💰Revenue
The economic model of $XDEFI is only as good as the ability to generate revenue for the project.
XDEFI Wallet generates from several features: trading activity, staking activity and liquidity provision.
Trading Activity
XDEFI generates revenue from swaps and bridging (both in-wallet and in our Web App).
-> 75% of the net revenue generated from all swaps, bridging and staking are used to buy $XDEFI on the open market. These purchased tokens are rewarded to token holders who stake $XDEFI.
XDEFI swap fees range between 0.3% – 0.5%.
We do not charge fees on swaps <US$300 in value.
Swaps fees via THORChain DEX aggregator are 0.3%.
Swap fees via other routes are 0.5% (41% less than the 0.85% charged at MetaMask and Phantom as of 15 May 2023).
This model creates a virtuous cycle for the $XDEFI token holders:
More XDEFI Wallet and Web App users means
Larger swap & bridge volume (and more fees earned), which means
Larger $XDEFI buybacks and greater rewards for $XDEFI stakers
Note: in the near-term, $XDEFI staking rewards will continue to be supplemented with funds from the XDEFI treasury.
Staking Activity
We are currently in communication with selected validators for EVM and Cosmos chains to explore a native integration with the XDEFI wallet. While users will have the option to stake via a customised validator in the interface, the default validator will be a partner with whom we will split the commission fees.
Liquidity Provision
XDEFI Wallet has partnered with Portals.fi to implement single-sided liquidity provision directly from within its products. The swap fee will be 0.25%, as voted on May 3, 2023. -> 75% of the net revenue will be used to buyback $XDEFI on the open market and the $XDEFI will be rewarded to stakers.
Gas Abstraction
XDEFI Wallet is introducing an innovative new feature that allows users to lock up stable coins to pay for transaction fees in a "gas tank." This reserve will enable quick and easy payment of transaction fees without the need for multiple transactions or disruptions in the flow of activity.
A fee will be charged when funds are deposited in stables into the gas tank (TBD).
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