ROTOR
ROTOR

01  Introduction

A decentralized automated liquidity engine on Robinhood Chain

Rotor is built around an elastic token supply. ROTOR is burned whenever a Blade NFT is minted, emitted linearly to Blade holders, and is bought back and burned by the protocol using accrued fees, so the circulating supply is governed autonomously by the protocol rather than any manual decision.

Robinhood Chain is an Ethereum Layer 2 built on Arbitrum, where gas is paid in ETH at a fraction of mainnet cost, which keeps minting, claiming and trading inexpensive.

  • TokenROTOR
  • Starting supply10,000,000, no cap
  • NFTBlade, 10 ROTOR
  • Buy tax0%
  • Sell tax3%
  • Claim tribute20% in ETH
  • Claim decay15% of shares claimed
  • Mint fee15 USDG flat

02  Start here

How the engine works

  1. Burn to mintHolders burn ROTOR to mint Blades, and every mint permanently removes that ROTOR from circulation.
  2. EmitEach Blade pays a daily ROTOR reward that is minted as it is emitted, proportional to the amount burned to create it, and the rate halves on a fixed schedule.
  3. Decay on claimEvery claim burns 15% of the shares it is claimed against, while holders who compound instead of claiming keep every share.
  4. Route fees to liquidityA 3% sell tax is split evenly, 1% each, between the liquidity pool, USDG payouts to Blades and the stability fund, and a 20% tribute paid in ETH on each claim funds Treasury buybacks.
  5. Trade freelyBlades trade on OpenSea from the moment they are minted, with no lockups and no in-house marketplace, though any unclaimed rewards are forfeited to the Treasury when a Blade moves.

Mint and claim loop

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flowchart TD
  A[Buy ROTOR] --> B[Burn to mint<br/>Blade]
  B --> C[Daily<br/>emissions]
  C --> D[Compound<br/>no fee]
  D --> B
  C --> E[Claim<br/>20% tribute<br/>burn 15% shares]
  E --> F[Treasury<br/>buybacks]

Sell tax routing

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flowchart TD
  S[Sell ROTOR<br/>3% tax] --> L[1% LP]
  S --> U[1% NFT]
  S --> F[1% fund]
  F --> T[Treasury]

Every path through the engine either burns ROTOR, deepens liquidity or pays holders, and the only value that leaves the loop is the ETH tribute, which returns as buybacks.

PreviousIntroduction

03  Protocol

Blades

A Blade is minted by burning ROTOR, and one Blade costs 10 ROTOR. There are six tiers priced in Blades, and the protocol can fuse lower tiers into higher ones automatically or split a holding when a holder wants to sell part of it.

ROTOR burned per tierOne Blade costs 10 ROTOR. Higher tiers are multiples.
Curl Curl: 10 ROTOR 10 Vortex Vortex: 50 ROTOR 50 Maelstrom Maelstrom: 100 ROTOR 100 Cyclone Cyclone: 250 ROTOR 250 Jetstream Jetstream: 500 ROTOR 500 Gyre Gyre: 1,000 ROTOR 1,000

There are no monthly fees. Minting carries a flat creation fee of 15 USDG per transaction regardless of how many Blades are minted in it, plus gas in ETH.

Each Blade pays daily ROTOR along with a share of the USDG allowance, and every ROTOR claim reduces that Blade's rate by 15%, as described under Claim decay.

No lockups

Blades are standard NFTs on Robinhood Chain and can be listed on OpenSea from the second they are minted, so there is no in-house marketplace to learn or trust. Lockout periods force holders to burn tokens for an asset they cannot sell and then trap them until the window ends, which is why Rotor has none. A Blade is worth its market value at all times, and its holder can exit whenever they choose.

PreviousHow the engine works

04  Protocol

Tokenomics

ROTOR launches with a starting supply of 10,000,000 and no hard cap, because rewards are minted as they are emitted. Against that, every Blade mint burns 10 ROTOR, every claim burns 15% of the shares it is claimed against, and the protocol buys back and burns more using accrued fees, so the supply moves in both directions and settles wherever those flows balance.

Where ROTOR goes

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flowchart TD
  M[Mint Blade<br/>burn 10 ROTOR] --> G[Burned<br/>forever]
  E[Emissions<br/>minted daily] --> C[Claim<br/>20% ETH tribute]
  C --> S[Burn 15%<br/>of shares]
  C --> T[Treasury]
  T --> B[Buyback<br/>and burn]
  B --> G
  • Starting supply10,000,000 ROTOR, no cap
  • Burned per Blade minted10 ROTOR
  • Daily reward, first 150,000 mints0.10 in full
  • Daily reward after first halving0.05 in full
  • Claim tribute20% in ETH, no token cut
  • Claim decay15% of shares claimed against
  • Buy tax0%
  • Sell tax3%, can only go down
Daily reward per BladeHalves after the first 150,000 Blades are minted. Holders receive the full rate.
0.00 0.04 0.08 0.12 0 100 200 300 Blades minted (thousands) ROTOR / day At 0k minted: 0.100 ROTOR/day At 150k minted: 0.100 ROTOR/day At 150k minted: 0.050 ROTOR/day At 300k minted: 0.050 ROTOR/day 0.05

Every Blade mint burns the full 10 ROTOR paid for it, while rewards are minted as they are emitted. A Blade minted with 10 ROTOR earns 0.10 ROTOR a day in full for the first 150,000 mints, and 0.05 a day after the first halving, because the tribute on claiming is paid separately in ETH and takes nothing out of the tokens themselves. On top of the halving schedule, every claim burns 15% of the shares it is claimed against, so the base that emits shrinks the more the community claims.

The declining emission schedule is deliberate, because projects that overpromise rewards eventually lose control of their supply. The Treasury exists to prevent that outcome: it receives a 20% tribute on every claim, paid in ETH, and uses those funds to buy back ROTOR, cover operations and finance future additions to the engine.

PreviousBlades

05  Protocol

Claim decay

Every claim burns 15% of the shares it is claimed against. The rate paid per share never changes, so what shrinks is the position itself, immediately and permanently. A holder who has claimed ten times is left with roughly 20% of the shares they started with, while a holder who has never claimed still holds all of them.

shares after n claims = shares held × 0.85n

The rate paid per share is set by the halving schedule and does not change when you claim.

Shares remaining after claimsEach claim burns 15% of the shares it is claimed against.
0 25 50 75 100 0 5 10 15 Claims made % of shares held After 0 claims: 100.0% of shares remain After 1 claims: 85.0% of shares remain After 2 claims: 72.2% of shares remain After 3 claims: 61.4% of shares remain After 4 claims: 52.2% of shares remain After 5 claims: 44.4% of shares remain After 6 claims: 37.7% of shares remain After 7 claims: 32.1% of shares remain After 8 claims: 27.2% of shares remain After 9 claims: 23.2% of shares remain After 10 claims: 19.7% of shares remain After 11 claims: 16.7% of shares remain After 12 claims: 14.2% of shares remain After 13 claims: 12.1% of shares remain After 14 claims: 10.3% of shares remain After 15 claims: 8.7% of shares remain 9

The chart below follows one position for 24 months under three claiming habits. A holder who never claims keeps every share, a monthly claimer is down to about 2% of their shares by month 24, and a weekly claimer burns through almost the entire position inside the first half year.

Shares remaining over 24 monthsOne position under three claiming habits, at four claims a month for the weekly case.
0 25 50 75 100 0 6 12 18 24 Month % of shares held Never claims, month 0: 100.0% of shares Never claims, month 1: 100.0% of shares Never claims, month 2: 100.0% of shares Never claims, month 3: 100.0% of shares Never claims, month 4: 100.0% of shares Never claims, month 5: 100.0% of shares Never claims, month 6: 100.0% of shares Never claims, month 7: 100.0% of shares Never claims, month 8: 100.0% of shares Never claims, month 9: 100.0% of shares Never claims, month 10: 100.0% of shares Never claims, month 11: 100.0% of shares Never claims, month 12: 100.0% of shares Never claims, month 13: 100.0% of shares Never claims, month 14: 100.0% of shares Never claims, month 15: 100.0% of shares Never claims, month 16: 100.0% of shares Never claims, month 17: 100.0% of shares Never claims, month 18: 100.0% of shares Never claims, month 19: 100.0% of shares Never claims, month 20: 100.0% of shares Never claims, month 21: 100.0% of shares Never claims, month 22: 100.0% of shares Never claims, month 23: 100.0% of shares Never claims, month 24: 100.0% of shares 100 Claims monthly, month 0: 100.0% of shares Claims monthly, month 1: 85.0% of shares Claims monthly, month 2: 72.2% of shares Claims monthly, month 3: 61.4% of shares Claims monthly, month 4: 52.2% of shares Claims monthly, month 5: 44.4% of shares Claims monthly, month 6: 37.7% of shares Claims monthly, month 7: 32.1% of shares Claims monthly, month 8: 27.2% of shares Claims monthly, month 9: 23.2% of shares Claims monthly, month 10: 19.7% of shares Claims monthly, month 11: 16.7% of shares Claims monthly, month 12: 14.2% of shares Claims monthly, month 13: 12.1% of shares Claims monthly, month 14: 10.3% of shares Claims monthly, month 15: 8.7% of shares Claims monthly, month 16: 7.4% of shares Claims monthly, month 17: 6.3% of shares Claims monthly, month 18: 5.4% of shares Claims monthly, month 19: 4.6% of shares Claims monthly, month 20: 3.9% of shares Claims monthly, month 21: 3.3% of shares Claims monthly, month 22: 2.8% of shares Claims monthly, month 23: 2.4% of shares Claims monthly, month 24: 2.0% of shares 2 Claims weekly, month 0: 100.0% of shares Claims weekly, month 1: 52.2% of shares Claims weekly, month 2: 27.2% of shares Claims weekly, month 3: 14.2% of shares Claims weekly, month 4: 7.4% of shares Claims weekly, month 5: 3.9% of shares Claims weekly, month 6: 2.0% of shares Claims weekly, month 7: 1.1% of shares Claims weekly, month 8: 0.6% of shares Claims weekly, month 9: 0.3% of shares Claims weekly, month 10: 0.2% of shares Claims weekly, month 11: 0.1% of shares Claims weekly, month 12: 0.0% of shares Claims weekly, month 13: 0.0% of shares Claims weekly, month 14: 0.0% of shares Claims weekly, month 15: 0.0% of shares Claims weekly, month 16: 0.0% of shares Claims weekly, month 17: 0.0% of shares Claims weekly, month 18: 0.0% of shares Claims weekly, month 19: 0.0% of shares Claims weekly, month 20: 0.0% of shares Claims weekly, month 21: 0.0% of shares Claims weekly, month 22: 0.0% of shares Claims weekly, month 23: 0.0% of shares Claims weekly, month 24: 0.0% of shares
Never claimsClaims monthlyClaims weekly

Rules

  • The burn happens the moment a claim settles, and it falls on the shares that claim was made against.
  • The rate paid per share never changes. Halvings move it for everyone at once, while claiming changes only how many shares you hold.
  • Compounding unclaimed rewards into a new Blade is not a claim, so it burns no shares and pays no tribute.
  • The USDG allowance is exempt. Claiming it burns nothing and pays no tribute.
  • Nothing follows the Blade. Claim history is not written to the token and does not travel with it.
  • Moving a Blade forfeits its unclaimed ROTOR and USDG to the Treasury, and the recipient starts from zero. This applies to a sale and to a transfer between your own wallets alike.

The effect is that the engine rewards patience. Holders who compound keep every share they own, while each claim permanently shrinks the base that emits, and together with the 10 ROTOR burn per mint and the halving schedule, share burning gives the protocol a third mechanism for holding emissions in check.

PreviousTokenomics

06  Protocol

Rewards

Blade holders earn daily ROTOR emissions as well as a USDG allowance, which is funded by 1% of every sell and split evenly across all Blades, so it grows with trading volume.

Everything a holder has earned can be claimed in a single transaction, and because gas on Robinhood Chain is minimal, that transaction costs almost nothing.

Holders can also skip claiming altogether. The Treasury tracks unclaimed rewards, which can be compounded directly into new Blades without paying the tribute or burning any shares, making compounding the cheapest way to grow a position.

PreviousClaim decay

07  Protocol

Fees

There is no buy tax and there never will be. The 3% sell tax funds the engine, and while the Treasury may lower it over time, it can never be raised.

Where the 3% sell tax goesThree equal slices on every sell. Buys are untaxed.
Liquidity pool: 1% of every sell 1% Liquidity pool USDG to Blades: 1% of every sell 1% USDG to Blades Stability fund: 1% of every sell 1% Stability fund
  • Buy tax0%
  • Sell tax, liquidity1% to the ROTOR pool
  • Sell tax, allowance1% in USDG to Blades
  • Sell tax, stability1% to buybacks, burns, marketing
  • Creation fee15 USDG per mint tx
  • Claim tribute20% of the claim, in ETH
  • Claim decay15% of shares claimed against

Each sell deepens the ROTOR liquidity pool, pays Blade holders in USDG and funds buybacks, burns and marketing through the stability fund.

PreviousRewards

08  Reference

FAQ

What is Rotor?

Rotor is a decentralized automated liquidity engine on Robinhood Chain. ROTOR is burned to mint Blade NFTs, which pay daily ROTOR and a USDG allowance, and the combination of burns, halvings, claim decay and buybacks keeps the supply elastic without anyone steering it.

How do I get ROTOR?

ROTOR is available on decentralized exchanges on Robinhood Chain and is not listed on any centralized exchange.

Why is there a sell tax?

The 3% sell tax funds the engine, with 1% going to liquidity, 1% to USDG payouts for Blade holders and 1% to the stability fund. There is no buy tax.

What is a Blade?

A Blade is an NFT minted by burning ROTOR. It pays its daily ROTOR in full, with a 20% tribute paid separately in ETH when you claim, along with a share of the 1% of sell volume that is distributed in USDG.

What is claim decay?

Each claim burns 15% of the shares it is claimed against, so the position shrinks while the rate paid per share stays the same. Compounding into a new Blade is not a claim, and USDG claims are exempt.

Does decay reset if I sell?

There is nothing to reset, because claim history never attaches to the Blade. Moving one does forfeit its unclaimed ROTOR and USDG to the Treasury, and the recipient starts from zero, whether it is a sale or a transfer between your own wallets.

How do I get a Blade?

Either burn ROTOR through the protocol or buy one on OpenSea.

Are Blades locked after minting?

No. Blades can be traded on OpenSea from the moment they are minted.

PreviousFees

09  Reference

Disclaimer

Rotor does not promise any return. ROTOR and Blades are digital assets, and anyone using the protocol accepts the risks that come with them, including market conditions that the team cannot control. The team may lower the sell tax at any time but will never raise it above 3%. Rotor is an independent project and is not affiliated with, endorsed by or operated by Robinhood Markets, Inc.

Rotor Finance