DICKBUTT

DICKBUTT is a decentralized, community-run coin. The fee system is intended to support that community over time, with defined allocations that do not depend on the continued involvement of any single contributor. This objective informs the allocation design; the operating roles and remaining administrative powers are documented in §09.

Trading creates fees. The central question is where those fees go after collection. The system gives each supported fee token a defined route, making the connection between trading activity and its destinations easier to inspect.

The design has four outcomes: fund SPCXC distributions for eligible DICKBUTT holders; send DICKBUTT to the shared burn address; provide WETH to the Strategic Dickbutt Reserve; and recognize the artist behind the original character. Each outcome is accounted for in its own token. These flows do not create a fixed return or make a token balance a claim on the reserve.

Architecture and allocation design: [1] [2]

3.1   Clanker: two collection paths

The DICKBUTT/WETH locker collects fees in both tokens. The documented locker path deducts 60% of each token side, leaving 40% for the direct collection route. A separate legacy fee module can return the deducted DICKBUTT to the creator through the relevant fee Safes.

The LockerHarvester collects the direct stream. The LegacyFeeHarvester recovers returned DICKBUTT from verified current and historical Safes. Both feed the token-specific router. When both paths are operational, the system can receive effectively all collected DICKBUTT and 40% of collected WETH. Successful collection, the upstream Safe/module arrangements, and the separate legacy creator-authority handoff remain necessary. [1]

3.2   Aerodrome: a dedicated liquidity position

The second source is a dedicated full-range DICKBUTT/SPCXC concentrated liquidity position on Aerodrome Slipstream. A position is a contribution of liquidity represented by an NFT. Its harvester collects that position’s earned fees: DICKBUTT goes to the burn address and SPCXC goes to the rewards distributor.

This covers the managed position’s share of fees. Other liquidity providers retain the fees attributable to their own positions. The documented target is a 0.3% base swap fee, but fee modules can change the effective fee. The actual pool and its configuration must be checked on-chain. [5]

3.3   Collection depends on custody

Each source becomes usable only after its required ownership or custody arrangement is in place. The Aerodrome harvester is configured for a specific position manager and NFT ID; it cannot collect that position’s fees before receiving it. A staged launch may therefore enable one fee source before another. Test deployments do not establish that these production handoffs have happened.

The router creates two genuine Splits PushSplit V2.2 contracts through the official factory. One distributes DICKBUTT; the other distributes WETH. Their recipient lists and percentages are immutable in the selected design. Splits handles the allocation, while a separate executor handles conversion to SPCXC. [2]

4.1   The denominator matters

“10% of WETH and 10% of DICKBUTT” means 10% of each incoming token stream. It does not add up to a 20% share of their combined value. Likewise, 80% applies to WETH that reaches the splitter, after upstream collection. It is not 80% of total trading volume.

Splits rounds allocations down in the tokens’ smallest units and retains small residual balances. That dust remains in the Split and participates in later distributions, subject to the protocol’s retained-unit behavior. No separate WETH allocation is deducted for bot gas; operation is funded externally. [2]

The 80% WETH allocation reaches SpcxcSwapExecutor. Its configured route uses Aerodrome Slipstream to exchange WETH for USDC, then USDC for SPCXC. The resulting SPCXC is delivered to the fixed rewards distributor. The executor does not take another percentage of the allocation. [2]

The conversion route and the DICKBUTT/SPCXC rewards position perform different jobs. The former buys the reward token; the latter earns additional fees from providing liquidity. The documented two-hop conversion was selected because the inspected direct WETH/SPCXC pool was shallow. Executable liquidity must still be checked at the time of a swap. [5]

5.1   Bounded execution

Only an approved keeper can trigger a conversion. Each call is subject to a size cap, cooldown, deadline, and minimum acceptable output. A separate floor-setter role refreshes a price floor above an owner-defined lower bound. That floor expires within one day; an expired floor stops swaps until it is refreshed.

The contract checks the actual WETH spent and the actual SPCXC received, rather than trusting the router’s reported output alone. The price floor is an administrative protection. It is not an independent price oracle, and it does not eliminate slippage, market manipulation, or owner authority. [2] [4]

5.2   Purchased SPCXC is distributed to holders

After the executor buys SPCXC, the tokens are delivered to the rewards distributor for payment to eligible DICKBUTT holders. This is the purpose of the 80% WETH allocation: purchase the reward asset, account for each holder’s share, and send that share to the holder’s wallet.

SPCXC collected from the managed Aerodrome position reaches the same distributor without requiring a purchase. Both sources support holder distributions. Payment follows the calculation, commitment, timelock, and verification process in §07; the completion of a swap does not itself trigger an immediate payment to every wallet. [1]

5.3   SPCXC: backing and redemption

SPCXc is the SpaceX tokenized stock listed in the official Coinbase Tokenized Stocks catalogue on Base. Issued by Coinbase Onchain SPV Ltd, these securities represent beneficial interests in underlying SpaceX shares. Coinbase describes the programme as fully backed: tokens are issued against shares held in regulated custody, with assets separated from Coinbase through a bankruptcy-remote structure. [6] [7] [9]

In his 14 September 2026 announcement, Brian Armstrong described Coinbase Tokenized Stocks as fully backed securities redeemable for their underlying shares, with corporate dividends integrated into the product. SPCXC therefore connects the DICKBUTT reward mechanism to a share-backed security issued through Coinbase. [8]

Redemption is subject to the issuer’s terms. Coinbase’s FAQ limits primary minting and redemption to approved institutional partners and Authorised Participants. The SPCXc prospectus also provides for redemption by other holders who satisfy its vesting conditions, subject to the stated procedures. Holding tokens in a wallet alone does not establish an unconditional right to redeem; eligibility, identity checks, jurisdiction, fees, and settlement requirements apply. [7] [9]

Within this protocol, “stock dividends” describes trading-fee distributions paid to DICKBUTT holders in SPCXC. These payments are funded by the fee mechanism described in this paper. Any corporate dividend declared on the underlying shares is handled separately under SPCXC’s issuer terms, including reinvestment after applicable deductions. [7] [9]

A single snapshot can treat a balance held for one moment as if it had been there for an entire period. The calculator instead reconstructs transfer history and measures the time-weighted average balance: how much DICKBUTT a wallet held, multiplied by how long it held that amount.

6.1   Eligibility and exclusions

The repository’s default minimum is a time-weighted average of 6.9 million DICKBUTT. Eligibility follows the configured minimum and exclusion list. Liquidity pools, burn addresses, treasury addresses, and operational contracts require explicit exclusions so that infrastructure does not receive holder rewards.

A wallet’s current balance alone cannot determine eligibility for a completed period. The calculation must consider its history, the period boundaries, exclusions, the selected minimum, and any payout threshold. Small allocations can accrue across periods until they are large enough to pay. [1] [3]

6.2   Dividing the available reward pot

The calculator requires an explicit weighting rule. Under linear weighting, an eligible wallet’s weight is its time-weighted average balance. Its new allocation is proportional to that weight within the eligible set.

For example, a wallet with 15M average DICKBUTT represents 5% of an eligible total of 300M. With an illustrative 100 SPCXC allocation pot, its new share is 5 SPCXC before rounding and settlement rules. Neither the pot nor that return is fixed.

Square-root weighting is also supported, but splitting a balance across multiple qualifying wallets can increase its combined weight. Linear weighting avoids that particular advantage, ignoring eligibility thresholds and integer dust. Neither method identifies unique people. The selected economics are bound into the calculator configuration and need an explicit migration if changed after accounting begins. [3]

6.3   Choosing the first period

The calculator reconstructs balances from the token’s first block. A bootstrap run can establish a starting boundary with a zero reward pot, allowing the next period to measure from that boundary. Without this decision, the initial average can cover the token’s entire history. The production start date therefore belongs in the published reward policy.

6.4   Balance changes within a period

Each transfer changes the balance used for the remaining portion of the period. A transfer does not rewrite the amount previously held or the time for which it was held. The calculation therefore distinguishes a continuous position from a position acquired shortly before the period closes.

Consider two wallets over a 30-day period. A wallet holding 10M DICKBUTT throughout the period has a 10M average. A wallet holding zero for the first 15 days and 20M for the remaining 15 days also has a 10M average. Under linear weighting, the same eligibility rules, and no exclusions, they receive the same weight despite having different closing balances. Prior accrued rewards can still make their final payable amounts differ. [3]

Receiving SPCXC at the distributor and paying holders are separate stages. Funds must be reconciled, assigned to a payment plan, committed, and delivered. This prevents the same funds from being promised to multiple rounds.

1. Measure a finalized period

   The calculator uses a selected finalized block and consistent historical data to reconstruct balances, payments, and existing commitments. Missing data or inconsistent commitments stop the calculation.

2. Build the payment commitment

   A Merkle tree summarizes the wallet addresses and payment amounts in a compact root. The calculator journals the period, its configuration, allocations, and payment plan.

3. Propose and wait

   An approved proposer submits the root and total. The documented default delay is 24 hours, allowing the guardian to cancel a pending round before activation.

4. Verify and deliver

   The standard keeper independently reconstructs the historical allocation before signing. After activation, an approved keeper sends proof-verified batches of SPCXC directly to wallets.

5. Reconcile the result

   Failed recipients can be retried individually. Paid amounts are matched against the plan. Unpaid amounts in cancelled or closed matching rounds are credited back once by the calculator.

7.1   What a proof establishes

A valid Merkle proof shows that a payment belongs to the committed plan. It does not establish that the plan used fair eligibility rules or correct historical balances. Those properties depend on the independent reconstruction of the calculation and the controls around proposer, keeper, and owner authority. [3] [4]

7.2   Six-hour reward cycles and carried balances

Rewards are scheduled every 6 hours. The default proposal cap is 50% of the unreserved distributor balance, with at least 6 hours between proposals. The remainder carries forward. Pending obligations, unpaid batches, and small accrued rewards also affect the distributor’s balance. A balance in the contract is therefore not the same thing as a pot that can immediately be paid in full.

The 6-hour reward cycle is separate from the activation delay: each committed round must complete its timelock before payment. Actual delivery depends on available fees, completed swaps, bot availability, and successful transfers. The account journal records each period without overwriting previous entries, supporting reconstruction after interruption. [3] [4]

7.3   Separate available funds from committed funds

The distributor’s token balance contains more than one accounting category. Some tokens may already be reserved for pending or active rounds. Those obligations must be excluded before another round is proposed. Plans prepared locally but not yet committed also require a reservation in the calculator’s records.

This separation prevents funds already committed to one group of recipients from being allocated again. As payments succeed, the record of each round is reconciled against its actual transfers. An unsuccessful recipient can be retried without paying recipients who already received their allocation a second time. [3] [4]

8.1   Strategic Dickbutt Reserve (SDR)

The Strategic Dickbutt Reserve receives 10% of WETH reaching the splitter. Its mandate is to buy CryptoDickbutts NFTs from the floor and hold them in a Dickbutt community treasury wallet, building a shared reserve to help fund the Gooch Island goal.

These acquisitions also pay homage to CryptoDickbutts, the collection that helped pave the way for the meme in the crypto space. Building the reserve recognizes the collection and its community for bringing Dickbutt into on-chain culture. [10]

The fee contracts deliver WETH on Base. Bridging funds and buying CryptoDickbutts NFTs remain manual treasury actions outside the fee contracts. The allocation provides funding for the reserve; the selection of NFTs, purchase timing, and subsequent use of reserve assets are treasury execution decisions. [1]

The fee router does not choose a listing, bridge funds, verify a listing’s price, or execute a marketplace purchase. Acquisition criteria and transactions should be published alongside the reserve’s holdings, so the community can inspect how funds are deployed toward the stated objective. The allocation alone does not establish automatic floor purchases, minimum purchase volumes, or redemption rights for DICKBUTT holders.

8.2   Reserve reporting

The reserve should be evaluated through its holdings and transaction history. A useful record would identify incoming WETH allocations, any bridge transfers, the NFTs acquired, their purchase prices, and the community wallet holding them. Recording transaction hashes and NFT identifiers would allow each acquisition to be checked independently.

Funds allocated to the SDR, funds spent on acquisitions, and funds later deployed toward Gooch Island represent separate stages. Reporting them separately would make the reserve’s progress clear without treating an NFT purchase as an island expenditure. These reporting principles distinguish treasury activity from fee-contract execution; they do not add execution powers to the fee contracts.

8.3   Recognition of the original artist

The two Clanker-derived fee splits each allocate 10% of their respective tokens to the configured K.C. Green recipient. This produces a WETH transfer from the WETH stream and a DICKBUTT transfer from the DICKBUTT stream. The allocation is an ongoing homage to K.C. Green as the creator of Dickbutt. [2]

For years, Dickbutt has circulated through copies, remixes, and communities far beyond its original comic. Green has publicly said he freely lets others use the character. That circulation does not automatically return income to its creator. The allocation is a gesture of gratitude from the community: directing a share of the value built around Dickbutt back to the person who drew it, without asking him to police its use or pursue licensing payments. [11]

The tribute is unsolicited: K.C. Green did not request the payments and does not support crypto. It recognizes his authorship without implying participation in, operation of, or endorsement of the protocol. Whether he accesses the recipient wallet remains his decision. The allocation does not depend on those balances being used.

Permissionlessness is a property of particular actions. Anyone can trigger supported harvesting, token splitting, activation after the timelock, and closure of a fully paid round. Swapping and paying require approved keepers; proposing a reward root requires an authorized proposer. Routine automation can operate without multisig signatures, while administration and intervention remain possible. [4]

9.1   What is immutable

The selected PushSplits have zero owners and fixed recipient allocations. The router has no owner or arbitrary token-routing method. Those properties fix the allocation contracts themselves; they do not remove authority in fee sources, the swap executor, the reward proposer, or external token infrastructure.

9.2   What can be changed

Owners can change certain operating limits and approved roles. Some fee receivers use timelocked updates with an optional permanent freeze. An Aerodrome NFT may use a time-based custody lock or a permanent lock. Destination freezing, ownership transfer, and permanent NFT locking are separate actions with different consequences.

Administrative ownership does not offer a direct reward-token withdrawal function in the distributor. However, the owner’s ability to appoint keepers and propose roots remains a material trust assumption. Similarly, a swap owner’s authority over roles and execution bounds is stronger than the narrow floor-setter role. A claim that the entire pipeline has “no human control” would miss these distinctions. [2] [4] [5]

A complete description includes the conditions under which the system can slow down, stop, or produce a different economic outcome than expected.

Fee income is variable.

It depends on trading activity, liquidity, routing, and the fee sources actually controlled by the pipeline. A new pool cannot force an aggregator to route trades through it.

Conversion depends on the market.

Available liquidity, slippage, price-floor validity, router behavior, and reward-token transfer policies affect whether WETH can be converted and how much SPCXC arrives.

Automation needs operation.

Bots need gas, functioning infrastructure, correct configuration, and available chain data. A fixed recipient does not guarantee uninterrupted collection or payment.

A commitment needs independent checking.

A cryptographically valid plan can still encode the wrong allocation. Independent keeper verification and multisig review remain part of the security model.

Custody choices can be permanent.

An incorrectly configured immutable recipient or permanent position lock can be difficult or impossible to repair. The deployed configuration determines the actual result.

Accounting needs its history.

The journal supports recovery and detects inconsistencies. Its hashes cannot recover a deleted history; independent backups remain necessary.

The implementation includes caps, timelocks, role separation, retries, and failure checks. Each addresses a specific failure mode. None establishes a fixed yield, a guaranteed token price, or independence from all administrators and external protocols. These limitations are part of the architecture described in the source documents. [1] [3] [4]

On-chain verification connects the fee flow in Figure 01 to the contracts that carry it out. The relevant records include contract addresses, recipient allocations, operating roles, reward settings, and custody of the managed liquidity position. The implementation repository documents the components and their responsibilities. [1]

The reward contract address and Aero pool link will be added here once provided. Those references will let readers inspect the deployed configuration and follow collection, split, conversion, and payout transactions against the mechanism described in this paper.