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. Zer0 Nodes close the loop, turning passive users into infrastructure owners who generate cashflow while locking $ZER0 for scarcity.


🔄 How the Flywheel Works

graph TD
    A[Users Browse Privately] -->|Earn 0.13 $zer0/min| B[Accumulate $zer0 Tokens]
    B -->|Stake 5k+ $ZER0| C[Activate Zer0 Nodes]
    C -->|Process zk-Workloads| D[Earn Compute Fees]
    D -->|40-60% to Node Operators| E[Daily Cashflow]
    E -->|Auto-Compound Option| B
    C -->|Strengthen Network| F[More Privacy & Performance]
    F -->|Attract New Users| G[User Base Grows]
    G -->|Higher Traffic| H[Advertisers Pay Premium]
    H -->|10x CPM via zk-Cohorts| I[$zer0 Earnings Increase]
    I -->|Treasury Buyback 20%| J[Token Burns 10-15%]
    J -->|Supply Decreases + 80% Locked| K[Token Value Rises]
    K -->|Incentivizes More Staking| C

🖥️ Node Integration (The Loop Closure)

The flywheel starts with the browser but nodes close the loop, turning passive users into infrastructure owners.

The Node Flywheel Loop

1. Browse → Earn → Stake (Entry)

  • Private tabs earn 0.13 $ZER0/min from ads

  • Users can enable 70% auto-stake option

  • Accumulated tokens unlock node activation at 5k $ZER0

2. Nodes Run Workloads (Value Creation)

  • Staked nodes process ecosystem demands (zk-agent offloads, oracle queries, enterprise compute)

  • 1M+ browsers generate constant zk-compute needs

  • Node-backed reliability attracts premium enterprise workloads and higher ad CPM bids

3. Fees → Yields → Reinvestment (Cashflow)

  • Nodes take 40–60% of compute fees (rest to treasury/burns)

  • Holders receive constant payouts ($500–$2k/month per 10k $ZER0 stake at scale)

  • Auto-reinvest option enables 2-5% weekly compounding

4. Buybacks/Burns → Scarcity → Demand (Loop Closure)

  • Treasury uses 20% of fees for $ZER0 buybacks

  • 10–15% burned per workload processed

  • 80% supply locked in stakes drives price appreciation → attracts more browsers

5. Exit/Expansion

  • Unstake after vest period: 2% burn + 1% to growth fund

  • Growth fund finances new data centers

  • Expanded capacity attracts enterprise clients ($100k+ subscriptions for zk-compute)

Flywheel Projections at Scale

At 5M Users:

Metric
Value

Total Value Locked

$1.2B

Average APY

18%

Annual Cashflow to Holders

$300M (post-burns)

Supply Locked

80%

Resulting Loop: Users browse for free $ZER0 → stake for yields → nodes generate fees → yields pull more stakes → burns lock supply → price pumps → attracts more browsers.


💰 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 @ $0.005/token

1 hour/day

234 $zer0

$1.17

4 hours/day

936 $zer0

$4.68

8 hours/day

1,872 $zer0

$9.36

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 (Zer0 Nodes)

Lock $zer0 to run nodes and earn constant cashflow:

Stake Amount
Node Type
Base APY
Compute Fees
Guild Boost
Total APY

5,000 $zer0

Virtual

15%

+3-5%

~18-20%

10,000 $zer0

Physical

18-22%

+5-7%

~23-29%

50,000 $zer0

Physical + Guild

22%

+8-10%

+5-10%

~35-42%

How it works:

  1. Lock minimum 5,000 $zer0 for a "Node License" NFT

  2. Choose vesting tier: 6 months (15% APY) or 12 months (18-22% APY + bonuses)

  3. Your node processes zk-compute workloads (AI, oracles, bridges)

  4. Earn daily payouts in $ZER0/USDC + optional auto-compound

  5. Early unstake penalty: 5-10% burn

Revenue Sources:

  • Compute fees: $0.01-$0.05/query for zk-oracles, AI inference

  • Platform share: 20% of $150M Y1 platform revenue

  • Ad/oracle subsidies: Treasury allocates 10% of 10x CPM ads to active nodes

  • Guild boosts: DAO pools add 5-10% extra for high-uptime nodes

Requirements:

  • Minimum: 5,000 $zer0 staked (Virtual) / 10,000 $zer0 (Physical)

  • Uptime: 95%+ (automatic monitoring)

  • Bandwidth: 5 Mbps minimum

3. Referral Earnings

Get paid when friends browse:

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)

1,000,000,000 $zer0

0

0%

2026

928,500,000 $zer0

71,500,000

7.1%

2027

866,200,000 $zer0

133,800,000

6.7%

2028

814,300,000 $zer0

185,700,000

6.0%

2030

728,600,000 $zer0

271,400,000

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:

zer0 zk-Cohort Advertising:

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

10,000,000 $zer0

Offsets inflation

Token Price

$0.01

Conservative

FDV

$10B

1B supply × $0.01

Optimistic Scenario (5M Users by 2027)

Metric
Value
Calculation

Daily Active Users

5,000,000

Target

Ad Revenue

$150M/month

Scale efficiencies

Token Price

$0.03

Network effects

FDV

$30B

1B supply × $0.03


🎮 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 (~$1.55 @ $0.005)

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 (~$29.58 @ $0.005)

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 (~$90 @ $0.005)

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 (~$750+ @ $0.005)


🔬 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


circle-check

Last updated