Tokenomics
Cult, an ERC20 token, serves a native token for Culture Protocol's operations, it is designed for a phased decentralization of critical processes and ensuring the protocol operates autonomously and efficiently.
Utility of Cult
The Culture Protocol, functioning as an ecosystem, aims to enhance liquidity flow between On-chain Finance (OnchainFi) and Traditional Finance (TradFi). A significant aspect of Cult's utility lies in its ability to eliminate intermediaries within this ecosystem, streamlining operations. Cult's intrinsic value is primarily tied to Transaction Fees and Asset Management Fees, which are distributed among stakers participating in the governance model, incentivizing their involvement in decision-making processes.
Culture protocol (Cult) Governance model includes:
Participation: The Cult governance framework determines the criteria for asset managers and investors to participate in the protocol. This aspect is particularly crucial for onboarding users into the Cult Fixed Income platform, where a delegated validation mechanism is employed. Through this mechanism, stakers can assign the responsibility of onboarding asset managers to suitably qualified validators, maintaining a high standard of participation within the platform. Cult will publicly announce the specific qualification criteria for asset managers and validators in the near future.
Fee Structure: Cult adopts a comprehensive approach towards fee management, balancing the interests of investors and asset managers. By setting clear guidelines regarding investment fees and staking requirements for asset managers, the platform aims to establish a fair and transparent financial ecosystem benefiting all stakeholders. The governance framework of Cult empowers stakers to propose and enact modifications across various facets of the platform. This participatory approach ensures the protocol remains adaptive and responsive to the evolving needs of its users and broader market dynamics.
Last updated