Liquidity providers on Uniswap lose billions annually to impermanent loss (IL) — the unrealized loss when token prices diverge while assets sit in a pool. Current solutions are inadequate: static fees cannot price volatility, LPs have no recourse when IL exceeds gains, and AI-driven strategies running off-chain lack auditable on-chain proof.

HookMind targets three user groups:

• Retail LPs who want passive yield without IL exposure
• Institutional treasuries (CNBV-regulated fintechs in LATAM, family offices) needing software-only, non-custodial DeFi exposure
• Hook builders seeking a blueprint for AI-augmented Uniswap v4 hooks with verifiable execution

Proposed Solution

An independent Uniswap v4 hook featuring two core software modules:

AI Fee Manager — an off-chain agent reads pool state every 12 seconds, computes a volatility score, queries an LLM (Claude/GPT-4o/Gemini/Grok), and submits an ECDSA-signed signal to HookMindCore.updateNeuralState(). Every decision is pinned to IPFS for immutable audit.

On-chain IL Coverage — afterAddLiquidity auto-enrolls LPs in a USDC coverage vault powered by Flash Accounting. Three tiers (Retail 10 USDC premium → 500 USDC max mitigation · Growth 50 → 2,500 · Institutional 200 → 10,000) with epoch-prorated yield distributions when IL exceeds 2%.

The protocol is strictly software-only and non-custodial (LPs keep custody), auditable (every signal signed + IPFS-pinned), and automatically compatible with the Uniswap Universal Router.

Milestones

• Contract consolidation: Consolidated 5 → 2 contracts; audit surface ~40% smaller; 44/44 tests passing (May 7, 2026)
• Onboard 10 testnet users through hookmind.xyz/vault
• UFSF audit application: Submit to Uniswap Foundation Security Fund (May 2026)
• Demo Day (Protocol Labs): Async pitch video + investor Q&A (June 8–15, 2026)
• Formal audit + mainnet: Cyfrin/Zellic audit, mainnet deployment on Unichain (Q3 2026)
• First CNBV-regulated fintech licenses HookMind software (non-custodial SDK + API)

Contributing Members

Giovanny Amador - Founder & Engineer - @Eras256 - @vaiossx

Monserrat Mendoza - Co-Founder & Designer - @M0nsxx - @smithserrat