3. Token Model and Functions
The MetaSoilVerse Protocol Token ($MSVP) is the native, non-mintable, burnable token that underpins every on-chain activity within the protocol , from asset registration to staking, leasing, and governance.
This section outlines its function as a unit of account , medium of trust , and mechanism of coordination across the MSVP stack.
3.1 Token Role Overview
Let $MSVP be defined as the primary unit of interaction in the MetaSoilVerse Protocol. It is not just an incentive token but a core component of protocol logic:
| Use Case | Functionality |
|---|---|
| Asset Registration | $MSVP is paid as a one-time onboarding fee to register real-world assets |
| Leasing & Yield Access | Users must hold/stake $MSVP to receive rewards from yield vaults |
| Validator Staking | Validators and operators stake $MSVP to maintain reputation and earn rewards |
| Governance Voting | Token-weighted or quadratic voting on upgrades and proposals |
| Burn Mechanisms | Portion of all fees (registration, upgrades, slippage) are burned |
3.2 Formulaic Fee Model
Every on-chain interaction that invokes protocol resources consumes a composite transaction fee payable in $MSVP.
Let:
Then the general transaction cost function is:
This fee model enforces proof of commitment before access to protocol benefits.
3.3 Deterministic Fee Schedules
Asset Registration (R_asset) A fixed registration fee r₀ is applied per asset class, adjusted by asset size/scale:
This ensures smaller assets are not priced out, while larger assets contribute proportionally.
Staking Requirement (S_stake) Each validator/operator must stake a base amount and optionally accept delegated stake:
Slashing applies on breach, governed by PoAI conditions (defined in Section 4).
Governance Fee (G_gov) While voting is permissionless, submitting proposals incurs a fee to avoid spam:
Leasing Access Fee (L_yield) To access specific yield vaults, participants must contribute a token buffer:
This stake can be time-locked for better APY and deeper alignment.
3.4 Burn Logic
To ensure long-term scarcity, a portion of $MSVP fees are permanently burned via smart contracts.
Burn Conditions:
This establishes a deflationary bias without needing artificial supply reduction mechanisms.
3.5 Token Utility Matrix: $MSVP as a Multi-Layered Economic Asset
The $MSVP token is not merely a governance or access credential , it functions as the native coordination asset of the entire MetaSoilVerse Protocol. Its utility spans core protocol layers and extends into broader DeFi primitives, enabling composable participation, dynamic yield strategies, and collateralized asset interactions.
| Protocol Layer | $MSVP Required | Description |
|---|---|---|
| Asset Onboarding Layer | Yes | One-time commitment to onboard assets. Prevents spam, ensures serious actors via minimum stake or burn model. |
| Compliance & Identity Layer | Yes (indirect) | Required for binding DID registration, KYC modules, and jurisdictional compliance wrappers. |
| Tokenization Layer | No | Asset tokens (NFTs/SFTs) are minted using gas, but $MSVP is not consumed directly here. |
| Yield Vault Layer | Yes | Access to vaults gated by minimum $MSVP staking; vault performance fees accrued in $MSVP. |
| Staking Layer | Yes | Core mechanism for network security. Staked $MSVP is slashable under PoAI (Proof-of-Asset-Integrity). |
| Governance Mechanism | Yes | Enables DAO proposal submission, voting rights, and budget execution control. |
| DeFi Collateralization | Yes | $MSVP can be used as collateral for loans, stablecoins, or synthetic RWAs across integrated DeFi protocols. |
| Yield Boosting | Yes | Long-term $MSVP staking unlocks higher APY tiers, leasing priority, and risk insurance benefits in vaults. |
| Native Liquid Staking Derivatives (LSDs) | Yes | Staked $MSVP mints transferable derivatives (e.g., sMSVP) that earn yield and can be used in other protocols. |
Integrated Token Functions
3.5.1. Access & Security
$MSVP functions as a gatekeeping asset for all meaningful interactions within the protocol. From onboarding real-world assets to accessing yield vaults or compliance wrappers, $MSVP ensures actors have economic skin in the game.
3.5. 2. Staking & Slashing
Stakers of $MSVP secure protocol operations and are subject to PoAI-based slashing if fraudulent data, underperformance, or misreporting is proven. This builds a trust-minimized assurance model across all sectors.
3.5. 3. Yield Amplification
Users who lock $MSVP for extended periods receive:
3.5. 4. DeFi Composability
$MSVP is designed to be DeFi-native :
Acts as collateral in integrated lending/borrowing protocols
3.5. 5. Liquid Staking Derivatives (LSDs)
Long-term stakers receive sMSVP or equivalent derivatives:
The $MSVP token aligns economic incentives, security guarantees, and utility access across all protocol layers. Unlike single-use governance tokens or static access passes, $MSVP is a productive and programmable asset with tangible on-chain yield, real-world backing, and composable value across ecosystems.