$TRENCH

$TRENCH is one fund that lets you own a slice of the whole launchpad without picking a single meme. You own your part of it through its shares, a token with the ticker TRENCH.

• Your deposit stays in US dollars (USDG) or US Treasury bills (SGOV). There is no code path that spends it on a launch.
• On top of that, $TRENCH receives from every launch: 2% of each token's supply, and a 30% share of every graduated pool's trading fees. It never buys them. It can sell each 2% bag slowly, at most 2% of the bag per day (see how the bags are sold).
• The dollar income is paid to shareholders in USDG, up to once every 24 hours, when there is income to pay.

Why it exists

Picking winners on a launchpad is hard, and most launches go to zero. $TRENCH is the other side of the trench: it sits on dollars and T-bills and is paid by the activity itself, win or lose.

Where the value comes from

NAV (net asset value) means the dollars $TRENCH holds, per share. It is the price you pay for a share when you deposit.

How the 30% arrives depends on the launch's quote:

• USDG launches: it arrives as USDG and is paid out to shareholders.
• WETH and stock launches: it waits in the FeeRouter until Vimen converts it to USDG and sends it to $TRENCH. Until then it is not paid out.
• The token side of every pool's fees adds to $TRENCH's 2% bag of that token, which counts as zero.

NAV: what one share is worth

$TRENCH prices itself on hard NAV: only the dollars it actually holds.

hard NAV = USDG held + (SGOV held × SGOV price)

The SGOV price comes from its Chainlink feed, and T-bill income is already inside that price, so it grows the NAV over time. The 2% token bags and the pool claims count for zero: they are too easy to misprice. You get them for free, as upside, because you buy at hard NAV and redeem in kind.

Deposit

1. You send USDG.
2. $TRENCH mints shares at the current hard NAV per share. The first deposit ever prices one share at one dollar.
3. Your USDG joins the principal. Vimen can move principal into SGOV, but only through a check that the SGOV received is worth at least 99% of the USDG spent.

Deposits pause when a price feed is stale. A deposit reads the USDG price feed, and the SGOV feed when $TRENCH holds SGOV. If a feed has not updated for more than 25 hours, deposits are refused until it does. This happens on some weekends, when the SGOV feed stops with the stock market. Redeeming is never affected.

Redeem

Redeeming is in kind and always open: no pause, no role and no price feed can block it. You burn shares and receive your exact share of:

• the USDG and the SGOV $TRENCH holds;
• the claims on locked pools (tPOL, counted as zero);
• the 2% token bags (you pick which ones; the app passes all of them).

One honest limit: USDG and SGOV are tokens with issuers who can pause or freeze transfers. If either one's transfers are paused, a redeem fails until they resume. A token bag that fails to transfer never blocks a redeem; it is skipped.

Payouts

Income above the principal (the USDG share of pool fees, and proceeds from selling the token bags) is swept to the $TRENCH payout contract and paid to shareholders in USDG, up to once every 24 hours. You need at least 1 share (1 TRENCH), held through a full window. Same rules as every payout contract.

How the token bags are sold

$TRENCH gets 2% of every launch and can sell it slowly. The only way a bag is sold is a manual ladder run by the Vimen Safe: each step sells exactly 2% of what is left of one token's bag, and each token can be stepped at most once per day. The proceeds become USDG income for holders. This limit is in the contract (LADDER_BPS = 200, LADDER_COOLDOWN = 1 day on the TrenchIndexVault), so even a compromised key could not dump a bag faster.

A worked example

1. Alice deposits 1,000 USDG when hard NAV is $1.00 per share. She receives 1,000 shares.
2. Over the next months some launches graduate and trade. $TRENCH's 30% share of pool fees brings in USDG. On a day with a payout, Alice's share of it arrives in her wallet. She clicks nothing. On a day with no trading, there is no payout.
3. Meanwhile, part of the principal sits in SGOV. If T-bills earn, the SGOV price rises and so does hard NAV, say to $1.01.
4. Alice redeems her 1,000 shares. She receives her share of the USDG and SGOV (worth about 1,010 USDG at that NAV), plus her slice of every token bag and of the tPOL claims.

Who controls what

$TRENCH is owned by the Vimen Safe. The owner can:

• move principal from USDG into SGOV. Each move can lose at most 1% of the value moved, and it can be repeated. There is no way back from SGOV to USDG inside $TRENCH;
• run the token-bag ladder (2% per token per day);
• convert $TRENCH's WETH and stock fee share into USDG (it chooses the route and the minimum it accepts);
• add an address to the payout exclusion list. It is meant for pools and infrastructure; an excluded wallet stops receiving payouts from the next snapshot, but keeps its shares and its redeem.

It cannot pause redeem, cannot send principal anywhere else, and cannot change the rules.

Ready? Open app.vimen.org/trench.