Introduction

bankhood is a memecoin with an unusual obligation: it spends its own trading fees on Robinhood Markets, Inc. common stock and hands that stock to the people holding the token. The fee is denominated in ETH, the purchase happens through a regulated broker, and holders can pull their accrued shares out of the distributor every 5 minutes.

What this is#

Three components, none of them novel on their own. An ERC-20 that charges a fee on market trades. A vault that converts those fees and buys a listed equity. A distributor that streams the resulting share entitlements back to token holders pro rata. The combination is the part that did not exist.

Everything in these docs describes a system that is not yet deployed. There is no token contract, no reserve, and no brokerage relationship in production. Read the architecture as a specification rather than as a description of running infrastructure, and read risks and disclosures before you treat any of it as a commitment.

The gap it fills#

$HOOD trades on Nasdaq, settles through the US equity plumbing, and closes at 4pm Eastern. Memecoins trade on automated market makers, settle in blocks, and never close. The two systems share no settlement layer, which has three consequences:

• Tokens named after a stock have no relationship to the stock. The ticker in the name is decoration and the price correlation is coincidence.
• Venues that do offer tokenised equity gate it behind identity verification, jurisdiction rules and whitelists, which is the opposite of how a memecoin distributes.
• Nothing on-chain can force a token price to track a Nasdaq listing. A project claiming a hard peg between the two is either collateral-backed and permissioned, or lying.

So the peg was moved somewhere it can actually be enforced. The fee is pegged to ETH, and the output of the protocol is pegged to $HOOD one share at a time, by buying it.

The mechanism in one paragraph#

A market trade in BANK pays 3% of notional, taken on the ETH leg of the swap and sent to the fee router. 70% of the router balance is forwarded to the reserve vault, which batches ETH until it clears a minimum size, converts it to USD, and buys $HOOD through the brokerage adapter during Nasdaq hours. Each fill is written back on-chain with a share count and an average price. The distributor credits every BANK holder pro rata to their balance at the snapshot and lets them claim on a 300-second cooldown. Wallet-to-wallet transfers pay nothing.

What a holder actually owns#

The distinction between the first row and the last two is the entire point. BANK can go to zero. The entitlements you claimed before that happens are backed by shares that were bought with real money and do not evaporate with the token price.

What this is not#

• Not a synthetic or a perp. There is no counterparty paying a funding rate and no oracle-driven mark. The reserve either bought shares or it did not, and the fills are public.
• Not a yield product. Distributions are a function of trading volume, not of a promised rate. Zero volume means zero distribution, indefinitely.
• Not affiliated with Robinhood Markets, Inc.. The protocol is an ordinary buyer in the public market. There is no partnership, endorsement or relationship of any kind.
• Not a price peg. BANK does not track $HOOD. The fee is pegged to ETH and the payout is denominated in shares; neither constrains where BANK trades.

Where to go next#

• Quick start — connect, acquire, and take your first claim.
• Architecture — the six components and the trust boundary between them.
• The fee engine — how ETH is collected, batched and converted, including the failure modes.
• Airdrop mechanics — the pro-rata formula and the 5-minute window.
• Risks and disclosures — read this one even if you skip the others.