3. How Flap Tokens Work on RH Chain

In plain terms: every Flap token is born on a bonding curve — you buy from and sell to the Portal contract itself, priced by a formula. If enough gets bought, the token graduates: the raised ETH becomes real DEX liquidity that nobody can ever withdraw. Most tokens never get there — the live rate is printed in the preamble of every filing.

LIFECYCLE:   LAUNCH ──> BONDING CURVE ──> GRADUATION ──> UNISWAP V2 POOL
                          (most die here)      (LP burned, ownership renounced)

Everything below was verified against the Portal's verified source and live transactions on the RH Chain explorer; evidence transaction hashes are cited where a claim rests on observed behavior rather than source code.

The Curve

The Portal mints the token's entire supply to itself and sells a fixed portion along the curve, quoted in native ETH. There is no pool yet — the ETH sits in the Portal and is the only exit, repricing downward as people sell.

- PORTAL FEE: 1% PER CURVE TRADE (buyFeeRate = sellFeeRate = 100 BPS,
  VERIFIED CONSTRUCTOR PARAMETERS).
- NO DEADLINE, NO REFUND MECHANISM IN THE PORTAL'S VERIFIED INTERFACE.
  A CURVE THAT NEVER FILLS JUST SITS THERE.

Graduation

When the curve's sale threshold is reached, one transaction does all of the following — verified in graduation tx 0x431a03d3…c358b (block 12,163,680):

1. WRAPS THE RAISED ETH TO WETH
2. CREATES A UNISWAP V2 PAIR, DEPOSITS RESERVED TOKENS + THE WETH
3. BURNS 100% OF THE MINTED LP TO 0x...dEaD
4. RENOUNCES TOKEN OWNERSHIP

Per-token LP balances are read directly and printed on each filing; the mechanism is not assumed for any pair until read.

Tax — Two Different Mechanisms

A Flap token may carry a buy/sell tax. What most people miss: there are two separate levies, and only one of them is verifiable.

AFTER GRADUATION (verified)	TAX = AMOUNT × RATE / 10,000 — true basis points, charged on token transfers involving pools (verified FlapTaxTokenV3 source). Rates are per-token, asymmetric buy/sell allowed. The tax expires: a per-token clock starts at graduation; after it runs out, rates are zero permanently. Collected tax splits between the Flap protocol and a creator-designated wallet (60% protocol during the curve phase, 41% after — verified PortalBase constants).
ON THE CURVE (not interpreted)	The token itself levies nothing on the curve. The Portal separately collects an ETH-side charge on taxed tokens' curve trades, computed by TokenTradeV2 (0x362fD190fa57ea181B85C86df2E5B2113C2834c7) — a contract that is not verified on the RH Chain explorer. Observed charges (3.0% of trade ETH against a nominal 1000 bps configuration) do not match the nominal rate. Filings print raw values and refuse to interpret unverified arithmetic. Permanent until the source is verified.

AFTER GRADUATION (verified)

TAX = AMOUNT × RATE / 10,000 — true basis points, charged on token transfers involving pools (verified FlapTaxTokenV3 source). Rates are per-token, asymmetric buy/sell allowed. The tax expires: a per-token clock starts at graduation; after it runs out, rates are zero permanently. Collected tax splits between the Flap protocol and a creator-designated wallet (60% protocol during the curve phase, 41% after — verified PortalBase constants).

ON THE CURVE (not interpreted)

The token itself levies nothing on the curve. The Portal separately collects an ETH-side charge on taxed tokens' curve trades, computed by TokenTradeV2 (0x362fD190fa57ea181B85C86df2E5B2113C2834c7) — a contract that is not verified on the RH Chain explorer. Observed charges (3.0% of trade ETH against a nominal 1000 bps configuration) do not match the nominal rate. Filings print raw values and refuse to interpret unverified arithmetic. Permanent until the source is verified.

The Dormant CL/V4 Path

The Portal contains a second, concentrated-liquidity (Uniswap V4-style) graduation path. It has executed zero times across the entire indexed history — every filing's preamble recomputes that count live from the database.

IF IT EVER EXECUTES, THE LP-BURN MODEL ABOVE DOES NOT APPLY TO THAT POOL,
AND THE AFFECTED FILING WILL SAY SO.

THE PORTAL IS AN UPGRADEABLE PROXY. FLAP CAN CHANGE ANY OF THIS FOR FUTURE
TOKENS; UNDECODABLE EVENTS AFTER AN UPGRADE ARE RECORDED, NOT SKIPPED.