
Revenue Overview
The Standard Money protocol generates revenue through advanced basis trading strategies, creating a sustainable economic model that benefits sUSDsd holders. This revenue is automatically distributed to sUSDsd holders, providing up to 30% annual yield potential.All protocol revenue is distributed to sUSDsd holders, making sUSDsd a
yield-bearing asset that automatically compounds rewards. Current yield is 8%
with potential for up to 30% APY.
Revenue Sources
Staking Rewards (Foundation Yield)
A portion of USDsd’s collateral consists of staked crypto assets (stETH, stBTC) that generate foundational yield from Proof-of-Stake consensus mechanisms. This provides a stable base yield of 3-8% annually, similar to how traditional bonds provide base returns in a portfolio.Funding Rate Arbitrage (Primary Revenue)
Standard Money maintains short positions in perpetual futures contracts that historically exhibit positive funding rates, meaning short position holders receive payments. This delta-neutral strategy generates 8-20% annually and represents the primary revenue source for the protocol. The yield rate varies based on market conditions, with higher volatility generally leading to higher funding rates and increased revenue. The protocol continuously optimizes its hedging strategies to maximize yield while maintaining effective risk management.Liquidity Provision
Standard Money works with centralized exchanges to provide liquidity on perpetual order books and earns basis trade yield for up to 30% per year. The protocol has established partnerships with major exchanges including Binance for perpetual trading, OKX for additional liquidity provision opportunities, and Bybit for diversified exchange exposure. Liquidity provision revenue is optimized through advanced algorithms that maximize yield while maintaining risk management. The protocol diversifies across multiple exchanges to reduce single-point-of-failure risks and ensure consistent revenue generation.Trading Revenue
The protocol generates revenue from trading activities related to hedging operations, including spreads and trading fees. Revenue sources include bid-ask spreads on hedging trades, trading fees from exchange partnerships, arbitrage opportunities in funding rates, and efficient hedging strategies. The protocol continuously optimizes trading strategies to maximize revenue while maintaining effective hedging. This includes dynamic allocation based on market conditions and sophisticated risk management to balance risk and return for optimal outcomes.Protocol Fees
The protocol charges small fees on certain operations to generate additional revenue and ensure sustainable operations. The fee structure includes small fees on USDsd minting operations, fees on USDsd redemption operations, minimal fees on staking operations, and fees on unstaking operations. Fees are designed to be competitive while ensuring protocol sustainability and covering operational costs. The fee structure can be adjusted to optimize for different market conditions and ensure long-term protocol viability.Revenue Distribution
sUSDsd Rewards
All protocol revenue is automatically distributed to sUSDsd holders through a continuous compounding mechanism. Your sUSDsd balance increases over time as rewards are added, with no manual claiming required. The compounding effect provides transparent and predictable growth over time. Your share of rewards is proportional to your sUSDsd balance relative to the total sUSDsd supply. This ensures fair distribution where larger holders receive proportionally more rewards while smaller holders still benefit from the same yield rate.Revenue Allocation
The protocol allocates revenue to ensure sustainable operations while maximizing returns for sUSDsd holders. The majority of revenue is distributed as rewards to sUSDsd holders, with a portion allocated to the reserve fund for negative funding periods. Operational costs are covered to maintain protocol operations and maintenance, while insurance coverage is maintained for protocol risks. Revenue allocation can be adjusted to optimize for different market conditions. The community can participate in decisions that affect revenue generation and distribution, ensuring the protocol remains responsive to changing market dynamics.Historical Performance
Yield Trends
sUSDsd has historically provided attractive yields, typically ranging from 5-15% APY depending on market conditions. The yield components include a base yield of 3-5% from staked assets (relatively stable), variable funding yield based on market conditions, additional trading yield from trading activities, and the total combined yield from all sources. Yield varies based on market conditions, with higher volatility generally leading to higher funding rates and increased revenue. The protocol’s sophisticated algorithms adapt to changing market conditions to maintain optimal yield generation.Revenue Stability
The protocol’s revenue model is designed to provide relatively stable returns through diversification. Stabilizing factors include diversified revenue from multiple sources that reduce volatility, stable base yield from staked assets, a reserve fund that covers negative funding periods, and a sophisticated risk management framework. The protocol uses various strategies to manage revenue volatility and ensure consistent returns for sUSDsd holders. This includes dynamic hedging strategies, exchange diversification, and continuous monitoring of market conditions to adjust strategies as needed.The Internet Bond
Concept
The “Internet Bond” refers to sUSDsd as a globally accessible, dollar-denominated savings instrument that provides yield through crypto-native mechanisms. Key characteristics include global access available to anyone with internet access, dollar denomination that maintains USD peg through hedging, yield-bearing properties that earn attractive yields automatically, and crypto-native infrastructure built entirely on blockchain technology. The Internet Bond represents a new paradigm in savings instruments, combining the stability of traditional bonds with the innovation and accessibility of DeFi. This creates a new category of financial instrument that is both stable and high-yielding.Benefits
sUSDsd offers several advantages over traditional savings instruments and bonds. Key benefits include higher yields typically exceeding traditional savings accounts, global access without geographic restrictions, 24/7 availability with no banking hours, transparent operations that are verifiable on-chain, and censorship resistance that prevents freezing or restrictions. sUSDsd can be used for savings, portfolio diversification, yield generation, and as a hedge against inflation. The protocol’s design makes it suitable for both individual users and institutional investors seeking stable, high-yield dollar-denominated assets.Revenue Optimization
Strategy
The protocol continuously optimizes revenue generation through various strategies and mechanisms. Optimization strategies include efficient hedging to minimize costs, exchange diversification for better rates, dynamic allocation based on market conditions, and risk management that balances risk and return for optimal outcomes. The protocol regularly updates and improves its revenue generation strategies based on market conditions and performance data. This includes algorithmic improvements, new exchange partnerships, and enhanced risk management techniques.Future Development
The protocol is continuously evolving to improve revenue generation and user experience. Planned improvements include enhanced algorithmic trading strategies, new exchange partnerships, improved risk management techniques, and additional revenue sources. The protocol’s development is guided by community and market feedback to ensure it remains competitive and effective.Resources
Real-Time Revenue
Monitor protocol revenue and sUSDsd yields in real-time
Rewards Mechanism
Learn about how rewards are calculated and distributed
sUSDsd Rewards
Understand sUSDsd rewards and compounding mechanisms
Protocol revenue and yields are not guaranteed and can vary based on market
conditions. Past performance does not guarantee future results.