PUNCH DOCS: KLP

KLP: THE POOL THAT TAKES THE OTHER SIDE.

KLP is Punch's liquidity pool token: a basket of assets that acts as the counterparty to every trade. Each chain runs its own KLP pool with its own basket. LPs earn 50% of protocol fees in real tokens, plus PUNCH emissions. They also carry real risk. All of it is explained here.

WHAT KLP IS

KLP works like GMX's GLP. You mint KLP by depositing any pool asset; you burn KLP to withdraw. The mint and redemption price track the total value of the pool's assets, including the unrealized profit and loss of open trader positions, divided by KLP supply. Deposits that move the pool toward its target weights pay lower fees; deposits that push it further away pay more. That keeps the basket balanced without an active manager.

ONE POOL PER CHAIN

FLOW KLP IS NOT ROBINHOOD KLP

Every Punch deployment runs its own independent KLP pool. Same design, different basket: Flow's KLP holds Flow-native majors, Robinhood's KLP will hold its own. Depositing into KLP on one chain gives you exposure to that chain's basket and that chain's traders only. Nothing carries over.

KLP ON FLOW EVM (LIVE)

Target composition: Flow EVM KLP
Asset	Target weight
PYUSD0	50%
WFLOW	35%
WETH	7.5%
WBTC	7.5%

The live pool behind the Flow markets: a stable-heavy basket of PYUSD0, WFLOW, WETH, and WBTC. Contract addresses are published in Chains & Contracts.

DEPOSITS & PYTH

KLP prices the whole basket at once using Pyth's live feeds. A deposit or withdrawal is two quick signatures: the first publishes fresh prices on-chain (you pay Pyth's small fee in FLOW, roughly 0.5 FLOW per feed, with the exact amount shown in your wallet), and the second is the deposit or withdrawal itself, signed within the 60-second freshness window. The app walks you through both steps and rebuilds the quote if the window lapses.

KLP ON ROBINHOOD CHAIN (UPCOMING)

A DIFFERENT BASKET, SAME DESIGN

Robinhood Chain gets its own KLP pool built around its own majors: ETH, BTC, and stables. It is a separate pool from Flow's KLP: separate deposits, separate fees, separate risk. The exact basket and weights publish when the deployment goes live.

WHAT LPs EARN

50% of the protocol fees on their chain (open/close fees, borrow fees, swap fees, and liquidation revenue), paid in the pool tokens themselves. This is a live fee share, not an emission.
PUNCH emissions from the KLP slice of the 725M emissions allocation, released on a published schedule.

WHAT LPs RISK

YOU ARE THE HOUSE

KLP is the counterparty to every trader on its chain. When traders win, the pool pays their profit; sustained trader profitability makes KLP lose value. You also hold price exposure to the basket itself: on Flow, if FLOW, ETH, and BTC fall, Flow KLP falls with them regardless of trader PnL. KLP is not a savings product.

Historically, aggregate trader PnL on GMX-style venues has favored the pool. Past results guarantee nothing. Read Risk & Disclosures before providing liquidity.

AND dKLP?

On Robinhood Chain, Punch also adds a third pool, dKLP, that underwrites synthetic markets on graduated froth.meme tokens. It shares no contracts, no fee accounting, and no risk with either KLP pool, so losses in dKLP cannot reach KLP by construction. The full design is in Architecture.