FAQ & Risks
Answers about custody, security assumptions, fee structures, and the sharp edges of trading tokenized stocks on-chain.
Does Longbow ever hold my funds?
No. Orders are stored as intents; tokens stay in your wallet until the keeper executes, at which point the contract pulls exactlyamountIn, swaps, and pays out to you in the same transaction block. There is no vault, no deposit, no withdrawal locks.
Why does my order execute at a slightly different price than the trigger price?
This happens due to the separation of the **trigger check** and **swap settlement**:
- Trigger Check — The condition checks the **Chainlink oracle price** (e.g., TSLA crosses below $262.00). Keepers can only submit executions once this trigger holds.
- Swap Settlement — The actual token trade executes inside the **Uniswap V2 pool**. If the pool lacks liquidity or contains price imbalance relative to the oracle, the swap price will include price impact, resulting in a slightly different execution rate.
To prevent adverse executions, always supply a realistic minAmountOut slippage guard!
What happens during a stock split or stock dividend?
Robinhood Chain handles corporate actions via the **ERC-8056 standard**:
- The token's issuer updates the
uiMultiplier()to reflect splits (e.g. updating the multiplier from 1.0 to 3.0 during a 3-for-1 split). This automatically triples user balances. - The Chainlink price feed is total-return adjusted, meaning it will immediately reflect the post-split price.
- Active limit orders placed before the split remain active but use the pre-split trigger values. It is highly recommended to **cancel and replace** active orders during splits to align with new valuations.
How are keepers incentivized and who pays them?
Executing orders incurs L2 transaction gas fees. To reward keepers, a minor incentive is deducted from the output swap proceeds or added to the input swap. Since L2 transaction fees on Robinhood Chain are fractional (under $0.01), keeper bots remain highly profitable even with small execution incentives.
What am I trusting?
- The Contract — ~200 lines, open-source, covered by Foundry tests. Verify and read it before granting approvals.
- Chainlink Feeds — Triggers check price feeds published on L2.
- Uniswap V2 Pairs — Swaps execute against public V2 liquidity pools.
- Not the Keeper — Keepers are permissionless. They cannot redirect swap proceeds to other accounts because the contract hardcodes that output tokens go strictly to the order owner.
How should I size my allowance?
Approve only what an order needs: amountIn for a limit order, or amountIn × runs for DCA schedules. You can revoke approvals at any time by calling approve with a 0 amount.
Known Risks
- Weekend Gap — Traditional stock markets close on weekends, while on-chain pools continue trading 24/7. Stock token prices can drift into premium/discount gaps during weekends, which snap back when NYSE/NASDAQ opens on Monday.
- Oracle Pauses — Feeds are paused during major corporate restructurings (
oraclePaused() = true). Execution is suspended until oracle resumes. - Sequencer Downtime — In early phases, L2 sequencers may halt. The contract checks uptime and enforces a 1-hour grace period restart cooldown to prevent frontrunning.