Value Accrual
Last updated
Last updated
Fee Captures: A fee is applied on successful primary sale, liquidate and all trading volume and is accumulated in vault.
Fractions Vault: On each IFO the protocol charges a percentage of the fraction (1%)
LiveArt will create non-linear $ART token value accrual as fees that are generated from trading are distributed to the:
Platform
Asset Seller (if fractionalization)
RWA Holders (if token staking)
The RWA holder’s portion is used to buy back $ART and distribute it over 6 months. This extended timeframe creates stability in yield. This works by placing the $ART tokens into a pool with a daily distribution of 1/180*Pool. As the pool grows, the daily distribution also grows. This is a neat way for value accrual as it also creates a delay between the buy and potential sell. If there are 10 Art assets, then there will be 10 pools that have tokens in this waiting period that have been purchased and not yet sold.
Overall this token strategy has much potential for $ART token value accrual:
As the platform grows with more art pieces that are listed, there is an incentive to stake:
Stake for discounted trading fees, which make a huge difference due to low volatility and slow value accrual in comparison to the typical web3 space.
Stake to turning RWA’s into yield-generating assets.
Stake to access premium Feature access, such as the analytics tools.
Fee Pools grow for RWAs as more fractionalized assets come into the platform.
As the launchpad side of the business developers via market disruption or web3 users having art they wish to tokenize, then there would be an increased desire for:
Launchpad tiers/access
Decentralized Guarantor model
Primary - Experienced art traders in web3
Secondary - Web3 whales seeking additional yield.
Fee Captures: A fee is applied on successful primary sale, liquidate and all trading volume and is accumulated in vault.
Fractions Vault: On each IFO the protocol charges a percentage of the fraction (1%)
