Revenue Sources
The buyback mechanism is funded by real protocol usage — not by token sales, not by inflation, and not by treasury drawdown. Revenue flows from four sources:- Execution fees — a small, fixed percentage of the value of every trade executed by the Execution Sentinel. Every strategy the protocol carries out on-chain generates a fee that flows into the buyback pool.
- API access fees — developers and institutions accessing SURCHI intelligence streams, signal feeds, and execution infrastructure through the API pay access fees on a usage or subscription basis.
- Premium feature subscriptions — Elite-tier users pay recurring fees for priority execution, advanced Sentinel configurations, and enhanced data throughput.
- Protocol partnerships — revenue-sharing arrangements with integrated Solana protocols and DeFi infrastructure providers that utilize SURCHI’s intelligence or execution layers.
The Buyback Mechanism
A governance-defined percentage of all protocol revenue is automatically directed to open-market SURCHI purchases. The buyback operates as follows:- Revenue accumulates in the protocol’s buyback pool wallet — publicly visible on-chain.
- At defined intervals, the accumulated pool is used to purchase SURCHI through DEX aggregators, routing for best execution and minimal market impact.
- The purchased SURCHI tokens are immediately forwarded to the burn address — they are never redistributed, never returned to treasury, and never used for any other purpose.
Burn Process
Tokens purchased in the buyback are sent to a verifiable Solana burn address — a publicly known wallet from which tokens can never be spent. Once tokens arrive at the burn address, they are permanently and irrecoverably removed from circulating supply. Every burn event is:- Publicly verifiable — the burn address and all transactions to it are visible to anyone on Solana block explorers.
- Announced — each buyback-and-burn event is published via official SURCHI channels with a transaction signature for independent verification.
- Cumulative — total burned supply is tracked and displayed in the SURCHI dashboard alongside current circulating supply.
Impact on Supply
The deflationary dynamic compounds over time:- Protocol adoption grows → more trades executed, more API calls, more subscriptions → revenue increases.
- Revenue increases → a larger absolute amount flows into the buyback pool → more SURCHI purchased from the market.
- More SURCHI purchased → more tokens sent to burn address → circulating supply decreases.
- Decreasing supply against a fixed maximum and growing demand → persistent deflationary pressure.
All buyback transactions and burn events are published on-chain and can be verified by anyone at any time. The burn address, buyback pool wallet, and cumulative burn totals are displayed in real time in the SURCHI dashboard. Transparency is non-negotiable.
