One fee, followed the whole way through.
A coin earns trading fees. Ninety percent of them buys margin on a perpetual futures market you chose at launch, at the leverage you set. The position is opened on Hyperliquid. Profits are taken in slices, come back to Solana and buy the coin. Every step of it is on the record.
The loop
The coin launches on StonkFun
Every SERPS coin is a StonkFun launch, on Raydium's LaunchLab curve, paired with whatever you pick: SOL, an xStock, a PreStock, any of the hundreds of quote tokens open there. Your own wallet signs and pays the network fee. Nothing else is asked for, and no key is ever handed over.
The coin earns fees
Every trade on it pays the pool's 1 percent fee, and StonkFun forwards the creator's share to the SERPS treasury, which the launch names as the coin's creator. That is the whole fee stream, and it arrives on its own: there is nothing to claim and nothing to sign.
The fee is split
Ninety percent of the fee goes to the position. Four fifths of that becomes margin and one fifth is held back as a reserve, which works out to 72 percent margin and 18 percent reserve of the fee that came in. The remaining tenth covers running the engine, and it is shown as its own line on every coin.
The position opens
Margin is deployed on Hyperliquid, on the market you picked, in the direction you picked, at the leverage you picked. Crypto sits on the core exchange, stocks, indexes, commodities and FX on the venue next to it, and only markets Hyperliquid runs at 10x or more are offered. The leverage goes as high as that market allows there, in whole steps, and the position is isolated per coin, so one bad market cannot drain another coin.
The reserve defends
As price moves against the position, the reserve deploys in four steps between the entry and the liquidation price. The shallow steps buy spot at better prices, the deep ones add margin straight to the position. Every step pushes liquidation further away, and a stop rests on the exchange just inside it.
Profit comes home in slices
Each time unrealized profit climbs another 25 percent of the margin behind the position, the engine closes 20 percent of it and the rest keeps riding. Nothing is taken off in one go, and nothing waits for a target either. The next section says what happens to the money.
What happens to a profit
A realized slice crosses back to Solana and buys the coin on the open market. It is never one order. The engine splits it into 5 to 12 slices of uneven size, with 10 to 90 minutes drawn between each one, so a harvest lands over several hours and no one can stand in front of it. What the buying does is decided at launch and cannot be changed afterwards:
- Burn. What is bought is destroyed with an on-chain burn, so the supply actually drops. Nothing is parked in a dead wallet where it could come back.
- Pay the holders. What is bought pools up and goes out to holders instead. A payout only fires once the pot is worth at least $25 and at least $0.50 per holder who gets something. Balances under $10 do not count, and the top 1,000 holders are paid pro rata by what they hold at that moment. Under those thresholds the fees would eat the payment, so the pot waits instead.
Neither route touches the position. The margin and the reserve stay where they are, and the next claim keeps building on them.
The book, and why it keeps moving
A fee is not a position. Fees arrive in a trickle, so the position is built in steps, and every claim goes in at whatever the price happens to be that minute. What a coin page shows is the arithmetic on that book of claims against a live mark:
- Size is the sum of each claim's margin times the leverage, divided by the price that claim went in at.
- Average entry is the total of those margins times the leverage, divided by the size. A claim at a worse price pulls it up, a claim on a dip pulls it down.
- Open result is the distance from the average entry to the mark, times the size, in the direction the coin was launched with.
- Liquidation is recomputed on the whole book every time a claim lands, because both the average entry and the margin behind it just changed. So is the reserve ladder, and so is the price the next slice of profit comes off at.
Every claim is listed on the coin page with its time, its size in SOL, the price it went in at and the average entry it left behind, so the whole position can be recomputed by anyone reading it.
What leverage costs you
Leverage decides two things at once: how large a position a fee buys, and how small a move against it ends the position. The table below is live, computed on the market and direction you select, for one SOL of fees at the current price.
Simplified. It shows the adverse move to liquidation before and after the reserve ladder deploys, and it leaves out exchange fees, funding and the extra size each reserve step carries. A stop-out or a liquidation can still end a position at a heavy loss.
Costs and waiting
The engine batches. A quiet coin can sit a while before anything visible happens, because the amounts are still accumulating.
Deployed capital also pays the market's own costs, which no strategy avoids: exchange trading fees, funding on every open position, bridge fees in both directions, Solana transaction fees and swap slippage. Funding is the one to watch. It is charged continuously on an open position and can erode collateral even when price has not moved against you.
Questions
Can it go short?
Yes. Direction is set per coin at launch, long or short, at the leverage you chose. Neither can be changed afterwards.
What happens if the position loses money?
You lose that money. Three things soften it: the reserve deploys in steps as price approaches liquidation, each position is isolated so one market cannot drain the others, and a stop rests just inside the liquidation price, so a stop-out usually recovers some capital where a liquidation recovers none. None of that is a guarantee. A fast gap can blow through a stop, and everything deployed can be lost.
How high can the leverage go?
As high as the market itself allows on Hyperliquid, in whole steps: 40x on BTC, 50x on SP500 and the currency pairs, 20x on SOL and most of the stocks, 10x on the rest. Markets the exchange runs below 10x are not listed here at all.
What that costs is in the table above, and it is worth reading before dragging the bar. On BTC, 10x liquidates on a 10.1 percent move against the position and 12.7 percent once the reserve has deployed. At 40x the same numbers are 2.5 and 3.2 percent, which is inside an ordinary day's range. A fee stream is a thin trickle of collateral, and the reserve ladder needs room to work, so the high end of the bar leaves it very little to defend with.
What does launching cost?
Only what Solana charges: rent for the accounts the launch creates, the network fee and any priority fee. StonkFun takes nothing for this path and there is no SERPS launch fee. You sign one transaction in your own wallet and that is the end of it. Within a minute or two StonkFun adopts the pool and the coin appears there with its own page, chart and fee ledger.
Who holds the money?
The platform does. A coin's position wallet and its exchange account are derived from keys the operator controls, and the creator never holds them. Everything the engine does is visible on chain, but the fee stream is being trusted to an operator.
Is any of this a yield product?
No. There is no promised rate and no APY. A coin with no trading volume earns no fees and gets no position. A position that loses is simply a position that lost.