Likely dynamic fee hook on Polygon

Uniswap v4 Hook Contract 0xfae6e5e230cd04dcede66e8d6dc8a9a8086c6080 on Polygon · Dynamic fee

Volume (24h)
$0
Value locked (TVL)
$0
All-time volume
$0
Pools using this hook
1
Swaps (24h)
0 (0 traders)
Total swaps
0

What it does

This hook sets owner-controlled dynamic fees on trades, possibly different for buys and sells, and can cap how much each address sells per day, while LPs remain free to withdraw.

This read was written for the hook 0xa29f…2080 on Polygon and reused here: the two run the same code.

How it works step by step

  • Sets a dynamic swap fee on every trade, with separate fee levels apparently used for buys and sells.
  • Tracks how much each address has sold per day and can enforce a daily sell cap while a cap period is active.
  • The owner can change the limits (a daily amount and an on/off switch), set a cap expiry time, and update fee levels.
  • Checks pool setup at initialization, probably to require a dynamic-fee pool or specific tokens.
  • Never touches liquidity, so LPs can add and withdraw freely.
Swap behaviour
Before each swap the hook picks a fee, apparently different for buys and sells. While the cap is active it records each seller's daily sold amount and may reject sells above the owner-set daily limit.
Liquidity behaviour
No liquidity callbacks; LPs can add and withdraw freely.
Fee behaviour
Fees are dynamic overrides chosen per swap from stored buy/sell fee values that the owner can update. The maximum fee cannot be confirmed from bytecode, and fees go to LPs through the normal pool fee since no return deltas are enabled.
Owner & admin controls
The owner can set the daily sell limit and toggle it, set or extend when the cap expires, and change one or more fee values. No hard caps on these settings are verifiable from bytecode.

Enabled Uniswap v4 callbacks

beforeInitialize, beforeSwap

beforeInitialize: validates pool setup when the pool is created; beforeSwap: sets the fee and enforces per-address daily sell limits.

Security & trust assessment

Risk level: medium, estimated (decoded bytecode, medium confidence).

Who controls it: A single owner (two-step transferable) controls fee levels, sell-limit amount, the on/off switch and cap expiry. At worst they can make selling restrictive or expensive within whatever fee bounds exist.

Risk to user funds: The hook takes no tokens directly. It only sets the pool fee, whose maximum is unverified, and can reject over-limit sells. LP principal cannot be locked or drained.

Security findings

  • [medium] Owner-controlled sell limits: The owner can cap how much each address sells per day and switch the cap on or off, which can restrict sellers while buys continue.
  • [medium] Owner-adjustable fees with unknown cap: Fee values are owner-settable, and the maximum fee cannot be confirmed from unverified bytecode.
  • [info] LP withdrawals unrestricted: Remove-liquidity callbacks and return deltas are disabled, so LP principal cannot be blocked or deducted.

Contract details

Verified source
No
Bytecode size
6,164 bytes
Upgradeable proxy
No
Detected patterns
ownable

Pools using Likely dynamic fee hook