3.4 Sustainability

A conservative framework for long-term credibility and resilient incentives

RH is designed to endure beyond short-term hype cycles. Sustainability in RH refers to the protocol’s ability to maintain credible utility, disciplined emissions, and healthy participation dynamics over time—without relying on unrealistic promises, fixed yields, or excessive token issuance.

This section outlines the principles and guardrails that help keep RH economically and operationally resilient.

Sustainability Principles

1) Utility First, Hype Last

RH prioritizes verifiable utility—membership locking, tier-based access, and a rules-based rewards program. Ecosystem expansions (including optional P2E-style campaigns) are treated as additive use cases, not as prerequisites for RH to function.

2) Budget Discipline Over Unlimited Emissions

Rewards are governed by explicit budgets (per epoch and per campaign). Emissions are designed to be:

• Capped: Clear maximum distribution amounts per period

• Time-distributed: Released over time rather than concentrated

• Transparent: Published budgets and on-chain traceability

The protocol does not promise yields. Rewards are a coordination tool, not a profit engine.

3) Reduce Supply Shock Through Vesting and Lockups

Vesting schedules and lockups are applied to reduce supply shock and align incentives. Team and contributor allocations are vested over multi-year timelines, and ecosystem budgets are released in tranches.

4) Encourage Durable Participation, Discourage Extraction

RH aims to reduce behaviors that attempt to “extract” rewards without meaningful commitment. The system uses mechanisms such as:

• Snapshot-based eligibility

• Tier-weighted rewards

• Minimum lock requirements for specific programs

• Program-level caps or diminishing returns (where appropriate)

5) Transparency as the Default

Sustainability requires trust. RH’s approach is to publish the information needed for independent verification:

• Allocation and vesting schedules

• Rewards budgets and distribution records

• Treasury activity summaries

• Parameter changes and rationale

Risk Factors and Mitigations (High-level)

Sustainability also depends on acknowledging risks and building mitigations:

• Market volatility: Conservative initial circulation, disciplined budgets, and transparent reporting reduce shock and uncertainty.

• Concentration risk: Tier weighting and program caps may be used to reduce excessive dominance by a small number of wallets.

• Operational risk: Treasury controls and security practices (including multisig and emergency procedures) reduce single-point-of-failure risk.

• Program integrity risk (including P2E campaigns): If game-oriented campaigns are introduced, rewards should be tied to verifiable participation criteria, with anti-bot/anti-sybil measures and disclosed scoring rules.

Sustainability Checklist (Commitments)

As a baseline, RH commits to the following sustainability practices:

• Publish and maintain a versioned tokenomics document (allocations, vesting, budgets).

• Keep emissions budgeted, capped, and time-distributed.

• Use treasury policies with regular reporting and strong operational controls.

• Avoid language that implies guaranteed profits, fixed yields, or certain price outcomes.

• Maintain clear eligibility and integrity safeguards for any incentive campaigns.

These principles are intended to keep RH credible and resilient as the ecosystem expands.