Everyone is talking about Pair Tokens. Here is what is inside.

What a Pair Token is

You put two tokens into the factory and get one token back. Behind it sits a full-range Uniswap v4 position, so the basket always holds some of each side and its mix moves with the price. Your share of the basket is your share of the supply. Anyone can call a function named compound() that takes the trading fees the position has earned and adds them back into it. When that happens the factory keeps a cut. We measure that cut from every Compounded event on the chain, and today it comes out at 10% of the fees.

How it differs from an old-style LP token

• A Uniswap v2 LP token is also a receipt for a share of a two-token pool, and a full-range position behaves much the same way. The economics are close. What changes is the plumbing: this one sits on Uniswap v4, and the pool can have a hook, which is custom code that runs on every swap. The "hooked pool" label in the table shows which pairs have one.
• In v2 the fees stay in the pool by themselves. Here they build up in the position until someone calls compound(), and a slice goes to the protocol each time. So the fee income you see in the pool is not all yours.
• Wrapping the position in an ERC-20 makes it easy to move around, which is the point. It also means you hold the risk of the contract that does the wrapping, on top of the risk of the pool.

How to read the table

• Inside now is what the whole token holds, read from its basket. Value prices that basket. Stock Tokens use their Chainlink reference. USDG counts as one dollar. ETH and anything without a feed is implied from the pool ratio against a priced token, which is why the table marks those rows.
• vs holding compares the token today with the basket of its first deposit, held loose. Negative means just holding would have been ahead, usually because one side ran away from the other, which is the cost of being a market maker. It measures the structure since launch, not any one wallet's result.
• Fees compounded adds up every Compounded event since launch at today's prices. Most pairs have compounded for pennies. We show that as it is.
• Holders counts wallets with a balance, rebuilt from Transfer events. The burned dust the contract locks at launch is not counted. The headline holder number adds the tokens together, so a wallet in two of them counts twice.

Risks, in plain words

• Thin pools. Most pairs hold well under a few hundred dollars. A small pool moves a lot on a small trade and can be hard to leave. Use the hide thin switch to see the ones with real money in them.
• Impermanent loss. If the two tokens move apart, the basket drifts toward the loser. The vs holding column is that effect, plus whatever fees were compounded.
• Contract and hook risk. We read these contracts, we have not audited them, and nobody has audited them for us. A bug in the wrapper or a hook can cost you all of it.
• Copycats. Many tokens use the word Pair in the name and have nothing to do with the factory. The checker above asks the factory directly. The factory we track is 0x282c48…5a5B38.
• Stock Token rules. Stock Tokens are tokenized debt securities issued by Robinhood Assets (Jersey) Limited. They are not available to US persons and are restricted in several other places, including the UK, Canada, Switzerland and the UAE. A pair that holds one inherits those limits. gap133 only shows data. We never route or place trades and we do not connect to wallets here.