Revenue generation

A productive treasury gives the protocol more resilience and better defense of the PDAI peg.

Funding and income sources

The protocol utilizes multiple streams of income to build a strong and flexible treasury to use in protocol growth and peg defense. PSM fees, POL and Treasury rebate income is funneled into a war chest for the Treasury to use to generate productive sustainable yield on Pulsechain. This can be in the form of Pulsechain asset liquidity positions, lending yield and arbitrage trades.

Building earning capacity

Treasury capital will be retained as accessible reserves and deployed into DeFi opportunities on Pulsechain to earn yield and to bolster protocol or PDAI positions. The purpose of deployment is to seek income and grow the resources available to the protocol over time. Below peg this capital is then used to support CASH to PDAI redemptions and other peg support mechanisms.