Stablecoin Tokenomics Model

Revenue is built from four documented streams. Net interest on reserves equals average reserves multiplied by a blended reserve yield.

• That yield comes from a sleeve build-up on the TVL_Reserves sheet, combining tokenised T-bill exposure, liquid staking tokens and a cash buffer, each with its own weight and base yield. Mint and redeem fees apply a fixed rate to gross volumes.
• Liquidation penalty revenue applies a liquidation rate, a gross penalty and the protocol's share of that penalty to average supply. Supply growth is the largest lever, and reserve yield is the most sensitive assumption.

Net interest on reserves = average reserves × a blended reserve yieldCopy

The model follows a one-directional chain, with inputs on the Assumptions sheet feeding the supply and reserve roll-forward.

• Closing reserves equal closing supply times the collateralisation ratio, and average reserves drive interest revenue.
• Gross mint volume combines net new supply with churn, while redemption volume reflects only the churn leg, so fee revenue is not understated by symmetric formulas.
• Costs, tokenomics and the income statement follow, then the balance sheet and cash flow, with token valuation reading from the completed statements and checks validating identities across all sheets.

Two cash pools are modelled separately: protocol treasury cash and reserve assets backing stablecoin liabilities.

• In the cash flow statement, stablecoin issuance proceeds are a financing inflow, while reserve purchases are an investing outflow, and the gap between them represents the equity buffer funded by the Y1 equity injection.
• Retained earnings accumulate net income, not EBITDA, and token emission cost is added back as a non-cash item.
• Without the offsetting issuance and reserve lines, treasury cash would turn deeply negative, which is why they anchor the model.

Outputs include a full P&L waterfall, balance sheet, cash flow, tokenomics schedule and a Token_Valuation block that derives unlevered free cash flow from EBIT after the token-emission charge, then adds that charge back because it is non-cash.

• Enterprise value is presented via a discounted cash flow and an exit multiple, reconciled through a variance row, with per-token metrics from the midpoint.
• A KPI dashboard and checks cover margins, reserve coverage, collateralisation, DCF-implied versus assumed token price, and balance integrity.
• The public download is a values-only preview, not a live model.