Unitas Protocol introduces $UP, the native governance and revenue accrual token. UP is designed to serve as the core economic instrument of the protocol. It captures revenue generated by executed yield strategies through defined allocation mechanisms. UP holders gain direct exposure to the performance of Unitas' yield generation and participate in governance decisions that set protocol parameters, risk limits and revenue distribution policies.

Revenue generation by Unitas is derived from executed strategies that include delta-neutral positions such as JLP fee capture and funding payment accrual. These strategies generate realized returns without directional price exposure. UP is the only asset that receives revenue from these activities, giving holders direct stake in the performance of Unitas.

Unitas establishes a revenue allocation model in which a defined proportion of net realized revenue from underlying strategies is directed to UP token holders. The specific allocation percentage is subject to governance parameters set by UP holders through the governance process.

Revenue sources that channel into UP include:

• Net realized revenue from JLP and other market-neutral strategy execution.

• Net realized revenue from future yield strategies, including tokenized equities, tokenized gold and other RWA yield generation.

All revenue from executed strategies is first earned by Unitas before any allocation to UP holders. A governance vote by UP holders determines the revenue share assigned to the stUP distribution pool. Realized revenue allocated to the pool is converted to UP and deposited into the staking contract that backs stUP, increasing redemption value for stUP holders.

The UP token distribution model is designed to align stakeholders across community, ecosystem, team and investors. The allocation categories and percentages are as follows:

1. Ecosystem & Community allocation supports both community distribution and ecosystem expansion. A portion is allocated to the community through an airdrop to Units holders. The timing and tranches of airdrop distribution will be communicated separately following TGE.

   The remaining allocation is reserved for ecosystem growth, including protocol integrations, partner incentives and initiatives that support long-term expansion across the broader DeFi ecosystem.

2. Liquidity & Exchange Programs allocation supports exchange integrations, market-making and onchain liquidity initiatives. It is used for programs such as the Binance Wallet Booster Campaign, liquidity provisioning on trading venues and maintaining healthy market depth for UP as adoption scales.

3. Team allocation follows a vesting schedule with a defined cliff and linear unlock designed to align contributor incentives with long-term protocol development and operations.

4. Investor allocation receives the same cliff and vesting schedules designed to align investors with sustained protocol growth and governance involvement.

   

The vesting model for UP is structured to support sustained alignment of contributors and early investors with the long-term performance of the protocol.

UP token holders will be able to participate in the governance framework of the Unitas Protocol.

Governance functions include:

• Setting revenue allocation percentages to stUP holders

• Adjusting risk parameters for deployed strategies

• Approving additions to yield strategy categories

• Determining ecosystem distribution schedules

Each stUP token represents one vote in governance proposals. Governance outcomes require predefined thresholds for quorum and approval to implement changes. This governance model ensures that holders can vote on parameters that influence strategy composition, revenue allocation and risk configurations.

UP holders are the primary beneficiaries of protocol revenue and participate in its distribution through defined revenue-sharing mechanisms.

Revenue generated by the USDu and future yield strategies, including tokenized equities, metals and other RWAs, flows through the same allocation framework. A portion of realized revenue is directed to UP holders through staking and governance-defined distribution parameters. This model places economic benefits and governance authority in the same asset, ensuring that contributors, long-term users and token holders engage with the protocol under identical economic terms.

UP is the only asset that represents ownership of protocol revenue and governance rights in Unitas. The protocol does not issue equity. All revenue benefits from executed strategies are allocated to UP. Holders receive that revenue and vote on parameters that define strategy scope, risk limits and distribution policies.

The UP TGE marks the activation of UP governance and the subsequent distribution of tokens to the community. After the TGE, UP holders will initiate governance proposals to finalize revenue and risk parameters for ecosystem participants. The protocol will continue expanding strategy categories and integrations, including future yield streams from tokenized equities and tokenized metals, subject to governance approval.

TGE is a milestone in the protocol’s development and the foundation for ongoing work on transparent yield infrastructure, strategy execution and expanded utility.

UP token is the primary economic instrument through which protocol performance is aligned with its users.

Disclaimer: This material is provided for informational purposes only and does not constitute investment advice, financial advice, legal advice or tax advice. Participation in digital asset protocols involves risk. Users should conduct their own research and consult with qualified advisors before making any financial decisions.