Value Flow: Fueling the Ecosystem
Revenue generated by Burnie flows back into the ecosystem through several channels:
Prize Funding: A significant portion (50%) of VCC revenue is directly reinvested into the community as prize money, creating a clear incentive for participation and showcasing the event's success .
Operational Costs: Revenue generated must cover Burnie's operational expenses. These include the computational resources (GPU power, hosting) required for AI processing, code analysis, and maintaining its interactive presence. Platforms like Virtuals Protocol often incorporate mechanisms like trading fees on agent tokens specifically to help bootstrap these initial operational costs for newly launched agents.
Connecting Revenue to $ROAST (Potential Mechanism): A critical aspect is how Burnie's financial success translates to value for $ROAST token holders. A common mechanism within the Virtuals Protocol ecosystem involves utilizing a portion of an agent's net revenue (after deducting operational costs and other commitments like prize funds) for on-chain buybacks and subsequent burning of the agent's native token ($ROAST in this case). This deflationary pressure can potentially increase the value of remaining tokens. This buyback-and-burn system is presented here as a potential future implementation, subject to the project's specific design choices and governance.
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