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This hook is designed to support a deflationary governance token model by invoking a controlled burn mechanism during liquidity-related actions.

The hook does not introduce custom fee logic, privileged state changes, or external value extraction. Its behavior is deterministic and limited in scope.

Hooked Pool

Uniswap App link:
https://app.uniswap.org/explore/pools/arbitrum/0xec6e37b2d66aa5ef5a9fc296b4da3474b121f512428dd425a51c6424955fc5eb

Hook Purpose
• Support a deflationary token economy for the protocol’s governance token
• Ensure predictable supply reduction through on-chain, rule-based burn logic
• Maintain transparency and simplicity in liquidity interactions

Technical Behavior
• The hook is triggered only during predefined pool lifecycle events
• Executes a burn function on the governance token contract
• No external calls beyond the token burn invocation
• No owner-only or upgradeable logic
• No dynamic parameter mutation after deployment

Security Considerations
• No reentrancy risk introduced by the hook
• No custody of user funds
• No fee skimming, MEV extraction, or hidden value transfer
• Token contract and hook contract are immutable

Permissions & Trust Model
• Hook contract has no admin privileges
• Pool permissions are permanently renounced
• Token minting and privileged controls are disabled
• Burn logic is fully on-chain and verifiable

Impact on Users & Liquidity
• Does not alter swap pricing logic
• Does not affect LP positions beyond the intended burn mechanism
• No adverse impact on pool solvency or price discovery

Motivation for Allowlisting

The hook enables a standard deflationary mechanism without introducing additional risk to LPs or traders.
Allowlisting this hook would restore normal trading activity for the community while maintaining Uniswap v4’s security and design principles.

Additional Notes
• The hook has been tested on testnet and behaves as expected
• We are happy to provide audits, test cases, or further technical details if required

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