Revenue Share

This page talks about how MAHA users benefit from revenue earned from the protocol.

The MAHA ecosystem has various sources of revenue, which are collected at a single place and distributed across various entities. Revenue comes from the following channels:

  1. Borrowing Fees: Users that borrow ZAI pay a borrowing interest in the form of ZAI. This is the main focus for scaling the protocol.

  2. Redemption Fees: Any time a user redeems ZAI for the underlying stablecoins, a 1-3% redemption fee is charged in the stablecoin.

Users who have staked MAHA get a 5x boost in their revenue share! Read more about staking boosts.

How Revenue Gets Distributed

Once revenue is collected, it is sent to various sources to grow the protocol. A large portion of the revenue is redirected to liquidity pools, as without liquidity, the protocol cannot scale.

For the ZAI stablecoin, all revenue will be converted into USDC and distributed back to stakeholders.

Recipient
Allocation
Comments

ZAI/USDC Liquidity Providers

60%

Used to grow liquidity for ZAI. Gets the lion share of the revenue.

MAHA Stakers

20%

Used to grow liquidity for MAHA and get more MAHA locked.

Treasury & Operations

10%

Used by the DAO to pay for various expenses

Safety Pool

10%

Used to repay off any bad debt

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