PST Mechanics

🧾 Overview The Performance Streaming Token (PST) represents a performance-aligned token model unique to Hyper‑Strategies. PST is built on deposit fees, trading performance, and long-term liquidity incentives. The token architecture is designed to reflect real value generated by the protocol.

🔁 PST Issuance & Utility Deposit-Linked Allocation A percentage of users' core vault deposit fees (e.g. 20%) converts into PST credits. These credits act as a buffer for future deposits and may become redeemable or transferable at TGE or redemption events. (See XP)

Performance Streaming As vaults generate profitable trades, PST is streamed to users as a performance-linked reward, not as one-time points or arbitrary token emissions.

LP Cohort Rewards Strategic liquidity providers receive PST according to cohort-based schedules—ensuring long-term alignment and reducing farm-to-leave behaviors.

🧩 Value Dynamics (Token Model) Mechanism PST Source Purpose / Effect Initial Deposit Fee One-time PST credit Incentivizes early adoption and buffering Continuous Performance Streaming PST linked to profits Rewards actual strategy success Cohort-Based Liquidity Rewards over time for LPs Encourages long-term liquidity provisioning Buyback Reserve Allocation From protocol reserves Supports scarcity and future redemption value

⚙️ Token Allocation (Planned Structure)

Initial LP Seeding (15%): Seeds the PST/USDC liquidity pool at TGE, targeting $100,000 USDC paired with equivalent PST at a $1.00 launch price. This ensures deep liquidity for Hyperliquid’s high-throughput trading environment. LP Farming Rewards (15%): Rewards long-term liquidity providers via a cohort-based system, with multipliers for early participants to encourage sticky liquidity. Vault Performance Rewards (25%): Distributed to vault users as streaming rewards tied to trading profits, replacing traditional points systems. Team & Advisors (20%): Vested over 3-4 years to align long-term incentives for the Hyper-Strategies team. Treasury & Growth (20%): Controlled by the team for operational expenses, vault development, and ecosystem integrations. Community Reserve (5%): Supports marketing and onboarding non-crypto-native users. Strategic Reserve (4%): Funds a pre-TGE strategic presale to enhance liquidity and accelerate protocol development.

Fee Structure: A 20% protocol fee on USDC vault deposits sustains the ecosystem: 75% to operations. 15% to PST/USDC liquidity pool seeding. 5% to a buyback reserve. 5% to an LP reward vault.

Buybacks, funded by trading profits and the 5% reserve, tie PST’s value to Hyper-Strategies’ performance. Repurchased tokens are redistributed to vault users or burned to create deflationary pressure.

🎯 PST Lifecycle Flow Initial Deposit – PST credit allocated, bonus buffer grows.

Vault Performance – As trades execute, backend issues PST incrementally.

Upcoming TGE or Redemption Launch – PST becomes redeemable, usable in vaults, or tradeable depending on redemption design.

Ongoing LP Rewards – PST unlocks via cohort schedules and staking mechanisms.