Token Economics

Information on Phuture's token economics

PHTR is the medium through which the protocol can enforce governance, reward users, incentivise activity and provide a medium to raise capital.

PHTR Functions

  • Governance - Staked PHTR holders can exercise their right to vote on, or propose new ideas to improve the Phuture protocol.

  • Staking - Users who stake PHTR receive Enhanced PHTR (ePHTR), a yield generating, governance enabled variant of PHTR.

  • Solver Rewards - PHTR is earned by solvers on non-Ethereum chains, performing critical platform functions.

  • Solver Bond - A minimum PHTR bond is required in order for solvers to get whitelisted to execute platform functions.

  • Liquidity Incentives - Distributed to liquidity providers of PHTR and other Phuture products.

Mint

PHTR is emitted to active users of the platform ensuring that they accrue more influence in the protocol, whilst non active users get diluted over time.

PHTR can be obtained by staking your PHTR tokens.

Buy-Back and burn/distribute

All fees generated on the platform are used to buy back PHTR. 15% of this PHTR is burnt and the remaining 85% is redistributed to ongoing initiatives such as ePHTR staking, liquidity mining, index incentives and solver rewards.

Fees

Minting Fee = 0.2% of minting value

Redemption Fee = 1% of redemption value

Yield Fee = 5% of the interest accrued from yield optimisation

AUM Fee = {Fixed Weight : 0.5% , Market Cap : 1% , Tracked: 1%}

Bond

Solvers must provide proof of a PHTR bond before they can register to execute functions on the Phuture protocol. This bond must be 10 times larger than the max_loan value in USD.

As the value of assets on the platform grow the max_loan variable will have to increase in order to allow solvers to execute larger rebalancing transactions. This creates a positive feedback loop where more PHTR is being locked up due to solvers increasing the value of their bond commensurate to the max_loan value.

Supply

The PHTR token has an initial max supply of 100mm.

The token contract has the ability to mint additional tokens. This is to allow governance to issue more tokens should the initial supply of 100mm prove insufficient in self-sustaining the platform through fees alone.

Token Allocation