming claimable.
- Distribution token
- The token being given out by a distribution — the thing participants earn pro-rata slices of.
- Drain
- Releasing an ended epoch's locked participation fund to the distribution's configured shares. Triggered permissionlessly via callDrainHook after each epoch ends.
- Emission curve
- The function deciding each epoch's reward: fixed (constant), linear (base + slope), or exponential (growth or decay factor). Plugged in as an EmissionFunction contract.
- Epoch
- One fixed-length window in a distribution timeline. Rewards, totals and participation are tracked per epoch; currentEpoch is derived purely from the block timestamp.
- Hook
- A small contract that receives its share of a drained fund via approve-and-call. v1 ships TransferToHook (forwards to an address) and BuyAndBurnHookV3 (swaps and burns).
- LP tokens
- Uniswap V3 position receipts proving liquidity ownership. sqrtDAO mints them straight to the burn address, making pool liquidity permanently locked.
- Participation token
- The token participants lock into epochs. Not returned — drained epoch funds flow onward through shares.
- Permit2
- Uniswap's signature-based approval system. Launches can accept Permit2 signatures instead of pre-set ERC20 allowances.
- Pro-rata
- Your proportional slice: your lock divided by the epoch's total participation, times that epoch's reward.
- A percentage cut of every drained epoch fund, expressed in basis points, routed to a hook. All shares must sum to exactly 100% including the protocol fee.
- sqrtPriceX96
- Uniswap V3's price encoding — the square root of the price multiplied by 2⁹⁶. It sets a pool's starting price at creation.