LockItIn Teal Paper

Trust-Minimized Infrastructure for Peer-to-Peer Informational Commitments

Legal Notices

This Teal Paper is for informational purposes only. It does not constitute a binding agreement.

Token Sale Participants: Purchases are governed by the Token Sale Terms, which purchasers must accept and cryptographically sign. The Token Sale Terms control in the event of any conflict with this document.

Protocol Users: Protocol interactions are governed by the Terms of Use, available at the Reference Explorer.

Important Disclosures

• This document is not legal, financial, or investment advice.
• LOCKIT is intended to function solely as a governance token for on-chain protocol parameter and treasury administration as described in this Teal Paper and the Operating Agreement. LOCKIT does not represent equity, debt, ownership, a claim on revenue, dividends, profit-sharing, or redemption rights. Regulatory authorities may characterize tokens differently depending on jurisdiction and facts and circumstances.
• The DAO does not anticipate making distributions to token holders; any distribution would require an approved governance proposal and would be made pro rata at a record date specified in the proposal.
• All forward-looking statements are subject to risks and uncertainties.
• Software and smart contracts are provided "AS IS" without warranty.

Risk Summary

By using this protocol or acquiring LOCKIT tokens, you acknowledge:

• You may lose 100% of committed funds
• Smart contract, oracle, and blockchain risks are inherent
• Token value may decline to zero
• You are solely responsible for regulatory compliance in your jurisdiction
• No party is obligated to recover lost or forfeited funds

Excluded Regions

The token sale is NOT available to residents of the United Kingdom, European Union, European Economic Area, Canada, China, Singapore, Australia, Thailand, Myanmar, the U.S. states of California, New York, Hawaii, Texas, Alabama, Vermont, Maryland, Nevada, or Sanctioned Jurisdictions.

"Sanctioned Jurisdictions" includes jurisdictions or regions subject to comprehensive sanctions and persons on restricted lists under applicable sanctions regimes (OFAC, EU, UK, UN, and others). Current examples include Cuba, Iran, North Korea, Syria, Russia, Belarus, Afghanistan, Yemen, and the Crimea, Donetsk, and Luhansk regions. OFAC and other authorities update sanctions programs from time to time; users should not rely on any static list.

The geoblock list may be updated to reflect sanctions changes, regulatory guidance, or DAO governance decisions. LockIt Labs LLC is obligated under the Services Agreement to maintain and update geoblocking as necessary.

Abstract

LockItIn is open-source blockchain infrastructure enabling peer-to-peer informational commitments with oracle-based resolution. Participants stake positions on natural-language statements and accept resolution by VERO, the DAO-elected oracle system. Settlement executes autonomously—the protocol holds no custodial role, sets no terms, and takes no exposure.

The key insight: the commitment is on what the oracle says, not on the underlying event. Both parties explicitly accept this before funds lock. This transforms oracle resolution from a trust problem into an explicit contractual agreement.

Protocol Design

What LockItIn Is

LockItIn is autonomous smart contract infrastructure that:

• Enables bilateral, cryptographically-secured informational commitments
• Resolves statements through decentralized oracle arbitration (VERO)
• Executes settlement programmatically based solely on oracle output
• Operates non-custodially (the DAO never touches user funds)

What LockItIn Is Not

The protocol does not:

• Take custody of stakes (funds held by immutable contract logic)
• Set odds or terms (ratios derive from users' chosen amounts)
• Take principal exposure or house risk
• Adjudicate disputes (oracle output is deterministic)
• Match participants or provide liquidity
• Market itself as entertainment or gaming

Protocol Flow

1. Party A proposes a statement and commits USDC
2. Party B reviews the statement and VERO configuration, commits to accept
3. After the resolution timestamp, anyone triggers the oracle
4. VERO returns: YES, NO, or VOID
5. Funds distribute automatically per contract logic

Note on VOID outcomes: A VOID result triggers refunds to both parties, but fees (including the resolution fee and any applicable percentage fees) are still deducted before refund amounts are calculated. VOID does not guarantee a full refund of the original commitment.

The Oracle Contract

VERO ("Verification Engine for Resolution Outcomes") resolves commitments using a DAO-governed configuration. Once the VERO timelock is activated, oracle changes require 30-day on-chain notice before taking effect.

The commitment is self-defining. When Party B accepts, they commit to whatever the oracle returns—not to predicting the underlying event.

Technical Architecture

Smart Contracts (Base Mainnet)

Governance Infrastructure:

Protocol Infrastructure:

Vesting Contracts:

External Dependencies:

All contracts are verified on Basescan. The authoritative Contract Registry is maintained at https://lockitindao.org/contracts/. Only trust the Contract Registry for current addresses. Other deployments may exist; only addresses listed in the Contract Registry are officially supported by the DAO.

Contract Properties

• Non-custodial (holds user funds only for autonomous settlement)
• Automatic distribution on resolution
• Asymmetric stakes supported (user-defined ratios)
• Targeted commitments (optional private counterparty)
• Creator can cancel while Open
• Mutual exit while Locked (both parties signal)
• Emergency void after 7 days if oracle fails
• Timeout void after 30 days if no resolution triggered
• No pause function, no upgrade mechanism, no admin withdrawal

Commitment Tags

Commitments support an optional bytes32 tag field for indexing and filtering. Tags are indexed in the CommitmentCreated event for efficient log queries.

Recommended format: keccak256("<namespace>:<key>")

Guidelines:

• Namespace with a domain or ENS name you control
• Use lowercase keys with charset [a-z0-9._-]
• bytes32(0) means "no tag" (untagged)
• Tags are untrusted user input—treat as hints, not endorsements
• Human-readable labels are a client-side concern

Oracle Pipeline

requestResolution() → Chainlink DON → Search/Data API → Inference API → fulfillRequest() → on-chain result

Chainlink Functions executes JavaScript in a decentralized oracle network. Multiple nodes independently run the resolution pipeline, reach consensus, and write results on-chain. Outcomes encode as: NO=0, VOID=1, YES=2.

VERO (Verification Engine for Resolution Outcomes)

VERO is a role, not a vendor. Governance can appoint a new VERO configuration by scheduling an oracle update subject to a 30-day timelock once activated.

Current Configuration:

• Search: Exa API
• Market Data: Twelve Data API
• Weather: Visual Crossing API
• Inference: xAI Grok (grok-4-1-fast-non-reasoning)
• Temperature: 0 (deterministic)

Settlement Layer

USDC is the sole settlement currency. If a transfer fails (e.g., recipient blacklisted by Circle), funds redirect to the DAO treasury. The contract emits a PaymentFailed event. Funds redirected due to transfer failure may not be recoverable.

LOCKIT Token

Overview

Token Allocation

Vesting Schedule Details

Founder Allocation (50M LOCKIT):

• 10M (1% of supply) released immediately at TGE
• 40M (4% of supply) vests linearly over 2,777 days (7 years, 7 months, 7 days)
• Vesting contract: 0x07555F41D663c84445D3F23b07D086eCAc0Cf387

DAO Treasury Allocation (400M LOCKIT):

• 50M (5% of supply) released immediately to Timelock at TGE
• 350M (35% of supply) vests linearly over 4,356 days (11 years, 11 months, 11 days)
• Vesting contract: 0x13a35CE0F81cd1722157d7949742c2782cb15E4F
• Beneficiary: DAO Timelock (0x10DD0b5A0E79a5399AE8d8DD6f3562250696112F)

Token Sale Mechanics

Contributions are made exclusively via the LaunchVault contribute() function. Do not send USDC directly to the vault contract address—direct transfers may be unrecoverable.

If the goal is met: Anyone can call finalize() to deploy the LP and enable token claiming. After finalization, contributors call claim() to receive their LOCKIT tokens.

If the deadline passes and the goal is not met: Contributors can call refund() to recover their USDC. If the sale fails, the 1B LOCKIT allocated to the vault remains locked permanently (effective burn).

Emergency provisions: If the goal is met but finalization fails repeatedly (e.g., due to technical issues), an emergency refund path becomes available after 180 days. A manual override system exists for LP creation after repeated finalize() failures, executable only by a designated operations wallet.

For complete terms and edge cases, see the Token Sale Terms.

Governance Rights

Token holders may participate in governance decisions including:

• Protocol fee adjustments (within hardcoded bounds)
• Oracle configuration (providers, endpoints, models, prompts)
• Treasury token allocations and grants
• Fee discount thresholds (0%–50% maximum)

LOCKIT is intended to function as a governance token. It does not represent equity, a claim to profits, or redemption rights. Token value may decline to zero.

Fee Structure

Fees are designed for cost recovery to sustain protocol infrastructure, not profit extraction.

All fee changes require Governor Timelock (2 days).

Transaction Builder Fee

Users may include optional "referrer" addresses when proposing or accepting commitments. On settlement, the contract routes the tx-builder fee to these referrers (split 50/50 if both sides specify one). If no referrer is specified, the fee routes to the DAO treasury.

Capital Allocation

The $500,000 USDC raise allocates as follows per the Services Agreement:

Token sale participants are acquiring governance rights over protocol parameters and the DAO token treasury. Raised USDC funds operational expenses under the Services Agreement—the DAO does not receive a separate USDC allocation.

Allocation Details

Burned LP ($50,000): Paired with 50,000,000 LOCKIT tokens and deployed to Uniswap V2 on Base. LP tokens are burned permanently. Sets initial pool ratio to $0.001 per LOCKIT.

Compliance Budget ($250,000): Managed by LockIt Labs LLC per the Services Agreement. Covers legal counsel, regulatory analysis, CPA services, entity maintenance, and compliance-related expenses. Estimated two-year runway.

Development Services ($125,000): Compensation to LockIt Labs LLC for protocol development, Reference Explorer maintenance, VERO improvements, and technical documentation per the Services Agreement.

Infrastructure Budget ($75,000): Managed by LockIt Labs LLC per the Services Agreement. Covers Chainlink LINK tokens for oracle operations, API subscriptions, hosting, and operational gas. Quarterly expense reports published.

Budget Custody

All operational budgets are held by LockIt Labs LLC in designated wallets per Schedule B of the Services Agreement. Budget funds remain the beneficial property of the DAO. Labs posts itemized expenses per the reporting requirements. Upon termination of the Services Agreement, unexpended funds transfer to the DAO.

Operational Wallet Addresses (Base):

All wallet transactions are publicly verifiable on-chain.

Governance Infrastructure

On-Chain Governance

The protocol implements OpenZeppelin Governor-based governance:

Voting Power: LOCKIT is an ERC20Votes token. Voting power requires delegation (self-delegation occurs automatically on first receipt for most transfers). Tokens in non-delegating contracts may be non-voting.

Security Parameters

DAO Legal Structure

LockItIn Protocol DAO LLC is a Wyoming DAO LLC organized under W.S. 17-31, structured as a software governance association dedicated to the development and governance of open-source blockchain infrastructure for peer-to-peer informational commitments.

• Filing ID: 2025-001842072
• Filed: December 15, 2025
• Registered Agent: Northwest Registered Agent Service Inc, 30 N Gould St Ste N, Sheridan, WY 82801

Public Identifier (W.S. 17-31-106(b)): The governance contracts on Base blockchain:

• Governor: 0x0C60e429900Aa91995c337772Ca6711a6CA699D4
• Timelock: 0x10DD0b5A0E79a5399AE8d8DD6f3562250696112F
• Token: 0x309456d4F1e321dCdf9a8f9245bC660bBA3f30A0

Note on Formation Documents: The DAO's Articles of Organization reference protocol address 0xe6ABfF5d44112249973838Bf75845aD91B996799, which was the planned deployment address at filing time. The production protocol deployed at 0x6481788503af7408a4229725803c053576566fD2. The governance contracts listed in the formation documents remain authoritative.

Management: The DAO is algorithmically managed through the Governor contract. Membership and voting rights derive automatically from on-chain token holdings.

Related Party Disclosures

LockIt Labs LLC (Wyoming) provides technical services under the Services Agreement effective December 31, 2025, including:

• Reference Explorer development and hosting
• VERO oracle maintenance and improvement
• Infrastructure and API management
• Compliance budget administration
• Regulatory compliance support

The founder of LockItIn Protocol DAO LLC is also affiliated with LockIt Labs LLC. This relationship is disclosed in the Services Agreement (Section 15.9). The DAO retains authority to modify or terminate service arrangements through governance.

Reference Explorer

The Reference Explorer at lockitin.xyz is a DAO-owned interface maintained by LockIt Labs LLC under the Services Agreement. It provides:

• Commitment discovery and statement browsing
• Transaction construction for protocol interactions
• Resolution history and settlement outcomes
• Block explorer functionality for protocol contracts

The Reference Explorer is informational infrastructure. It does not custody funds, set terms between parties, or determine outcomes. All protocol logic executes autonomously on-chain.

Alternative Interfaces

The protocol contracts are permissionless. Anyone can:

• Fork and deploy the Reference Explorer
• Build custom transaction builders
• Host interfaces on IPFS or other static hosting
• Interact directly with protocol contracts via any Web3 interface

LockIt Labs LLC is contracted to deliver white-label and self-hosted interface options per the Services Agreement.

Safety & Access Controls

The Reference Explorer applies safety and compliance controls designed to reduce misuse and operational risk. These controls include:

• Geographic restrictions: Access blocked from Excluded Regions and Sanctioned Jurisdictions
• Tiered commitment limits: New wallets face lower initial limits that increase with demonstrated usage
• Statement analyzer: AI-assisted warnings for ambiguous or difficult-to-resolve statements

These controls apply to the DAO-controlled Reference Explorer only and do not prevent interaction with the protocol via third-party interfaces or direct contract calls. See the Safety Policy for details.

Risk Disclosures

Smart Contract Risk

This is experimental software. Smart contracts may contain undiscovered vulnerabilities. The protocol has no pause function or admin override by design.

Oracle Dependencies

The protocol depends on Chainlink Functions, AI provider APIs, and data sources. Service changes or discontinuation may affect resolution.

Regulatory Risk

Peer-to-peer informational commitments may be subject to regulation in some jurisdictions. Depending on the jurisdiction and the nature of specific commitments, regulators may characterize outcome-contingent peer-to-peer commitments as gambling, event contracts, derivatives, or other regulated instruments. The CFTC and state regulators have specifically highlighted event contracts as an area of regulatory scrutiny.

The DAO and LockIt Labs LLC may restrict interface access in response to regulatory guidance or enforcement actions. Users are solely responsible for compliance with applicable laws in their jurisdiction.

Token Value

LOCKIT may trade at any price, including zero.

USDC Risk

USDC may depeg or addresses may be blacklisted by Circle. Failed transfers redirect to DAO treasury.

Document History

© 2025 LockItIn Protocol DAO LLC. This document may be freely distributed with attribution.