Links

Protocol

Summary of the inner workings of the THX Network protocol, including the governance role of $THX
THX Network uses a protocol that provides incentives for completing quests, providing liquidity and staking Balancer Pool Tokens (BPT).

1. Campaign Manager Fee Distribution

Campaigns running on THX Network pay Campaign Manager Fees. Which consist of a Subscription Fee and a Protocol Fee. The ratio of these will be determined by on-chain voting in a future version of the protocol.

Example of a 100 USDC payment

  • 30 USDC is transferred to the Company Safe as the Subscription Fee for providing centralized infrastructure and the front-end
  • 70 USDC is charged as the Protocol Fee and provided as liquidity (Balancer 80THX-20USDC) resulting in BPT
    • 80% BPT is transferred to veTHX Reward Distributor which allows veTHX holders to claim them
    • 20% BPT is used for quest incentives for individual campaign participants called Participant Incentives
Diagram showing how customer payments are turned into liquidity and used as protocol and product incentives.

2. Protocol Fee Collection

Incentives earned with completing quests or staking $THX allow for more reward claims from the veTHX Reward Distributor.

Claim Tokens

With a weekly distribution schedule campaign participants will be able to claim tokens for their share of veTHX.

Lock (Stake)

Participants can lock (stake) BPT in the veTHX system. This will earn them more BPT rewards in the veTHX Reward Distributor.

Withdraw

Participants can withdraw their staked BPT in the veTHX system. Early withdraws will get a penalty relative to the amount of time until lock end.
Diagram showing how participants can claim rewards and (re-)stake or withdraw them.

THX token

The THX token serves as the governance token for the protocol, with future protocol fees and governance rights as potential benefits for holders.
Protocol fees
Each Campaign Safe generates fees when quests are completed or tokenized assets are redeemed. Once activated through a community vote, these fees accrue to the THX token holders.
Fee Collector (Polygon)
Governance
THX holders govern protocol parameters and improvements, including managing the Community Treasury, Distribution, and Incentives, as well as fees. Initially, governance will use gasless voting through Snapshot.org, eventually transitioning to on-chain governance.
For most recent community discussion see 'Community' and the Governance Forum.
Last modified 1h ago