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Zenrock's Tokenomic Design

Every fee from every product built on Zenrock's infrastructure, whether developed by Zenrock Labs or any other team, is handled according to the same tokenomic framework. Fees earned are distributed as follows:

  • 35% to Zenrock Labs: operations, development, and $ROCK accumulation
  • 30% to Node Reward Pool (NRP): validators and stakers (distributed over 36 months per the below schedule)
  • 30% to Application Builder: developer of the product
    • This can be taken by the builder or otherwise directed at their discretion
    • In instances where Zenrock Labs develops the product generating the fee, it is also counted as the application builder
    • On zenBTC (though developed by Zenrock Labs) the application builder share is converted to yield on zenBTC
  • 5% to zenBTC: direct allocation to yield on zenBTC

The key insight: it doesn't matter what gets built on zrChain. Custody products, privacy products, identity products, things we haven't thought of yet. They all feed the same tokenomics. More products = more fees = more demand for $ROCK.

As a permissionless chain there is no obligation or expectation that every application builder will follow Zenrock Labs and choose to funnel 100% of its offchain revenue to Zenrock's tokenomics top of funnel. However, DAO / Foundation level support may be enhanced for those who decide to pursue this path.