System Interaction
Two Layers Working Together
Capital Flow
INVESTORS INVESTMENT LAYER SETTLEMENT LAYER CARRIERS
│ │ │ │
│ 1. Deposit USDC │ │ │
├─────────────────────────────►│ │ │
│ │ │ │
│ │ 2. Invest USDC │ │
│ ├─────────────────────────────►│ │
│ │ │ │
│ │ (settlement to │ │
│ │◄─────ShareToken) │ │
│ │ │ │
│ │ │ 3. Fund telecom deals │
│ │ ├─────────────────────────►│
│ │ │ │
│ │ │ 4. Settlements & fees │
│ │ │◄─────────────────────────┤
│ │ │ │
│ │ 5. Yield generated │ │
│ │ (rBalance adjustments) │ │
│ │◄─────────────────────────────┤ │
│ │ │ │
│ 6. Redeem + profit │ │ │
│◄─────────────────────────────┤ │ │
│ │ │ │
Yield Generation Mechanism
The Settlement Layer earns from four sources:
- Settlement Fees: Carriers pay a fee per settlement
- Voice Traffic Margins: The platform buys and sells voice minutes at a spread
- Prepayment Discount: Carriers prepay for volume and receive a rate discount; the platform captures the margin
- Liquidity Services: Carriers pay a premium for instant settlement
Profit Distribution:
- The settlement platform calculates returns per period
- It calls
adjustrBalance()on ShareTokenUpgradeable’s position - duPRT share price rises to reflect the higher backing
- Investors redeem duPRT for the underlying stablecoins at the new price
Example: End-to-End Flow
Month 1:
────────
• Investor deposits 100k USDC → receives 100k duPRT shares
• Investment Manager invests 100k USDC → Settlement Layer
• Settlement Layer records backing → ShareTokenUpgradeable → investors hold **duPRT**
• Investment used to fund Carrier A's traffic deals
Month 2:
────────
• Settlement activity generates 10k profit
• Settlement platform adjusts: adjustrBalance(ShareToken, 100k, 110k)
• ShareTokenUpgradeable now has 110k value in Settlement Layer
• duPRT share price: 110k / 100k = 1.10 USDC per duPRT
Month 3:
────────
• Investor redeems 100k duPRT shares
• Investment Manager withdraws 110k USDC from Settlement Layer
• Investor receives 110k USDC
• Profit: 10k USDC (10% return)