What one share represents.

The proposed opening basket.

The sector totals are AI 30%, RWA 25%, DeFi 20%, Infrastructure 20% and Gaming 5%. Targets describe the proposed composition. Actual weights drift as prices move. Final deployment still requires the opening basket to be approved.

Creation: assets into shares.

After the initial seed, the vault calculates the proportional amount of every held asset needed for a requested number of shares. It uses the current asset balances and total share supply, rather than pricing each asset to decide how many shares to issue.

1. The user sets maximum input amounts and a minimum acceptable share output.
2. The vault receives each asset and measures its actual balance increase.
3. The limiting asset determines the supported share amount. Under-delivery reduces the shares minted.
4. The creation fee is allocated in shares, and the remaining shares go to the recipient.

New investor shares require basket assets. Management and performance fees can also mint treasury shares through the separate fee mechanism.

Redemption: shares back into assets.

The withdrawal fee is transferred in shares to the fixed fee recipient. The remaining shares are burned, and the user receives the corresponding proportion of each vault asset. The user can specify minimum outputs. Normal redemption reads no oracle price and has no governance pause.

Entering with one token.

The ZapRouter is a convenience layer around the same vault functions. With supported liquidity routes, it exchanges USDG, ETH or another token into the required basket, then creates shares. It can also redeem and consolidate the received assets into one supported token or ETH.

The design limits spending and output, refunds leftovers and gives the router no privileged control over the vault. Pool liquidity, pool fees, gas and slippage still affect the result.

What the oracle does.

The oracle compares two time-weighted price routes for each asset: one via USDG and another via WETH. A time-weighted average uses observations over a window instead of one instantaneous pool price. The proposed window is 30 minutes.

Registration is permissionless, but an asset must prove membership in the committed official-token list, pass a code check and have qualifying, live pool routes. The proposed minimum observation capacity is 300; at least one route must have a pool fee of 0.3% or less. Registration alone does not add an asset to the basket.

Oracle values support setup and asset admission, valuation, rebalance limits and performance fees. An unhealthy oracle can stop price-dependent operations. Normal in-kind minting and redemption do not require an oracle price; management-fee accrual also remains independent of it.

Rebalancing within limits.

Anyone can propose a rebalance transaction. The contract decides whether it is allowed; the caller receives no special privilege or rebalance reward.

The contract also limits the trade to the correction needed, uses conservative ends of the oracle price ranges and pins route fee tiers to the validated routes. A final sweep of a retired holding can use a smaller trade to remove the remainder.

Value, supply and the opening reference.

The bootstrap design opens near $1 of seeded asset value per share. SECTOR100 is not a dollar peg. Thereafter, its value depends on the basket and fees. Its supply is variable, while SEC has a separate one-time mint design.

The public website's index level is an indicative series based on constituent pool prices and opening weights. It is not the net asset value (NAV) or performance history of a deployed vault.