Sustainment Treasury

The Sustainment Treasury was created to enhance the value of $DUB and boost the price of $DUBBL simultaneously.

The treasury is allocated towards secure, rigorously tested, high-quality investments that are unrelated to either Dubble DEX or the $DUB token.

A proportion of the yield, specifically 20%, generated by these investments is automatically reinvested into the treasury to promote its expansion. Additionally, 5% of all $DUB rebases that result from $DUB in LPs are also directed toward the treasury, further bolstering its growth at a consistent rate, in conjunction with the organic growth of the blue-chip assets over the long term.

To avoid detracting rewards from other holders, the remaining 80% of the yields derived from the Sustainment Treasury will be utilized to purchase Dubble and $DUB from the market, pair it, and add it to the Dubble/$DUB LP. These tokens will not be locked into veDUBBL. Furthermore, to ensure that all participants benefit from it, the protocol-owned $DUB will not opt into $DUB rebases.

Benefits:

  • By removing Dubble from the open market, the protocol creates a higher level of scarcity for its governance token, which already has a maximum supply.

  • This establishes a type of "liquidity factory" owned by the protocol. It enables the $DUB stablecoin issuer to further increase the liquidity for the benefit of all veDUBBL holders while avoiding any potential reduction in their rewards.

  • This will increase the yields and capital reserves of all $DUB holders since more capital is being used for farming the same amount of $DUB that is in circulation. Moreover, this is a supplementary benefit to all the other mechanisms that also serve to augment $DUB's capital reserves and relative yields.

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