Fee Distribution
SYNTHR's sustainable recurring revenue model will ensure that it is well placed to absorb market shocks. The goal of the protocol is to be community-led and to reward participants who are invested in the long-term success of the protocol.
The protocol’s fee distribution model will be as follows:
- 10% will be used to fund protocol development.
- 20% will be used to execute a buy back and burn program (to counteract LP incentive inflation).
- 20% will be used to add liquidity to DEXs to build up a non-fleeting Protocol-Owned-Liquidity (POL).
- 50% will be distributed to veSYNTH holders.
As the protocol scales and SYNTH emission-led rewards are phased out, the fee distribution will be as follows (to be implemented 12-18 months after the protocol's launch):
- 10% will be used to fund protocol development.
- 20% will be distributed to veSYNTH holders.
- 70% will be distributed to LPs.