Standard Reserve explained: onchain central bank, charters, branches and mint
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Explains soulbound charters with 1 to 10 branches earning equal issuance shares, net ETH flow through a Uniswap v4 pool setting expansion or contraction, burns from licenses and exit fees, and the 14 Sep mint (0.15 ETH whitelist, Dutch auction from 1.25 ETH).
Key claims
1B hard cap with 100M locked in the pool
Licenses: 100 a day, max 3 per charter, 100% burned
90% sniper tax decays over the first hour
Standard Reserve is coming.
Genesis Charter NFTs are minting tomorrow, giving rise to the first wave of bankers, and kicking off what is maybe the greatest economic onchain experiment of all time.
TL;DR of everything you need to know ↓
First, WTF IS THIS?
@standard_rsv is an onchain central bank with its own currency (a.k.a. STANDARD), one market (a hooked ETH/STANDARD pool on Uniswap v4), and one signal metric (net ETH flow through the pool) that defines its monetary policy.
What's minting tmrw is the first batch of Charter NFTs, which are soulbound seats at the core of the central bank. Every charter opens with one branch and can grow to 10. Branches matter bc each branch is one equal share of every epoch's STANDARD issue protocol-wide. To add more branches to a charter, bankers need to acquire expansion licenses through daily dutch auctions (100 per day at launch, max 3 per charter per day, and paid in STANDARD that is 100% burned).
The Mint Dynamics:
1 ) Whitelist (5:30 to 8:30 PM EST)
0.15 ETH liquidity fee, one mint per wallet. 450 of the 1,000 spots were allocated as of today, although more wallets might get added at launch. The original plan was a free mint, but demand outgrew it. Since all proceeds go into the pool and the vaults, it makes sense.
2 ) Public Dutch Auction (8:30 to 9:00 PM EST)
Every unallocated or unclaimed charter goes on dutch auction sale at 1.25 ETH and decays to a 0.15 floor over 30 minutes. A proper first come first serve. Pay early for certainty or wait for the floor and risk all the seats being gone.
3 ) The Initial Liquidity
100% of mint ETH goes into initial liquidity and the protocol vaults. 1,000 seats at the floor is 150 ETH minimum, which (alongside team contributions) will be paired with 100M STANDARD. So basically, the STANDARD launch FDV is 10x whatever amount of ETH lands in the pool.
4 ) STANDARD Trading
Opens right after the mint with a 90% tax that decays exponentially over the first hour, most of it gone within 5 minutes. Snipers in the first blocks hand 90% to the protocol.
5 ) STANDARD Issuance
Issuance starts right away for every charter, and the first 100 expansion licenses go on a daily Dutch auction on first day. No new charter auctions yet tho, so 1,000 seats is the entire supply until that changes.
Sounds cool?
Wait until you learn about the ponzinomics anon:
The STANDARD token has a 1B hard cap. With 100M sitting in the pool as protocol-owned liquidity forever, the other 900M only ever reach wallets through issuance to the active branches.
What's unique here too, is that issuance is a policy, not a schedule. Net ETH inflow raises the rate one step per epoch and routes fees into hard reserves. Net outflow cuts the rate immediately and flips fees into buybacks and burns.
Yield sits at the bank until you retire a branch. Retiring liquidates its share, kills the branch for good, and charges an exit fee that scales with how many others leave the same week. Half burns, and half is distributed to all the bankers that stayed. Go dark for 30 days (also fading the free check-in click) and anyone can report you for a bounty, while you get revoked at a 70% fee.
Growing your bank is hence the only compounding move for bankers, and every license burns supply (could be a major supply sink).
So in conclusion: Every path through the system burns $STANDARD or stacks ETH for reserves, and that's the main thesis if you believe in the system successfully sustaining itself.
I'm ready for tomorrow.
Are you anon?
@standard_rsv More on Standard Reserve:
x.com/zerokn0wledge_/status/2098481274633724196
QUOTING @standard_rsv
The Standard Reserve will launch in 2 days, on 9/14. A significant portion of spots have been left unallocated for public participation. The thread below covers: - Mint Details - Mint Schedule - Token Trading - Day 1 Protocol Details t.co/kX9vZgrsAF
The Standard Reserve will launch in 2 days, on 9/14. A significant portion of spots have been left unallocated for public participation. The thread below covers: - Mint Details - Mint Schedule - Token Trading - Day 1 Protocol Details t.co/kX9vZgrsAF
