ParityTax Hook-AMM (PT-AMM)

Purpose

To optimize liquidity fulfillment in UniswapV4 by dynamically balancing JIT and PLP incentives through a fee-redistribution system, while managing time-bound LP positions and tax redistribution.

Responsibilities

• JIT Liquidity Taxation: To enforce a tax on JIT-provided liquidity fees during swap execution (via beforeSwap/afterSwap hooks), based on position duration and market impact.

• PLP Reward Redistribution: To redistribute taxed JIT revenue to PLPs after liquidity removal (via afterRemoveLiquidity hook), weighted by their contribution depth and longevity.

• Time-Locked Liquidity Manager: To track and enforce LP-specified deadlines for JIT liquidity provision, ensuring temporary positions automatically expire.

• Dynamic Incentive Calibration: To adjust tax rates and redistribution weights in real-time, ensuring PLPs are fairly compensated without disincentivizing JITs for large/non-informed trades.

Exclusions

• Core swap execution (handled by PoolManager)

• Price oracle mechanics

• LP token minting/burning (handled by PoolManager)