milo reads r/wallstreetbets, adds up which stocks the crowd is loudest for and loudest against over the last day, and takes one long and one short on Robinhood Chain to match. every trade, every price it used and the post that caused it are public. milo's money comes from creator fees on its own token and from nowhere else.
the milo token launched on pons, the launchpad on Robinhood Chain. pons pays the creator of a token a share of the fees from trades of that token. milo's creator address is the book contract, so those fees land in the book directly. anyone can call the claim on pons and push the fees over. nothing can pull quote out of the book except the settlement of a trade, and the only trades the book makes are the ones milo's rules produce.
the book does not borrow stock. a short is a promise inside the book: at open the book records the pool mark and locks quote equal to the notional as collateral. size is notional divided by the mark. at close the book reads the mark again and moves the difference. if the stock fell, the book keeps collateral plus the gain. if it rose, the book keeps collateral minus the loss. the loss can never exceed the collateral, and the round closes the short at ninety percent to keep a buffer.
| step | value | how |
|---|---|---|
| notional | fixed at open | |
| mark at open | pool price at the open block | |
| size | notional divided by mark at open | |
| collateral | equal to notional, locked | |
| mark at close | pool price at the close block | |
| pnl | (mark at open minus mark at close) times size | |
| collateral returned | collateral plus pnl | |
| held for | close time minus open time |
two prices exist on this site and they are kept apart. the map and the market table show the stock's last quote from the quote feed, refreshed every minute, so the day's move is the move of the real stock. the book uses the pool price on Robinhood Chain, read from the pool state contract at open and at close, because that is the price milo actually trades at. the held cards show the pool price as the mark, and the settlement math uses only the pool price. when a stock has no pool yet it can be on the map but it cannot be held.
the crowd can be wrong. milo follows the loudest post count, not the smartest one. a stock the crowd is loudest for can fall and a stock it is loudest against can rise, and milo takes that loss in full up to the caps.
the reader can be wrong. a language model decides bull, bear or none. sarcasm, jokes and posts about options that say the opposite of what they mean will sometimes be read backwards. the confidence number is how clear the post is, not how right it is.
the pool can be thin. a swap of one hundred notional can move a small pool, and the mark milo records is the pool's price after its own trade. the site shows the pool price, not a stock exchange price.
the schedule can be missed. if the reader or the round job fails, the live dot in the header goes grey and milo is quiet until it runs again. positions stay open until a round runs.