Incentive Layers


💸 Incentive Layers – Rewarding Real Contribution


Orypton’s reward system ensures that every contributor is compensated precisely once for the value they create, preventing overlapping rewards and keeping inflation under control.

To achieve this, rewards are distributed through two minting layers:

  1. Performance-based minting (per-epoch) — exclusive to Specialized Managers

  2. Annual governance minting — for active voters and Certified Managers

Each vault defines its own epoch (closing cycle) based on the nature of the investment strategy. Rewards are only triggered once profits are realised on-chain.

⮕ Vault Performance Minting (Operational Layer)

Parameter
Detail

Recipients

Specialized Managers managing real capital accounts ($50k – $1M)

Trigger

Vault’s epoch close with positive ROI

Minting rate

15 % of that profit, converted into $ORY at oracle price

Frequency

Depends on the vault’s epochLength (weekly, monthly, quarterly, etc.)

Token usage

Freely accessible; large sell-offs may require DAO approval

⮕ Annual Governance Minting (Strategic Layer)

Parameter
Detail

Recipients

• Certified Managers with ≥ 1 DAO-approved proposal • Voters who participated in ≥ X % of all annual governance proposals

Trigger

Net protocol-wide profit at fiscal year-end

Minting rate

10 % of total annual profit

Exclusion

Specialized Managers do not receive this emission

⮕ Additional Safeguards

  • Inflation cap: Maximum of 1 % of circulating supply per 12-month rolling window.

  • Buy-back & burn: If emissions exceed cap, the protocol uses treasury funds to buy and burn $ORY.

  • Automatic pauses: If a vault surpasses drawdown or volatility limits, the AI Sentinel pauses operations, halting minting until resolved.


This epoch-based model aligns reward cadence with the true economic rhythm of each strategy, ensures fair compensation, and protects the long-term value of $ORY for all stakeholders.

Last updated