Revenue Sharing

How Silverback protocol revenue flows back to $BACK holders.


Revenue Model

Silverback generates revenue from multiple sources, all contributing to holder benefits:

┌─────────────────────────────────────────────┐
│              REVENUE SOURCES                │
├─────────────────────────────────────────────┤
│  DEX Fees (Base & Keeta)                    │
│  + Treasury Trading Profits                 │
│  + Cross-Chain Arbitrage                    │
│  + Future Revenue Streams                   │
└─────────────────────────────────────────────┘

            Protocol Treasury

         $BACK Market Buybacks

          Staking Reward Pool

         Distributed to Stakers

Revenue Sources

1. DEX Protocol Fees

Every swap on Silverback DEX generates fees:

Network
Fee
LP Share
Protocol Share

Base

0.3%

Majority

Portion to treasury

Keeta AMM

0.3%

Majority

Portion to treasury

Keeta Anchors

Variable

Pool creator

Small protocol cut

The protocol's share of fees contributes to buybacks.

2. Treasury Trading Profits

The Silverback AI agent actively trades with treasury capital:

  • Systematic, data-driven strategies

  • Strict risk management (max 2% per trade)

  • Multiple strategies: arbitrage, perpetuals, liquidity provision

  • Profits contribute to buyback pool

3. Cross-Chain Arbitrage

Operating across Base and Keeta enables arbitrage opportunities:

  • Price discrepancies between networks

  • Atomic execution reduces risk

  • AI agent identifies and executes opportunities

  • Profits flow to treasury

4. Future Revenue Streams

As Silverback expands:

  • Additional network deployments

  • Fiat on-ramp fees

  • Premium features

  • Partnership revenue


Buyback Mechanism

How It Works

  1. Revenue Accumulates — From all sources above

  2. Buybacks Execute — Treasury purchases $BACK from market

  3. Pool Fills — Bought tokens enter staking reward pool

  4. Stakers Earn — Rewards distributed to stakers

Why Buybacks?

Approach
Effect

Mint new tokens

Dilutes holders, inflation

Distribute revenue

Taxable event, fragmented

Buybacks → Staking

Buy pressure + sustainable rewards

Buybacks create natural demand while providing real yield to stakers.


Transparency

On-Chain Verification

All revenue and buybacks are verifiable on-chain:

  • Treasury wallet publicly viewable

  • Buyback transactions traceable

  • Staking pool balances visible

  • Distribution history available

Reporting

Silverback provides regular updates on:

  • Trading performance (without revealing strategies)

  • DEX volume and fees generated

  • Buyback amounts and timing

  • Staking pool growth


Sustainable Economics

The Problem with Most DeFi

Many protocols:

  • Promise high APY through inflation

  • Mint tokens faster than they create value

  • Result: Token price declines, real returns negative

  • Unsustainable "ponzinomics"

Silverback's Approach

  • Revenue-backed rewards — Only distribute what's earned

  • No inflation — Fixed supply, buybacks only

  • Real yield — Returns from actual protocol usage

  • Aligned incentives — Team succeeds when holders succeed


Estimating Returns

Your share of revenue depends on:

Factor
Impact

Protocol Revenue

More revenue = larger buybacks

Your Stake %

Larger stake = larger share

Total Stakers

More stakers = more division

Buyback Timing

Market conditions affect quantities

Note: Returns will vary. Higher protocol adoption and trading volume generally leads to better staking returns.


FAQ

How often do buybacks happen? Schedule TBD — likely based on accumulated revenue thresholds or time intervals.

Can I see buyback transactions? Yes, all transactions will be visible on-chain and reported.

What if trading has losses? The AI agent uses strict risk management. Losses reduce buyback amounts but don't create obligations for holders.

Is this sustainable long-term? Yes — rewards scale with actual revenue. No promises of fixed APY, just fair share of real profits.

Do I need to stake to benefit? Buybacks benefit all holders through buy pressure. Staking lets you also earn direct rewards from the pool.

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