From activity to buybacks
- Collect revenue. The proposed tax divides receipts between the treasury and team.
- Prepare capital. Treasury funds are converted into USDC and allocated to designated Cardboard Trade accounts.
- Acquire CARDBOARD. Qualifying settled losses generate reward tokens under the venue's emission rules.
- Stake the rewards. Claimed CARDBOARD participates in future eligible distributions.
- Withdraw income. USDC rewards must become available and reach the treasury before they can fund purchases.
- Buy and burn. The intended income split funds CSTR purchases and subsequent burns, with a separate team allocation.
Acquisition is a cost, not a refund
Cardboard Trade awards tokens against an eligible loss basis, not simply against trade size. Its documentation distinguishes adverse-price losses and liquidations from a close charge that alone makes a flat trade negative. The emission rate can decline as the venue's accumulated house result advances.
Consequently, a larger leveraged position is not proof of a better acquisition rate. The relevant comparison is total net USDC cost against CARDBOARD actually credited and claimed.
Opposing positions
A long and a short may reduce directional exposure, but they are not a free conversion. The winning leg can receive reduced exposure while the losing leg still bears its full price exposure. Charges, liquidation, different execution times, and delayed payouts can leave a net loss or temporarily strand capital.
The treasury must evaluate complete settled cycles rather than counting only the losing leg's token award. No live execution method or profitable acquisition rate is promised here.
Treasury discipline
Operating limits should cover capital per account, leverage, maximum cycle loss, cash reserves, and conditions that stop new positions. Pending payout claims must remain separate from available balances. Funding additional accounts should not be presented as creating extra shared venue capacity.
Strategy wallets and permissions will be listed under contracts and addresses. Until those are published, do not send funds to an address claiming to run the strategy.
Venue references: CARDBOARD emissions and winning payout factor. Settings can change.