🪙$MTX Tokenomics

Decentralized governance

Human input will be required to make decisions over key parts of the MTX protocol that cannot be automated. As such, a token is required to incentivize stakeholders to act and make decisions that ultimately benefit the protocol. The goal of the $MTX token is to create a framework that uses systemic incentives to stimulate growth and optimize the MTX protocol

MTX holders can propose and vote on governance proposals on certain matters regarding the protocol with voting weight calculated in proportion to the tokens staked.

Early users, liquidity providers, and bridgers of MTX will earn points for potential future rewards 👀

MTX Protocol Revenue

The protocol will initially earn revenue from a 10% performance fee on the yield generated on mtBTC.

This protocol revenue can be directed to fund the following initiatives:

1. Funding the expenses of maintaining and operating the protocol

2. Building a treasury for future expenses, especially during a bear market

3. Reinvesting into growth and protocol development

4. Paying it to token holders via token buybacks or dividends

The goal of the DAO is to maximize long-term token holder value thus protocol revenue should always be allocated to its most profitable use case, discounted to the present day. At the initial growth stage, directing funds for the first three initiatives will provide an outsized impact on the profit and sustainability of the protocol. However, it is anticipated that in the future it may be more profitable to redirect revenue to tokenholders via buybacks or dividends, making $MTX increasingly valuable. It is left to the MTX DAO to decide when this is the case.

Initial Token Distribution

TEAM	20%
ADVISORS	5%
INVESTORS	10%
STRATEGIC	5%
LBP/PUBLIC	5%
INCENTIVES	20%
DAO RESERVE	25%
AIRDROP	2.5%
LIQUIDITY	7.5%