scalescore logo Scalescore Account

The profit-share model in crypto and cryptocurrency environments

Date: June 29, 2022 Category: Scaleswap

What is?

The profit-sharing model for crypto is an incentive model where token holders of a project gain profits or rewards just for holding the token. The profits for these tokens come from generated revenue from the project itself. Holders of the project are incentivized to hold the token which helps retain liquidity for the projects, while the team is incentivised to perform and generate profits. 

The profit sharing model has massive implications for crypto as until now team members and token holders generally work independently with each other and long term funding has always been questionable. Up until now, projects have had a limited percentage of tokens reserved for team members and have a smaller incentive to work after their salary allocation depletes. 

Benefits

Creating profit-sharing within a project encourages all parties to be rewarded when the project succeeds. Some projects are now implementing this model with their tokens and some are allowsing current projects to integrate this into their system – even if they don’t have it to begin with benefits.

Success case

GT-Protocol is a project that is currently creating profit sharing models that any project can integrate into their ecosystem.

The GT-Protocol works by letting projects deploy a series of smart contracts that create a DeFi pool. This pool helps to collect funds from contributors to share among other involved parties. GT-Protocol also aids in liquidity management in this way and funds are highly secured on a smart contract. Not only does the GT-Protocol aid in profit sharing but also has numerous benefits as well, including a social copy trading protocol for DEX and CEX, a DAO governance integration, and a native GTP token that is used for the ecosystem.
To see more about how the profit-sharing model works with crypto projects and how GT-Protocol can integrate DeFI smart contracts, check out their website and pitch deck.

Related Posts
Protected Launch – Powered by Scaleswap

Dear Scaleswap Community! Scaleswap is well known for its fairness and community-oriented approach. We always had the aim to give […]

ScaleALPHA pre-IDO pool for Boss Fighters on Scaleswap — A Complete “How-To” Guide.

Welcome to the How-To Guide for the Boss Fighters pre-IDO pool! Thank you for your interest in participating in it […]

Haunted Space INO on Scaleswap — A Complete “How-To” Guide

Welcome to the Haunted Space INO “How-To” guide and thank you for your interest in participating in the INO on […]

Top NFT Marketplaces for 2022

With all the rise and success of NFTs, it can be harder to find the right marketplace. Many marketplaces want […]

ScaleALPHA header image how-to guide EYWA token sale. ScaleALPHA: EYWA Sale How-To Guide

This how-to guide will help you through the EYWA sale process in ScaleALPHA. Only verified accounts that have passed the […]

crypto faucet What does Cryptocurrency Faucet mean?

Crypto Faucet definition A cryptocurrency faucet is a web tool that gives away free coins in exchange. What you need […]

GET ACCESS TO
OUR
PRESS KIT!

Use our media library to find all graphics that have been created until now

Access now!
Audit by Hacken Logo

2022 Scaleswap © All rigths reserved

Become a Member in Scaleswap!

Join our mailing list to stay in the loop with our latest news about DeFi, NFT, Infrastructure and Gaming token offerings.