The reserve tank and the shutoff valve.
An LP's main risk is simple: its HYPE sits below the price, so if sellers arrive, the HYPE turns into the token as the price falls. SPOUT puts a project funded reserve tank behind every pour and a keeper that watches four conditions every few seconds.
What trips the valve
The pool's own time weighted average price over 10 minutes, read with observe() on the pool contract. Spot price alone never trips the valve, so one large swap inside a block cannot force an exit. A HyperCore price check is added once the Elysium read precompile ships.
The vault owns the project's ask position for the whole term. The keeper checks its owner and liquidity every tick; any change trips the valve.
Total supply is recorded when the pour opens. Any mint or burn trips the valve.
The project wallet, the token's deployer and any wallets the project lists are watched per wallet. A wallet moving more than 20% of its opening balance, and at least 0.5% of supply, trips the valve.
Risk score
Each pour gets a score from 0 to 100, lower is safer, from five live inputs.
- Cover ratio
- Reserve tank divided by the water line. Under 10% scores worst.
- Holder concentration
- Share held by the top ten wallets outside the pool and the vault.
- Launchpad of origin
- The factory that created the token, read from its creation transaction.
- Dev wallet activity
- Share of supply held by the watched wallets.
- History on SPOUT
- Past pours by the same project wallet. A past shutoff for a fault scores worst.
What the tank does not cover
Cover is capped at the tank's size. A pour whose price falls further than its cover ratio can still lose LPs money past the cap. The cover ratio and the floor are on every pour page before you open a tap.