What Are Royalty Tokens? The New Way to Own Cash Flow
TL;DR
Royalty Tokens represent ownership of 10% of a business's topline revenue. Smart contracts automatically capture sales at point-of-sale, convert to stablecoins, and airdrop monthly dividends to your wallet. Unlike equity, there's no dilution, no operational responsibility, and daily liquidity on DEXs. You earn base yields plus token appreciation as merchants grow.
If you've ever wanted to own a piece of a business without all the complexity, Royalty Tokens are about to become your new favorite asset class.
The Simple Explanation
A Royalty Token is a blockchain-based token that represents ownership of a percentage of a business's revenue.
Think of it like this:
- A shop sells products and generates revenue
- We capture 10% of that topline revenue
- That 10% gets distributed to token holders every 30 days
- You earn real stablecoin dividends automatically
No voting rights. No board meetings. No operational headaches.
Just cash flow.
How It Actually Works
Let's break it down step by step:
1. Revenue Capture
When a merchant makes a sale, our smart contracts automatically capture 10% at the point of sale—before the merchant even receives the funds.
This is key: we're not relying on the merchant to "remember" to pay us. It's automatic and non-negotiable.
2. Conversion to Stablecoins
That 10% gets immediately converted to stablecoins (USDe).
3. Monthly Airdrops
Every 30 days, dividends are airdropped directly to your wallet. No claiming required. No gas fees to worry about. It just shows up.
4. Trade Anytime
Unlike traditional royalty deals that lock you in for years, Royalty Tokens are tradeable on DEXs. Want to exit? Just sell your tokens. No lockups, no waiting periods.
What Makes This Different from Equity?
| Feature | Traditional Equity | Royalty Tokens |
|---|---|---|
| Dilution | ❌ High risk from fundraising rounds | ✅ Fixed % of revenue, no dilution |
| Cash Flow | ❌ No guaranteed returns | ✅ Monthly stablecoin dividends |
| Control | ❌ Voting rights (meaningless for small holders) | ✅ No operational responsibility |
| Liquidity | ❌ Locked until IPO/acquisition | ✅ Trade anytime on DEXs |
| Complexity | ❌ Cap tables, board meetings, legal overhead | ✅ Simple: own tokens, earn yield |
The Returns
Your returns come from three sources:
- Merchant revenue paid monthly in stablecoins
- Token appreciation as revenue grow
- Additional Berachain PoL rewards for liquidity providers
👉 Read: Breaking Down the Yields - Where Your Returns Actually Come From
Who Is This For?
DeFi has forced you into a false binary:
- Option A: Low yields (~4% T-bill APY + some volatile protocol token incentives)
- Option B: Degenerate gambling on 1000x memecoins with zero fundamentals
We're offering a third path.
Royalty Tokens give you exposure to real, profitable businesses that use your capital as a growth engine. These aren't ponzinomics or speculative vapor—they're cash-flow positive merchants with audited financials and proven track records.
This is for you if you:
- Want real business revenue backing your returns
- Are tired of choosing between boring yields and reckless speculation
- Value transparency, liquidity, and actual fundamentals
- Believe profitable businesses > memecoins
Commit to Perform
Most of the token supply is owned by the merchant—locked and only unlockable when they hit aggressive revenue targets. Think Elon Musk's pay package: milestone-based, not time-based.
Traditional crypto unlocks tokens over time regardless of performance. We unlock tokens only when merchants hit aggressive revenue targets.
Merchants win when you win. If revenue stalls, unlocks freeze.
Conclusion
Royalty Tokens let you own cash flow, not equity:
- ✅ Predictable monthly dividends from profitable businesses
- ✅ Upside from merchant growth
- ✅ Merchant incentives aligned with your returns
- ✅ No complexity, no illiquidity, no ponzinomics
Just real yield from real revenue.
Ready to explore? Check out our available Royalty Tokens.