Earnings

1. Revenue Streams from Protocol Operations and Risk Management

These revenues are generated directly from user interaction with the collateralized stablecoin mechanism:

• Stability Fees: Fees charged to users when they redeem their $TAO$ collateral.

• Transaction Fees: General fees collected from transactions within the protocol.

• Network Fee Collection: Fees collected from the network's overall operations.

• Liquidation Penalties: Penalties of 10% to 15%collected when a user's collateralization ratio drops below the $150$ liquidation threshold.

2. Earnings and Assets from Subnet Integration

These are earnings and assets derived from the protocol's participation and ownership within the dedicated Bittensor Subnet:

• Subnet Emissions ($TAO$): $A portion$ of the $TAO$ emissions allocated to the $SUSD$ subnet will be directed to the protocol's treasury.

• Subnet Emission (Explicit): Explicit earnings from subnet activity.

• Alpha Token Assets (Ownership): The protocol holds $18$ % token ownership in $Subnet$ side $alpha tokens$.

• Value Raised in Alpha Tokens: The value raised through these $alpha tokens$ constitutes a source of revenue/asset accumulation.

3. Revenue from Liquidity Management

These revenues are generated through the management of the $SUSD$ and $TUSDT$ liquidity:

• Profits from Liquidity Pool Management: Profits generated from the strategic management of liquidity pools are directed to the treasury.

• Profit at Excess LP Exit: Profit generated when exiting excess liquidity pools (LP) when the price of $TUSDT$ is above .

Summary of Economic Goals

The collective goal of these revenue and asset streams is to:

• Sustain the Protocol: Maintain the operational health of the system.

• Drive Demand for SUSD Subnet Alpha: Increase the utility of SUSD by requiring it to be locked as collateral.

• Achieve Market Capitalization: Support the short-term goal of reaching a market capitalization.

Long-Term Vision and Advanced Financial Products

The ultimate goal of the $TUSDT$ project is to become the dominant stablecoin for $AI/ML$ blockchain ecosystems, facilitating billions in $AI$ service transactions by expanding its financial offerings:

• Dominant Stablecoin: Become the standard stablecoin for $AI/ML$ blockchain ecosystems.

• Transaction Volume: Facilitate billions in $AI$ service transactions.

• Advanced Financial Products: Launch sophisticated financial products, specifically including:

  • Lending/Borrowing: Establishing a system for users to lend and borrow against collateral, likely using $TUSDT$.

  • Staking Mechanism: Implementation of a staking protocol to allow holders of the project's tokens ($TUSDT$ or $SUSD$) to lock up assets for rewards.

  • APR for Holders: Establishing a competitive $Annual Percentage Rate (APR)$ to incentivize long-term holding and participation by token holders.