A bounty is a commitment posted on-chain by a trusted party, reflecting the list of new tokens and their corresponding nominals backing the index.

  1. In order to facilitate reconstitutions, AMKT utilizes a bounty system. A trusted party (governance) determines the assets to be included, the respective weights of those assets, and the proposed fulfiller as part of the rebalance.

  2. The reconstitution proposal containing these details is published and voted upon by AMKT holders. If approved, the governance multi-sig confirms with the fulfiller the nominals of the rebalance, to ensure those values adequately reflect market pricing at the time the rebalance is to be completed, and publishes the bounty to the smart contract.

  3. A bounty is computed as nominal (wei) token per 1e18 AMKT (divide the on-chain total supply by 1e18, then divide the nominal token by that). It represents an entry in the next list of underlying assets for a given asset.

  4. A bounty is hashed and stored in an ActiveBounty contract, which keeps track of the next allowed bounty.

  5. The bounty smart contracts are immutable. However, Timelock Controller is able to upgrade the rebalancer role to a different address.

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