Tokenomics & Liquidity Mechanics
Silsilat’s tokenomics are designed to create a circular, trust-based liquidity economy around gold-backed pawn receipts. The structure ensures that liquidity flows seamlessly from investors to pawnshops and back — while maintaining stability, transparency, and fair yield distribution.
Token Types in the Silsilat Ecosystem
Token
Type
Issued By
Backed By
Lifecycle
Purpose
SAG (Secured Asset Gold)
Asset Token
Pawnshop Node
Physical gold collateral
Minted at loan issuance, burned at redemption
Represents the pledged gold item on-chain
LQT (Liquidity Token)
Utility / Yield Token
Liquidity Pool
Pool reserve (Hbar / MYR-t / Stablecoin)
Minted when investors deposit capital
Proof of liquidity contribution and claim to yield
SLC (Silsilat Liquidity Credit) (optional future)
Governance / Settlement Token
Silsilat Treasury
Ecosystem reserve
Circulating token used to incentivize liquidity provision
Enables DAO governance and staking incentives
Core Design Principles
1:1 Real-World Backing Every SAG token corresponds to a verifiable physical gold item pledged at an approved pawnshop.
Instant Liquidity The moment a SAG token is created, the liquidity pool automatically purchases it — ensuring pawnshops receive funds without delay.
Yield from Real Economic Activity Investors earn returns from actual pawn transactions — not speculative trading — aligning incentives with productive lending.
Traceability & Compliance Each token transaction is linked to an HCS trace ID and IPFS artifact, ensuring every yield payout is backed by audit-ready data.
Token Lifecycle Flows
(a) SAG Token Lifecycle
(b) LQT Token Lifecycle
Liquidity Pool Mechanics
Pool Function
Operates as an Automated Market Maker (AMM) optimized for fixed-income instruments.
Matches pawnshop demand (SAG issuance) with investor supply (LQT deposits).
Maintains reserve ratios for solvency and liquidity protection.
Pool Components
Component
Description
Reserve Account
Holds liquidity funds (Hbar, USDC, or MYR-t).
Smart Node Logic
Executes deterministic buys/sells of SAG tokens based on pre-set parameters.
Yield Engine
Calculates daily accrued profit share based on pool utilization.
Risk Buffer
Treasury-backed cushion to absorb defaults or price shocks.
Yield Formula
Where:
Rinvestor​ = investor yield per token
rloan​ = average pawnshop loan rate
rpolicy​ = fixed policy reserve rate
Upool​ = pool utilization ratio
TLQT​ = total LQT tokens in circulation
Value Flow Diagram
Fee Distribution Example:
Source
Fee Type
Recipient
Rate (example)
Loan spread
Platform fee
Silsilat Treasury
1.0%
Redemption fee
Service charge
Pawnshop node
0.5%
Liquidity yield
Profit share
LQT holders
8.0%
Audit trail fee
Compliance support
Regulators node
0.2%
Token Supply & Allocation (Illustrative)
Category
Token
Allocation %
Purpose
Pawnshop Collateral
SAG
Variable (per loan)
Backed by physical gold
Liquidity Pool
LQT
Floating
Represents active capital
Treasury Reserve
SLC
15%
Stabilization + governance
Ecosystem Incentives
SLC
20%
Node rewards, onboarding
Investor Distribution
LQT
50%
Yield participants
Team & Operations
SLC
10%
Development & network ops
Community Reserve
SLC
5%
Education, grants, impact programs
Treasury & Governance Mechanics
Silsilat Treasury acts as the clearing entity for yield payouts, risk buffers, and network fees.
Governance decisions (e.g., fee changes, pool limits) can be implemented via SLC token voting.
All treasury actions are visible through a Treasury HCS Topic and audited quarterly.
Treasury Revenue Streams
Platform fees from loan spread.
Transaction fees on SAG minting and redemption.
Data and compliance services to regulators and financial institutions.
Yield differential between loan rates and pool payouts.
Example Economic Scenario
Parameter
Value
Pawnshop gold value
RM10,000
Haircut (12%)
RM8,800
Loan-to-Value (78%)
RM6,864
Loan duration
6 months
Pawnshop loan rate
12% p.a.
Investor yield
8% p.a.
Platform + compliance fees
2% combined
Treasury reserve
2%
Outcome:
Pawnshop receives RM6,864 immediately.
Investor earns 8% annualized yield on LQT tokens.
Treasury and network participants share 2% total fees.
All actions are traceable and auditable via HCS and IPFS.
Stability & Risk Mitigation
Risk Type
Mitigation Strategy
Gold Price Volatility
Daily repricing + policy-enforced margin buffer
Default / Unredeemed Receipts
Risk buffer fund + insurance
Liquidity Shortfall
Dynamic pool interest adjustment
Regulatory / Shariah Compliance
On-chain policy validation + human override
AI Model Error
Arize Phoenix continuous retraining loop
Summary: A Sustainable Liquidity Loop
Silsilat’s tokenomics ensure that each participant’s gain is rooted in verified real-world value:
Pawnshops gain instant liquidity and operational relief.
Investors gain stable, ethical yield backed by tangible collateral.
Regulators gain transparency and digital oversight.
The Treasury ensures ecosystem sustainability and long-term governance.
The result is a self-reinforcing economic loop — where trust, liquidity, and compliance converge into a transparent, ethical, and scalable financial infrastructure.
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