Hold 1.
Own 10.

Robinhood Chain has ten tokens worth naming and no index that holds them. HOOD10 is that index, and it funds itself out of its own trading volume rather than out of a treasury or a team allocation.

The loop is short. Trades pay tax in WETH. The contract accumulates WETH for the length of an epoch. At epoch close it ranks the chain, buys the top ten with the accumulated WETH, and pushes each holder their proportional share of all ten tokens in the same settlement.

Every buy and every sell pays 5%, collected in WETH. It is never collected in HOOD10, so the contract never has to sell the token to fund a purchase.

dividend payoutprotocol

80% of every tax dollar is holder money. The 1% protocol fee is the floor set by launching on letscash plus the cost of running the epoch — ranking, execution and settlement are not free, and the contract pays for them out of its own fee rather than out of the dividend.

An epoch is one full cycle: accumulate, close, rank, buy, distribute. Everything happens on-chain in a single settlement transaction at close.

Epoch length is variable

Epochs begin at one hour. The length is a parameter, not a constant, because settlement has a fixed cost: ten swaps plus a push to every eligible wallet. If an hour’s tax does not cover that cost with a meaningful dividend left over, the epoch lengthens.

Short epochs when volume is high, longer epochs when it is quiet. The alternative — a fixed hour regardless — would spend a rising share of the dividend on gas as volume fell, which is the opposite of what a holder wants.

Constituents are the ten largest eligible tokens on Robinhood Chain by pool liquidity, measured at epoch close.

• Liquidity, not market cap. Market cap is trivially faked on a young chain with a thin float. Liquidity is money someone actually left in a pool.
• One token, one seat. A token trading in more than one pool has its pools summed and is counted once. This is an index of ten tokens, not ten pools.
• HOOD10 excludes itself. Buying your own token with your own tax is a buyback, not an index.
• Equal split. The epoch’s WETH is divided ten ways. No weighting, no discretion.

The set is re-read every epoch, so constituents can change between one settlement and the next. What you were paid last epoch does not tell you what you will be paid in the next one.

To receive a dividend, a wallet must hold at least 0.05% of supply at the snapshot block.

The minimum is what makes on-chain distribution possible. Pushing ten different tokens to an unbounded holder set does not fit in a block at any price. A 0.05% floor caps the eligible set at 2,000 wallets by arithmetic, which bounds the cost of settlement and lets the whole cycle stay on-chain instead of behind a claim page.

Below the threshold you still hold HOOD10 and still trade it normally. You are simply not in the distribution set for that epoch.

Pools, the distributor contract and burn addresses are excluded — they would otherwise take slices belonging to holders.

Each eligible wallet receives a share of every constituent, proportional to its share of eligible supply — the sum of all qualifying balances at the snapshot, not total supply. Balances below the threshold are not counted in the denominator, so nothing is stranded.

epoch_weth        = tax collected this epoch (4% wedge)
per_constituent   = epoch_weth / 10
eligible_supply   = Σ balances ≥ 500,000 at snapshot

your_share        = your_balance / eligible_supply

you receive = your_share × (amount bought of each of the ten)

Paid in kind — you receive the ten tokens themselves, not a cash equivalent and not more HOOD10. What the contract bought is what lands in your wallet.

Worked example

An epoch collects 2.0 WETH in the dividend wedge. That is 0.2 WETH spent on each of the ten constituents. A wallet holding 1% of eligible supply receives 1% of every one of those ten purchases — ten separate token transfers, one settlement.

The calculator on the index runs the same arithmetic against a balance you enter.

• There is no admin withdrawal. No function exists to move accumulated WETH or purchased constituents to any address other than holders.
• The tax rate cannot be changed. 5% is fixed at deploy.
• The split cannot be changed. 4% / 1% is fixed at deploy.
• The minimum cannot be raised. 0.05% is fixed at deploy.
• Constituents are not chosen by anyone. The ranking is read from chain state at close.

Epoch length is the only mutable parameter, and every change is on-chain and visible before it takes effect.

• No volume, no dividend. The wedge only fills if HOOD10 trades. A quiet epoch distributes little or nothing.
• This is not diversification. The ten largest tokens on one chain run on one attention cycle. In a drawdown they fall together.
• Constituents can go to zero, and so can HOOD10. You may be paid in a token that is worthless by the time you receive it.
• The contract is a buyer in thin pools. Its own purchases move constituent prices against it, and that effect grows with epoch size.
• A 5% tax is a real cost. Round-tripping a position costs roughly 10% before any price movement.
• Falling below the minimum forfeits that epoch, whatever your balance was an hour earlier.