The mechanism at play involves utilizing trading fees within a decentralized financial ecosystem. These fees are harnessed to acquire the underlying meme tokens, adhering to predetermined allocation weights. A keeper transaction, safeguarded against potential exploits like Miner Extractable Value (MEV), is employed to execute these trades with optimal security.

Within this ecosystem, the native tokens, known as meme tokens, serve a crucial function. They can be permanently removed or redeemed for a proportionate amount of the underlying tokens, providing meme index token holders with access to the assets represented by the index.

Flexibility is maintained by allowing adjustments to the token composition. Tokens that display underperformance or are no longer favored can either be excluded or have their weightage modified during the acquisition process. These changes are subject to a two-day timelock, ensuring the security of this process.

Community participation is a key element of this system. Although the voting mechanism is yet to be implemented, it’s on the horizon. Once active, it will empower the community to collectively decide on the components and weightings of the index, effectively putting them in charge of its evolution.