# Protocol Revenue At Lynex, we prioritize sustaining project costs and ensuring a robust revenue stream for our DAO and community. This commitment allows us to foster continuous growth and support our vibrant ecosystem. We also use our voting power on core LYNX pools to collect bribes and enhance protocol liquidity. Moreover, a portion of emissions is allocated to the treasury for operational needs. This approach helps us maintain long-term viability and prosperity. ### Swap Fees The DAO Treasury holds veLYNX tokens to optimize liquidity and collect swap fees. These fees are used for various operational activities, such as LYNX token buybacks and burns, bribing core pools, and funding development efforts. This strategic allocation ensures the efficient use of resources to enhance our ecosystem. ### Emissions and Treasury Allocation A 4% portion of the emissions is allocated to the treasury. The LYNX tokens in the treasury are used at the team's discretion to support various initiatives, including incentivizing core pools, funding developments, and marketing. The team has the flexibility to allocate these tokens strategically for the benefit of the project and its ecosystem. ### oTokenomics Revenue from oLYNX redemptions is strategically allocated to strengthen the Lynex ecosystem. Typically, Lynex follows a structured approach, though this may vary depending on market conditions and ecosystem performance. For instance, during a downtrend, a larger percentage may be used to buy back LYNX, supporting its price rather than being distributed as USDC incentives or added to the treasury. This flexibility allows Lynex to adapt and ensure sustainable growth and stability across different market environments.\ \ The ideal allocation of oLYNX redemption revenue is structured as follows: * 30% used to buyback LYNX and bribed as bveLYNX * 30% incenvies (bribed) as USDC * 40% allocated to the treasury for operations and marketing This strategic distribution ensures a balanced flywheel mechanism, with 60% of weekly oLYNX redemptions specifically designated for veLYNX voters, thereby fostering a self-reinforcing cycle of growth and participation within the ecosystem. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://lynex.gitbook.io/lynex-docs/tokenomics/protocol-revenue.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.