# Value of TAUX
TAUX is the only way to access the Taurox trading pool. Hold 1% of the supply, stake up to 1% of the pool.
## What TAUX Is Worth
Each TAUX token grants the right to stake a fixed percentage of the pool. A token worth $100 of access in a $100M pool is worth $1,000 in a $1B pool. The token does not change. The pool behind it does.
Pool size is driven by agent count. Every strategy has a natural capacity limit, beyond which its edge degrades. More agents means more capacity, more room for deposits, and a larger capital base behind each token.
The protocol takes 5% of all profits and buys TAUX from the open market. 30% of that TAUX is burned forever. 70% goes to the DAO treasury. A growing pool generates more fees, more burns, and a shrinking supply. The total supply is fixed at 2,000,000,000 tokens. No new tokens can be created.
**Pool Size = Number of Agents x Average Capital per Agent**
**TAUX Market Cap ≥ Pool Size x Net Excess Yield x Earnings Multiple**
**TAUX Price = Market Cap / ( Total Supply - Cumulative Burns )**
### Allocation Rights Value
The pool generates returns above what capital could earn elsewhere. The difference is the excess return. Since TAUX is required to access those returns, the implied value of all TAUX tokens reflects the present value of that access.
The tables use a 20x earnings multiple, standard for financial services. Net staker returns follow the progressive profit split. A 5% baseline represents conventional market returns.
**$100M Pool**
| Gross Pool Return | Net Staker Return | Excess Return | Annual Excess Earnings | Implied TAUX Market Cap |
| ----------------- | ----------------- | ------------- | ---------------------- | ----------------------- |
| 15% | 12% | 7% | $7M | $140M |
| 20% | 16% | 11% | $11M | $220M |
| 30% | 23.5% | 18.5% | $18.5M | $370M |
| 40% | 31% | 26% | $26M | $520M |
| 50% | 37.5% | 32.5% | $32.5M | $650M |
**$500M Pool**
| Gross Pool Return | Net Staker Return | Excess Return | Annual Excess Earnings | Implied TAUX Market Cap |
| ----------------- | ----------------- | ------------- | ---------------------- | ----------------------- |
| 15% | 12% | 7% | $35M | $700M |
| 20% | 16% | 11% | $55M | $1.1B |
| 30% | 23.5% | 18.5% | $92.5M | $1.85B |
| 40% | 31% | 26% | $130M | $2.6B |
| 50% | 37.5% | 32.5% | $162.5M | $3.25B |
**$1B Pool**
| Gross Pool Return | Net Staker Return | Excess Return | Annual Excess Earnings | Implied TAUX Market Cap |
| ----------------- | ----------------- | ------------- | ---------------------- | ----------------------- |
| 15% | 12% | 7% | $70M | $1.4B |
| 20% | 16% | 11% | $110M | $2.2B |
| 30% | 23.5% | 18.5% | $185M | $3.7B |
| 40% | 31% | 26% | $260M | $5.2B |
| 50% | 37.5% | 32.5% | $325M | $6.5B |
### Protocol Revenue
5% of all trading profits flow to the protocol, are converted to TAUX, and 30% is permanently destroyed.
| Pool Size | Pool Return | Gross Profit | Protocol Revenue (5%) | Annual TAUX Burned (30% of revenue) |
| --------- | ----------- | ------------ | --------------------- | ----------------------------------- |
| $100M | 20% | $20M | $1M | $300K worth of TAUX |
| $100M | 30% | $30M | $1.5M | $450K worth of TAUX |
| $500M | 20% | $100M | $5M | $1.5M worth of TAUX |
| $500M | 30% | $150M | $7.5M | $2.25M worth of TAUX |
| $1B | 20% | $200M | $10M | $3M worth of TAUX |
| $1B | 30% | $300M | $15M | $4.5M worth of TAUX |
Publicly traded asset managers and hedge fund platforms trade at 15x to 25x earnings. For a protocol with a fixed supply that shrinks over time, 20x is conservative.
## Why TAUX Increases in Value
Three mechanical forces. Each one feeds the next.
**More agents, bigger pool.** Each agent adds capacity. More agents means more capital the pool can hold, which means each TAUX token controls a larger base. 10x the agents, 10x the pool, 10x the value per token.
**Bigger pool, more fees.** 20% return on $100M produces $20M in profit. The same 20% on $1B produces $200M. Double the pool, double the fee revenue.
**More fees, less supply.** The protocol buys TAUX with 5% of all profits and burns 30% of what it buys. Those tokens are gone forever. A growing pool pushing against a shrinking supply is what drives the price.
## Now vs Later
Each TAUX token is a permanent right to stake a proportional share of the pool. That right does not expire or dilute.
As the pool grows, each right becomes more valuable. As burns accumulate, fewer tokens share that value. A buyer who waits pays more for the same access that was available earlier at a lower price.
Listing price is $0.08. Presale phases start at $0.01.
A concrete example: 100,000 agents each handling $10,000 in capital produce a $1B pool. At a 30% gross return, the implied TAUX market cap is $3.7B. Divided by the total supply of 2,000,000,000 tokens, that is $1.85 per TAUX before any burns reduce the supply. That is 23x listing price and 185x the first presale phase.
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