AE-0h / TWAMM

TWAMM Smart Contract

Title

TWAMM Hook

Version

Solidity 0.8.15

License Identifier

SPDX-License-Identifier: UNLICENSED

Description

The TWAMM (Time Weighted Average Market Maker) hook provides functionality for long-term orders within a decentralized exchange environment, specifically designed for the Uniswap V4 protocol. It employs a virtual order mechanism to execute trades over a specified duration, improving capital efficiency and reducing price slippage.

Please follow these steps, if you all ready have Foundry setup ignore steps 1 and 2

Step 1: Install Rust https://doc.rust-lang.org/book/ch01-01-installation.html

Step 2: Install Foundry https://book.getfoundry.sh/getting-started/installation#using-foundryup

Step 3: Build Please run the command below to build your contracts forge build If you get a stack to deep error try running the command below forge build --via-ir

Step 4: Test Please run the command below to test your contracts, the given tests are examples please generate your own. forge test

Key Components

• TWAMM State: Holds the state of virtual orders and manages their lifecycle.
• Hooks Calls: Defines specific points in the pool's lifecycle where the TWAMM logic interjects.
• Order Submission: Allows users to submit long-term orders, which are then executed incrementally over time.

Contract Features

• Expiration Interval: A fixed interval for order expiration, ensuring all orders end at consistent times.
• Order Execution: A mechanism to execute virtual orders based on the current state and price of the pool.
• Tokens Owed Tracking: Records the amounts owed to users based on executed portions of their orders.

Libraries and Interfaces

• Utilizes various Uniswap V4-core libraries such as Hooks, TickBitmap, and SqrtPriceMath for managing pool states and calculations.
• Interfaces with the Uniswap V4-core contracts for actions like transferring tokens securely.

Events

• SubmitOrder: Emitted when a new order is submitted, capturing details like the pool ID, order rate, and expiration.

Modifiers

• poolManagerOnly: Ensures that only the pool manager can call certain functions, protecting the integrity of the pool operations.

Functions

• Initialize: Sets up the initial state for the TWAMM within a pool.
• ExecuteTWAMMOrders: Facilitates the execution of virtual orders at the current block timestamp.
• SubmitOrder: Allows users to submit new orders, which are then processed by the contract.

Exceptions

• Various custom exceptions are thrown for conditions like ownership mismatches, uninitialized state, and invalid order parameters.

Usage Notes

• This contract is intended for use with Uniswap V4 pools and requires understanding of the TWAMM concept.
• Proper interaction with the contract requires a suitable front-end interface or other interaction scripts.

Deployment

• The contract must be deployed in an Ethereum-compatible environment with access to Uniswap V4 pools.
• It requires configuration with a valid IPoolManager and the expiration interval for orders.

Hooks Section

The TWAMM contract utilizes the following hooks from the Uniswap V4 Hooks library:

• beforeInitialize: Called before the pool is initialized.
• beforeModifyPosition: Called before a position is modified.
• beforeSwap: Called before a swap is executed.

These hooks allow the TWAMM contract to interject its logic at crucial points in the pool's lifecycle to manage the state of virtual orders accordingly.

Hook Calls Detail

• beforeInitialize is used to set up the initial state for the TWAMM.
• beforeModifyPosition and beforeSwap are utilized to execute virtual orders and adjust the state before any position changes or swaps occur in the pool.

Note: Other hooks from the Hooks library are available but not used in the current implementation of the TWAMM contract. Their corresponding flags in the getHooksCalls function are set to false.