Revenue & Substainability

Revenue Utilization and Ecosystem Sustainability

Revenue generated from the synthetic allocation is strategically deployed to foster a self-sustaining model. Initially, a portion, estimated at 20-30%, is allocated to cover operational costs, including custody fees, oracle services, audits, and platform development, ensuring low overhead and competitive fee structures for users. This approach eliminates the need for high transaction fees, making STT more accessible and cost-effective compared to conventional tokenized assets.

In the medium term, accumulated revenue will support community incentives, particularly through airdrop distributions in the form of a forthcoming governance token. Holders who stake their STT will be eligible for these airdrops, proportional to their staked amounts and duration, promoting long-term participation and alignment with the protocol's growth. This mechanism not only rewards loyalty but also decentralizes governance, allowing token holders to influence future upgrades, such as yield optimization strategies or new DeFi integrations.

By solving the revenue generation challenge inherent in purely backed silver tokens, where assets remain idle and costs accrue, SilverTimes creates a virtuous cycle: yield from the synthetic layer funds operations and incentives, all while maintaining uncompromised price tracking for STT holders.