Overview
SPOUT is a liquidity rental market on Elysium.
New tokens on Elysium rent HYPE liquidity for a fixed term to get their pool flowing. LPs earn streamed rent plus trading fees, a project funded reserve tank covers LP losses, and the rental ends early once the pool holds its depth on its own.
Think of each new pool as an empty basin. Every LP is a tap pouring HYPE in. When the basin's own spring starts flowing, meaning organic liquidity from other LPs, the taps close one by one and the water keeps rising by itself.
Three roles
Project
Gives
Prepays rent in HYPE, funds the reserve tank and locks its token side as ask depth.
Gets
Day one depth and low slippage.
LP
Gives
Supplies HYPE only.
Gets
Streamed rent, trading fees and loss cover.
Protocol
Gives
Runs the vaults, risk checks and the keeper.
Gets
10% of rent streamed plus a listing fee.
Vocabulary
- Pour
- One rental contract. A new token rents HYPE depth under its price for a fixed term of 7 to 30 days.
- Taps
- LP positions inside a pour. Each tap is HYPE placed by the pour's vault in a concentrated range below the price.
- Flow rate
- The rent APR paid to taps. It starts low and rises until the water line fills, then locks for the term.
- Water line
- The target depth: HYPE resting within the depth band below price, for example 500 HYPE within 10%.
- Meter
- Rent streaming to taps every second, measured on chain time from the moment the pour starts flowing.
- Reserve tank
- The project's cover deposit. It pays taps for losses at term end, and pays out in full on a fault.
- Shutoff valve
- The safety trigger. When it trips, taps exit at once and the reserve tank pays out.
- Spring
- Graduation. Organic depth holds the spring target for 24 hours and the taps close early.
- Mains
- An optional milestone: the token gets a HyperCore spot listing, which ends the pour like a spring.
Worked numbers
A pour of 500 HYPE for 14 days at a 40% flow rate costs 500 × 0.40 × 14 / 365 = 7.67 HYPE of rent. A 15% reserve tank is 75 HYPE, enough to cover a 15% loss on every tap. The protocol keeps 10% of the rent that actually streams, 0.77 HYPE here, plus a 1 HYPE listing fee.