NXD Staking Vault (NSV)

Flywheel of Compounding Economics

The NXD Protocol employs an automated vault system that compounds value, aiming to enhance the intrinsic value of the NXD token. The protocol's tokenomics favor NXD minters by employing deflationary tactics like a buy-back-and-burn program, which progressively increases NXD's value relative to DXN and boosts ROI by compounding DXN.

The protocol's strategies for burning NXD and compounding DXN boost the return on investment (ROI) for each NXD token by decreasing the supply of NXD tokens and increasing their baseline floor price. Meanwhile, the ETH % APY per NXD token is enhanced through the reinvestment of daily DXN earnings back into the vault, essentially automatically compounding daily earnings.

NXD Staking Vault (NSV):

• Stake NXD to earn ETH from daily DXN auctions through the DXN Staking Vault

• Receives 15% of the daily ETH rewards from the DXN Staking Vault

• Triggers ETH distribution smart contract from the DXN Staking Vault using the TWAP Oracle from Uniswap

The vault strategies of the NXD Protocol are designed to parallel the share buyback strategies of publicly traded companies, thus increasing shareholder value. By staking their NXD in the NXD Staking Vault, stakers can earn growing and sustained ETH returns through the NXD Protocol’s compounding and burning mechanisms. This process not only secures but also improves their share of the DXN ETH Pool, which is supported by the compounded value of DXN. Symbiotic Relationship between the NXD Protocol and the Access List XEN Burners

An important element of this process is that, due to NXD's vault strategies, DXN's scarcity is progressively improving, benefitting Access List burners in employing their profit generating XEN burn strategies. Though this infrastructure, the NXD Protocol's design is engineered to create a symbiotic relationship between all participants of the DXN Protocol while creating long term value for the token holders.

Rules of Engagement for NXD Stakers

The NXD Staking Vault enables participants to continually earn ETH from the daily DXN auctions through the staking of their NXD tokens within the Vault. Should participants choose to withdraw their NXD, a mandatory 24-hour cooling-off period is applied before the release of the unstaked NXD tokens.

To bypass this waiting period, participants have the option of accepting a 25% deduction from their NXD stake, which is then permanently removed from circulation, or they can opt to complete the 24h waiting period to reclaim their full NXD stake. NSV Vault Triggers the DSV Vault's TWAP Strats

Furthermore, whenever participants withdraw their ETH rewards from the NXD Staking Vault, it triggers the DSV Vault's automated re-purchasing strategies. These mechanisms are designed to operate securely within the DXN Staking Vault, safeguarded against maximal extractable value (MEV) exploits and engineered through the Time-Weighted Average Price (TWAP) Uniswap Oracle for enhanced transaction efficiency.