Token Buy Back and Burn Mechanism

Enable Quarterly Token Buy Back and Burn mechanism

Scope: Tokenomics, Revenue Redistribution

Authors: Mehdi Suleman, Dimitrob, Cryptonian & Ethan


This proposal will bring fee revenue from our Tribeone V1 and V2 NFT lending platform profits to token holders through recurring $HAKA buy backs and burns. Once this proposal is passed it will ensure that we use a continuous quarterly buyback and burn model for a portion of the fees generated from all the products across tribeone ecosystem. If the proposal passes there will be an initial buyback and burn of ~ 2,000,000 $HAKA tokens from the protocol generated fees so far.


Current $HAKA utility is limited to the following:

  1. incentivizing deposits for NFT financing
  2. exclusive access to NFT launches
  3. discounts on loans
  4. governance
  5. lowered interest rates etc.

Since the bear market has started many protocols in the NFT financing space have given up and several popular NFT collections have suppressed in prices. however the TribeOne team has been constantly working on their V3 protocol. Ahead of our upcoming launch, will be introducing a new utility to $HAKA to improve the current tokenomics model and create bullish sentiment on token price and enable a sustainable ecosystem for the TribeOne protocol.

One of the ways we plan to bring sustainability to $HAKA tokenomics and TribeOne is through a token buy back and burn program. This is a common and proven way to return value to token holders through fee revenue generation. The result of this will make $HAKA deflationary, while also adding to price pressures.

Furthermore, new utility will be brought to $HAKA via its role in Protocol Owned Liquidity. TribeOne v3 will bring many new features such as a protocol native stablecoin. $HAKA will be used to bootstrap liquidity for the new stablecoin which will also drive TVL and fee generation. The positive feedback loop will make enforce deflationary pressures on $HAKA to drive token prices higher.

As per our Dune Dashboard, we plan to increase fee revenue by increasing loan origination fees to 1.5%, and loan cancellation fees by 2.5%. Based on the Dune Dashboard, a total of 19.37 ETH of loans have been created. This would account for 0.29055 ETH in fees generated under the new loan origination fee proposal alone. Since product launch, we have kept fees low to incentivize user adoption. However, to maintain future development of the protocol and create new value add products, platform fees will have to increase to subsidize future growth. There is always a possibility in the future of reducing such fees.


  1. Activate quarterly $HAKA token buy back and burn using fee / revenue from protocol
  2. Increase loan origination fees to 1.5%, and loan cancellation fees to 2.5%
  3. Allocate a portion of fees for buyback and distribution towards veHAKA holders

Conclusion and next steps:

The above changes aim to improve the existing TribeOne tokenomics and provide a bullish sentiment on $HAKA prices while ensuring a sustainable environment for TribeOne. This forum post will be live for at least 2 days to allow discussion, adjustments, and feedback. If feedback is positive, the proposal will move toward a snapshot voting system. If the proposal to pass snapshot voting, an on-chain governance vote will ensue.