Treasury
1.75% of ALL Buys to The Treasury:
Automated oS/SWPX LP Position: The Treasury uses these funds (1.5% of ALL buys) to enter an automated liquidity pool position on SwapX, specifically oS/SWPX. This LP position earns yield and deepens SWPX liquidity.
Yield Utilization: The yield generated from this oS/SWPX LP position is then allocated to three purposes:
Strengthen BRNX/SWPX Liquidity: Part of the yield is reinvested into the BRNX/SWPX liquidity pool
Buy $BRNX: Another portion is used to purchase BRNX tokens on the open market, increasing BRNX’s price and reducing circulating supply if those tokens are held or burned.
Future Bribes on SwapX: The remaining yield funds “bribes” on SwapX. These bribes incentivize governance voters to direct reward emissions toward BRNx/SWPx, amplifying LP incentives.
This setup creates a flywheel effect:
Treasury Growth: The 1.5% tax on buys steadily builds the Treasury’s $SWPX reserves.
Liquidity Reinforcement: By staking in wS/SWPX and reinvesting yield into BRNX/SWPX, the system strengthens liquidity for both tokens, making trading more efficient and attractive.
BRNX Demand: Buying BRNX with yield adds buying pressure, and supports its value while aligning with the Treasury’s goals (e.g., holding, redistributing, and burning).
Incentive Alignment: Bribes enhance voter participation, which in turn drives more rewards to LPs, encouraging further liquidity provision
0.25% of ALL buys get set aside for bribes:
This portion is issued as an incentive to encourage users to stake their veSWPx and vote to direct rewards toward the BRNX/SWPX pool. In return, voters receive a share of these "bribes" as a reward.
Incentivizing Voting and LP Rewards: By voting, users signal which pools should receive higher emissions of rewards (often in the form of native tokens like BRNX or SWPX). Liquidity providers in the BRNX/SWPX pool then earn boosted yields, funded partly by this 0.25% allocation, motivating more people to provide liquidity and stabilize the pool.
This mechanism aligns the interests of token buyers, voters, and liquidity providers, creating a self-reinforcing system: buying BRNX supports the pool, voting directs rewards to it, and LPs benefit from increased activity and incentives.
We chose Origin Sonic (oS) over $S for the Treasury liquidity pool because it prioritizes higher yields, liquidity, and additional rewards/multipliers for Sonic Points
Last updated
