The $zer0 Flywheel

The $zer0 flywheel is a self-sustaining economic engine that converts passive privacy into active value. Every participant—users, stakers, advertisers, and developers—benefits as the network grows.


🔄 How the Flywheel Works

graph TD
    A[Users Browse Privately] -->|Earn 0.13 $zer0/min| B[Accumulate $zer0 Tokens]
    B -->|Stake Tokens| C[Run Mixnodes & Agents]
    C -->|Strengthen Network| D[More Privacy & Performance]
    D -->|Attract New Users| E[User Base Grows]
    E -->|Higher Traffic| F[Advertisers Pay Premium]
    F -->|10x CPM via zk-Cohorts| G[$zer0 Earnings Increase]
    G -->|Treasury Buyback| H[2% Token Burn]
    H -->|Supply Decreases| I[Token Value Rises]
    I -->|Incentivizes Staking| C
    C -->|More Mixnodes| D

💰 Earning Streams

1. Passive Browsing Rewards

How it works:

  • Browse with zer0 browser normally

  • Earn 0.13 $zer0 per minute of active tab time

  • Rewards distributed every 10 minutes automatically

Real-World Earnings:

Daily Browsing
Monthly $zer0
Value @ $0.25/token

1 hour/day

234 $zer0

$58.50

4 hours/day

936 $zer0

$234.00

8 hours/day

1,872 $zer0

$468.00

Bonus Multipliers:

  • 2x earnings - Enable privacy-preserving ads

  • 1.5x earnings - Daily streak (7+ days continuous)

  • 1.25x earnings - Hold 1000+ $zer0 tokens

2. Staking Rewards

Lock $zer0 to run mixnodes and earn passive income:

Stake Amount
Base APY
Network Fees
Total APY

1,000 $zer0

15%

+2-5%

~17-20%

10,000 $zer0

15%

+3-7%

~18-22%

100,000 $zer0

15%

+5-10%

~20-25%

How it works:

  1. Lock minimum 1,000 $zer0 (30-day lockup)

  2. Your device becomes a mixnode in the privacy network

  3. Earn base 15% APY + transaction routing fees

  4. Rewards distributed weekly

Requirements:

  • Minimum: 1,000 $zer0 staked

  • Uptime: 95%+ (automatic monitoring)

  • Bandwidth: 5 Mbps minimum

3. Referral Earnings

Get paid when friends browse:

Invite Friend → They Earn $zer0 → You Earn 5% Forever

Example:

  • Refer 10 friends who each earn 200 $zer0/month

  • You earn: 10 × 200 × 5% = 100 $zer0/month passive

  • No cap, no expiration

Viral Bonuses:

  • 100 referrals: Elite status + 6% commission (up from 5%)

  • 1,000 referrals: Ambassador + 7% commission + DAO vote weight

  • 10,000 referrals: Legend + 10% commission + team grant

4. Agent Marketplace

Create and rent out specialized agents:

As a Creator:

  • Build custom agents (DeFi tools, research bots, etc.)

  • Set rental price (typical: 5-50 $zer0/day)

  • Earn 70% of all rentals

  • 20% burned (supports token value)

  • 10% to zer0 DAO treasury

Popular Agent Earnings:

Agent Type
Daily Rentals
Price
Monthly Creator Earn

DeFi Yield Optimizer

50

20 $zer0

21,000 $zer0

MEV Bot

20

50 $zer0

21,000 $zer0

Research Specialist

100

5 $zer0

10,500 $zer0

Social Media Bot

200

3 $zer0

12,600 $zer0

As a Renter:

  • Access specialized tools without building them

  • Pay only for days used

  • Cancel anytime


🔥 Token Burns (Deflationary Mechanics)

Burn Mechanisms

1. Agent Marketplace Fees

  • 20% of every agent rental burned

  • Current burn rate: ~5,000 $zer0/day

  • Projected at 1M users: ~100,000 $zer0/day

2. Cross-Chain Exit Tax

  • 2% burned when bridging $zer0 to ETH/Solana

  • 1% to growth lottery pool

  • Discourages speculation, rewards long-term holders

3. Treasury Buyback & Burn

  • 80% of ad revenue used for buybacks

  • Tokens bought from market, then burned

  • Creates constant buy pressure

4. Premium Feature Burns

  • zer0 Pro subscriptions: 50% burned

  • NFT agent licenses: 30% burned

  • Priority support: 100% burned

Burn Impact

Projected token supply over time:

Year
Circulating Supply
Burned (Cumulative)
Deflation Rate

2025 (Launch)

21,000,000 $zer0

0

0%

2026

19,500,000 $zer0

1,500,000

7.1%

2027

18,200,000 $zer0

2,800,000

6.7%

2028

17,100,000 $zer0

3,900,000

6.0%

2030

15,300,000 $zer0

5,700,000

5.3%


📊 Value Accrual Mechanisms

How Token Value Grows

1. Staking Lock-Up

  • Target: 80% of supply staked at maturity

  • Effect: Reduces liquid supply, increases scarcity

  • Current: 45% staked (growing 2% weekly)

2. Network Effects

  • More users → More ad revenue → More buybacks

  • More mixnodes → Better privacy → More users

  • More agents → More utility → More demand

3. Cross-Chain Utility

  • $zer0 required for cross-chain swaps (5% fee)

  • IBC integration: Cosmos, Ethereum, Solana

  • Cross-chain volume: $50M+ monthly (projected)

4. Premium Services

  • zer0 Pro: 100 $zer0/month (enterprise features)

  • Hardware wallet integration: 50 $zer0 one-time

  • Priority customer support: 10 $zer0/month


🎯 Advertiser Economics

Why Advertisers Pay 10x More

Traditional Advertising:

Advertiser → Google/Facebook

User Data Collected (PII, behavior, location)

Targeted Ads (creepy, invasive)

CPM: $5 average

zer0 zk-Cohort Advertising:

Advertiser → zer0 Network

zk-Cohorts Created (no PII, just interests)
Example: "Cohort 482: Crypto enthusiasts, 25-40, urban"

Ads Shown to Cohort (privacy-preserving)

CPM: $50 average (10x higher!)

Why higher CPM?

  • Better targeting - Interest-based, not creepy

  • Premium audience - Tech-savvy, high income

  • No ad fraud - zk-proof of human viewers

  • Brand safety - No controversial content adjacency

  • Compliance - GDPR/CCPA native

Advertiser Demand Growth

Metric
2025
2026
2027

Participating Brands

50

500

2,000

Monthly Ad Spend

$2M

$25M

$100M

Avg CPM

$30

$45

$50

User Earnings (% of spend)

60%

65%

70%


🌊 Liquidity & Market Making

DEX Liquidity Pools

Official Pools:

Pool
TVL
APR
Rewards

$zer0/ETH

$5M

35%

$zer0 emissions

$zer0/USDC

$3M

28%

$zer0 emissions

$zer0/BTC

$2M

32%

$zer0 emissions

LP Incentives:

  • 10% of $zer0 supply allocated to LP rewards

  • Vesting: Linear over 4 years

  • Bonus multipliers for longer lockups

CEX Listings

Target Exchanges:

  • Tier 1: Binance, Coinbase, Kraken (Q2 2026)

  • Tier 2: OKX, Bybit, Gate.io (Q1 2026)

  • 🔄 DEX: Uniswap, PancakeSwap (Live)


📈 Growth Projections

Conservative Scenario (1M Users by 2027)

Metric
Value
Calculation

Daily Active Users

1,000,000

Target

Avg Browse Time

2 hours/day

Industry avg

Daily $zer0 Earned

15.6 $zer0/user

2hr × 60min × 0.13

Monthly Supply Inflation

468M $zer0

Need massive burns

Ad Revenue (60% to users)

$25M/month

@ $50 CPM

Treasury Buyback

$10M/month

40% of ad revenue

Monthly Burn Rate

200,000 $zer0

Offsets inflation

Token Price

$0.50

Conservative

FDV

$10B

20B supply × $0.50

Optimistic Scenario (5M Users by 2027)

Metric
Value
Calculation

Daily Active Users

5,000,000

Target

Ad Revenue

$150M/month

Scale efficiencies

Token Price

$1.50

Network effects

FDV

$30B

20B supply × $1.50


🎮 User Journey Through the Flywheel

Phase 1: New User (Month 1)

Activities:

  • Install zer0, create wallet

  • Browse normally, earn ~200 $zer0

  • Enable privacy ads (+100 $zer0)

  • Refer 2 friends (+10 $zer0 bonus)

Total Earned: 310 $zer0 (~$78 @ $0.25)

Phase 2: Active User (Months 2-6)

Activities:

  • Daily browsing 4 hours/day

  • Earnings: 936 $zer0/month

  • Referrals now earning: +50 $zer0/month

  • Tries basic AI agents

Total Earned: 5,916 $zer0 (~$1,479 @ $0.25)

Phase 3: Power User (Months 7-12)

Activities:

  • Stake 5,000 $zer0 to run mixnode

  • APY: 20% = 1,000 $zer0/year

  • Referrals now earning: +200 $zer0/month

  • Creates custom agent earning: +100 $zer0/month

Total Earned: 18,000 $zer0 (~$4,500 @ $0.25)

Phase 4: Ecosystem Builder (Year 2+)

Activities:

  • Running multiple mixnodes

  • Popular agent earning 10,000 $zer0/month

  • 100+ referrals earning 500 $zer0/month

  • DAO participation with governance rewards

Total Earned: 150,000+ $zer0/year (~$37,500+ @ $0.25)


🔬 Flywheel Metrics (Live Dashboard)

Real-time flywheel health indicators:

Metric
Current
Target
Status

Staking Rate

45%

80%

🟡 Growing

Daily Active Users

50,000

1M

🟢 On track

Avg Session Time

2.3 hours

2.0 hours

🟢 Exceeding

Referral Rate

1.8 per user

2.0

🟡 Close

Ad CPM

$42

$50

🟢 Strong

Monthly Burns

50K $zer0

200K

🟡 Scaling


💡 Tips to Maximize Your Flywheel Participation

For Maximum Earnings

  1. Browse Daily

    • Consistent streaks = 1.5x multiplier

    • Even 1 hour/day compounds quickly

  2. Enable Privacy-Preserving Ads

    • 2x earnings with zero tracking

    • Opt-in, opt-out anytime

  3. Refer Aggressively

    • 5% commission forever

    • No cap, no expiration

  4. Stake Early

    • 15-25% APY beats traditional finance

    • Early stakers get governance weight

  5. Create Agents

    • Even simple agents can earn 1,000+ $zer0/month

    • SDK makes it accessible


📚 Learn More


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