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System Specification — Summary

Source: QuantaTrade_AI_System_Specification FINAL.docx.pdf (8 pages, reviewed 2026-04-19) Classification: CONFIDENTIAL — internal team use Status of PDF: Appears truncated. Cover advertises Tokenomics, Revenue, Staking, Buyback, Technical Requirements. Only §1–§6.5 are present. Request full version from client for buyback mechanics and technical spec details.


1. Product suite

Four products + token:

Product Y5 target
Exchange (crypto trading) 100K traders, $11.6M rev
Automated Trading (AI bots, 8 tiers, $9.99–$3,999/mo) ~10K subs, $16.4M rev
Intelligence Marketplace (signals, bots, DOM, $99–$499/mo) 10K subs, $20.3M rev
AI Hedge Fund ($10M→$100M AUM, 25% target ROI, 70/30 split) $7.5M platform profit
Licensing (B2B, 10→50 deals, $40K→$65K/yr) $3.25M rev
$QTRA Token 1.2B supply, 24.6% burned by Y5

Y5 gross revenue: $59.0M. Y5 EBITDA: $45.4M (77% margin).


2. Token basics

  • Contract: ERC-20 on EVM chain (chain TBD — see tech-decisions.md §1)
  • Supply: 1,200,000,000 fixed. Mint function permanently disabled.
  • Admin: No admin key, no upgrade proxy for the token contract.
  • Deployment: Total supply minted at deployment.

3. Token allocation (1.2B total)

Bucket Tokens % Vesting
Private Investor Rounds (5 rounds: Pre-Seed → Private C) 535,000,000 44.58% 6–30 months
Public Round 45,000,000 3.75% TGE, 100% unlocked
Marketing — pre-launch 80,000,000 6.7% TGE, 6mo vest
Marketing — post-launch 185,000,000 15.4% 12mo cliff, 24mo
Treasury & liquidity 200,000,000 16.7% 6mo cliff, 24mo
Team & advisors 155,000,000 12.9% 12mo cliff, 24mo

UI rule: do not label unlocked tokens as "available to sell" — use "unlocked" + separate transfer action.


4. Capital raise ($7.883M across 6 rounds)

Round Tokens Price Raised Step-up
Pre-Seed 130M $0.0046 $598K
Seed 120M $0.0065 $780K 1.41x
Private A 110M $0.009 $990K 1.38x
Private B 145M $0.019 $2,755K 2.11x
Private C 30M $0.032 $960K 1.68x
Public 45M $0.040 $1,800K 1.25x
TOTAL 580M $7,883K

Worst-case TGE ($0.05) ROI: every round profitable (+25% to +987%).

Runway note: $7.883M raised − $4.60M pre-funded defences (§10.1) = ~$3.28M for product + ops until Y1 revenue materialises. Treasury has 6mo cliff — no token liquidity to sell for cash in first 6 months.


5. Revenue model

5.1 Exchange fees

  • Undercuts majors across the board. $QTRA holders get ~78% discount:
  • Standard maker/taker: 0.05% / 0.10%
  • $QTRA holder: 0.03% / 0.06%
  • Fiat on-ramp: 1.50%
  • Backend rule: detect $QTRA holdings and apply discount at trade execution, not settlement. Token-economy revenue routed on-chain via immutable revenue router. Operational splits managed internally.
  • UI rule: show current tier, exact rates, and $QTRA discount on the trading page — not buried in settings.

5.2 Automated Trading subscriptions

  • Paid monthly in USDT/USDC.
  • 8 tiers: Basic $9.99 (≤$2.5K portfolio) → Institutional $3,999 (unlimited).
  • Y5: 9,920 subs, blended ARPU ~$138/mo, annual $16.4M.
  • CRITICAL: all tiers get the same AI. Differentiator is portfolio size, not features. Do not name tiers by feature set.

5.3 Intelligence Marketplace

  • Core $99 / Pro $199 / Elite $499 per month.
  • Y5: 10K subs, blended ARPU ~$169/mo, $20.3M.

5.4 Platform Trading Profit

  • AI hedge fund: $10M → $100M AUM. 25% target ROI. 70/30 investor/platform split. Y5 platform profit $7.5M.

5.5 Licensing

  • 10 deals Y1 @ $40K/yr → 50 cumulative deals by Y5 @ $65K/yr. Y5 revenue $3.25M.

5.6 Consolidated 5-yr revenue

Stream Y1 Y2 Y3 Y4 Y5 5-yr
Exchange fees $1.62M $3.80M $6.91M $9.38M $11.59M $33.3M
Automated trading $1.22M $3.29M $7.79M $12.49M $16.38M $41.2M
Intelligence mkt $2.03M $4.89M $9.79M $15.99M $20.28M $53.0M
Trading profit $0.75M $1.88M $3.38M $5.25M $7.50M $18.8M
Licensing $0.40M $0.90M $1.54M $2.40M $3.25M $8.5M
Gross revenue $6.02M $14.76M $29.40M $45.51M $59.00M $154.7M
EBITDA $1.81M (30%) $8.12M (55%) $19.99M (68%) $33.68M (74%) $45.43M (77%) $109.0M

6. Revenue → Token flow (on-chain routing)

Every dollar has a defined destination. Token-economy splits (staker rewards, L1 buybacks) are enforced on-chain by the immutable revenue router. Operational/treasury/retained splits are managed internally (off-chain — would be gas-wasteful on-chain).

Stream Stakers Buyback (L1) Ops/treasury Retained
Subscriptions (AI + Intel) 50% 25% 25%
Exchange trading fees 20% 10% 25% ops + 25% treasury 20%
Platform trading profit 20% 10% 30% 40%
Licensing (B2B) 10% 50% 40%

CRITICAL (quoted from spec): "The revenue router is the highest-risk contract in the token-economy layer — a bug misdirects staker or buyback funds. It needs a dedicated audit separate from staking contracts."


7. Staking (summary — full spec in QuantaTrade_Staking_System FINAL.docx)

  • Revenue-funded reward pool (no inflation). Y5 pool $22.1M, ~37% APY @ 50% adoption.
  • Lock tiers: 7d (1.00x) / 30d (1.05x) / 90d default (1.20x) / 6mo (1.40x) / 1y (1.60x).
  • Six safeguards (all immutable): 10M token activation threshold, 100 staker min, 2% wallet cap, 1K stake min, $5M treasury floor, continuous accrual.
  • 7-day linear reward claim vesting; break = forfeit to pool.
  • Open questions tracked in docs/staking-open-questions.md.

What this spec clarifies (vs earlier docs)

Relative to tech-decisions.md and the staking spec review:

  • ✓ Subscription/marketplace fees collected in USDT/USDC (resolves one branch of open-question Q2 — the fiat→stablecoin conversion happens at payment ingestion, not in the router).
  • ✓ Token contract is hard-immutable at the token layer (no admin, no proxy). Staking/router contract posture still open.
  • Revenue router is a distinct contract from the staking contract, and requires a separate audit. Budget for two audit engagements, not one.
  • ✓ Buyback is "L1" — consistent with buyback being a first layer of token demand. Second layer ("L2 buyback") is referenced in the overview ("Two-layer buyback engine burns 24.6% of token supply over 5 years") but the mechanics are not in this PDF — need the full version.

Still missing from this PDF (request from client)

  1. Buyback engine mechanics — two-layer structure, trigger conditions, execution venue, gas/MEV handling.
  2. Technical requirements section — named on cover but absent in the extract.
  3. Section 10.1 "Pre-funded defences" breakdown — referenced ($4.60M) but not itemised in this PDF.
  4. Sections 7–9 or similar — transition from §6.5 to end is abrupt.