How it works
Three things you can do.
Nothing you have to.
Every trade pays a small tax in USD1. The vault splits it in half. One half becomes US Treasuries that back the coin. The other half is paid to holders.
Every trade
buys and sells of $TREASURY
The vault
no owner, splits 50 / 50
US Treasuries
back the coin · burn to redeem
Coupon to holders
USD1, every 40 minutes
01
Buy and hold.
Buy $TREASURY on Flap with USD1. The 1.5% tax goes straight to the vault contract, no wallet in between. Your balance is registered for coupons automatically and counts from the next period.
Nothing to stake. Nothing to lock. Just hold it in your wallet.
02
Get paid every 40 minutes.
When a period ends, its pot is split by balance and pushed to every holder's wallet in USD1. Nothing to claim. Sell below your registered balance and you forfeit your unpaid coupons to the holders who stayed.
Yield on the Treasuries is harvested and paid out the same way.
03
Redeem any time.
Burn tokens and receive your exact share of the Treasuries the vault holds. Own 1% of supply, burn it, get 1% of the pile. Untaxed, no market in between. That is why the price has a floor.
If the token ever trades below the floor, buying and redeeming is free money. That is what holds it up.
Under the hood
Two contracts. No hands.
Flap sends the tax to the vault. The vault buys cUSDO and funds the coupon pool. The pool pays holders. That is the whole system.
The vault
Receives every USD1 of tax. Sends half to the coupon pool. Converts the other half into cUSDO, tokenized short-term US Treasuries, only when the price is within 0.5% of fair value. Handles redeem. No owner.
Buy 400 USD1 → $TREASURY
+6 USD1 tax · straight to the vault
Sell $TREASURY → 180 USD1
+2.7 USD1 tax · straight to the vault
Buy 1,200 USD1 → $TREASURY
+18 USD1 tax · straight to the vault
The coupon pool
Holds the coupon half. Tracks registered balances per 40-minute period. When a period ends, pays every holder pro-rata in USD1, straight to their wallet. No owner.
Coupon #142
40 USD1 · 312 holders
0x7f3a…9c2e
0xb41d…44d1
0x08aa…d2f0
1.5%
tax on every buy and sell, paid in USD1
50 / 50
half buys US Treasuries, half pays holders
40 min
coupon period, forever
0
owners, admin keys, upgrades or pause buttons
Questions
The short answers.
Do I have to do anything to get coupons?
No. When you buy, the keeper registers your balance within minutes. It counts from the next period. Coupons are pushed to your wallet in USD1 after each period ends.
What happens if I sell?
Selling below your registered balance forfeits your unpaid coupons to the holders who stayed. Selling part of your stack and staying above your registered balance is fine.
Where is the floor from?
Treasuries held divided by circulating supply. That is exactly what one token redeems for, straight from the vault, with no market in between.
Who can touch the money?
Nobody. The vault has no owner and no withdraw function. The only ways money leaves are coupon payouts to holders and redeem by burning tokens.
Longer answers, every contract address and the risks are in the docs.
Buy it. Hold it. Get paid.
Or read the ledger first and watch the floor move.