Value Routing & Flywheel

How value is routed to $GRAY

Market Buying

A core feature of the Gradient fee model is the market buying of $GRAY using platform earnings:

• 100% of all platform earnings are used to purchase $GRAY on the open market.

This process creates constant buy pressure as the protocol scales.

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Burn Mechanism

Of the $GRAY tokens bought back:

• 15% are permanently burned

This supply sink tightens circulating supply and amplifies the value of remaining tokens, especially for stakers and liquidity providers.

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The $GRAY Flywheel

The Gradient protocol recognizes that token stability is essential to long-term sustainability. To reinforce this:

• Market makers in $GRAY pools are prioritized in fee distribution.

• These rewards build a deep off-market reserve that cushions volatility.

• The more stable $GRAY becomes, the more dependable it is as a protocol asset.

This creates a self-reinforcing cycle: trading activity funds the token, and the token supports the system that generates the activity.