The Dragon-Flywheel

Summary

Every trade of IMDO on its one Uniswap v4 pool pays a fee in ETH. A treasury contract that nobody owns collects it. Anyone can trigger the treasury, and when they do it splits the ETH four ways:

• 40% buys IMD on the open market and pays it to people who stake IMDO.
• 25% buys REGEN, the token of Regen Network, and pays it to the same stakers — under a hard weekly limit, so fees cannot be turned into REGEN buying beyond it (why, and how much).
• 25% retires ecological credits on Regen Ledger, sized against the compute footprint of the IMD agent swarm.
• 10% pays for operations. There are no team tokens. The founder holds axlREGEN and receives part of the 1% axlREGEN share like any other holder, under the same cap (see Disclosure below).

The token itself is a plain ERC-20 with a fixed supply. The fee is taken by the pool, not by the token, so ordinary transfers move exactly what was sent.

IMDO launched on Ethereum mainnet on 16 October 2026, at contract 0x87B525bC5Ff6D7211f16291219c363e082ed4e9F. The contracts are deployed as described here; plans that are not done yet are marked in Status.

Why this exists

The IMD swarm is a network of AI agents that do paid work. That work uses compute, and compute has an ecological cost. We estimate the swarm's footprint from IMD's public job records (node count times a per-skill cost, a proxy rather than metered energy) and publish it on the Offsets page, with each figure labelled measured or placeholder. When last computed, on 12 October 2026, covering thirty days of it cost about $300 in carbon credits. That figure still prices most non-oracle runs by placeholder; IMD now publishes token counts per run, and the figure will rise as the ledger moves to them.

An earlier design funded those credits and nothing else. Its weakness was plain: the only reason to hold the token was goodwill. A bill of about $300 a month is also small and capped, so once it is paid, more trading achieved nothing.

This design keeps the mission and gives the token work to do for three groups at once:

• The swarm's footprint. A fixed share of every fee retires credits. At modest volume that share is several times the swarm's bill.
• People who hold and stake IMDO. They receive IMD and REGEN bought with the fees.
• IMD and Regen Network. The system is a steady buyer of both tokens for as long as IMDO trades.

The flywheel

Six steps, each one public and checkable. It is a loop of mechanisms, not a promise about price.

1. Trade

   People buy and sell IMDO against ETH on one Uniswap v4 pool.

2. Fee

   A hook on that pool takes 1.5% of the ETH side of every trade and sends it straight to the treasury, inside the same transaction.

3. Process

   Anyone calls the treasury and receives 0.5% of the ETH processed for doing so. The treasury splits the rest by fixed shares.

4. Buy IMD

   The treasury buys IMD on the open market, inside the contract, and hands it to the staking contract.

5. Buy REGEN

   ETH for REGEN is set aside, and each staker's share of it is fixed at that moment. Each week an operator buys REGEN with it and stakers collect theirs on Base.

6. Retire

   ETH for credits is bridged to Base, where an ownerless router turns each batch into retired Regen City Forest credits with IMDO as beneficiary, mirrored on Regen Ledger. Every retirement has a public certificate.

7. Staked IMDO is out of circulation, stakers hold IMD and REGEN, and the retirements are public. Those are the reasons to hold and trade the token, which feeds step 1.

The trading fee live

The fee is charged by a Uniswap v4 hook attached to the IMDO pool. It is the only pool the fee applies to, and the pool itself charges no other fee.

Rate

1.5% of the ETH side, on buys and on sells

First 30 minutes

20% flat from pool creation until the owner opens the launch, then falls in a straight line to 1.5% over 30 minutes · this makes sniping the launch expensive and sends that money to the treasury

Paid in

ETH, straight to the treasury. The hook never holds funds.

Changes

The owner can lower the rate. Nobody can raise it.

Anyone who buys in the first half hour pays far more than 1.5%. That is deliberate, and it is the single thing most likely to surprise a buyer.

The fee applies only to this pool. If someone creates another pool for IMDO, trades there pay nothing to the treasury, and the hook cannot prevent that.

Where the fee goes live

The treasury is a contract with no owner and no way to withdraw. It only does one thing: when anyone calls it, at most once every ten minutes, it pays the caller 0.5% and splits the rest.

Limits built into the IMD purchase

• At most 1 ETH is swapped per call, so a single call cannot move the IMD price far.
• Each swap must return at least 97% of what a stored reference price and the live price both imply, or it does not happen.
• A swap that fails is kept and retried at half the size. It never blocks the other shares.

Staking live

Staking is how a holder takes part. You deposit IMDO into the staking contract and can take it back out; the contract has no owner and cannot move your tokens anywhere else.

IMD

Arrives each time the treasury is processed and is shared by stake at that moment. Collect it on Ethereum whenever you like.

REGEN

Your share of each week's REGEN ETH is fixed on Ethereum when it arrives. The REGEN itself is bought and paid out on Base, to the same address, once a week.

Lock

Every new deposit locks your whole staked balance for 24 hours. Collecting is never locked.

Leaving

Unstaking keeps everything already credited to you.

Why Base: REGEN does not exist on Ethereum. The version that trades on EVM chains is Axelar-bridged axlREGEN on Base. A token called REGEN on Ethereum mainnet is unrelated. You will need a little ETH on Base to collect.

The REGEN payout is the one part that relies on an operator. The amount each staker is owed is recorded on Ethereum and every purchase is a public transaction on Base, so each week's list can be recomputed by anyone. But a contract does not enforce it.

Nothing here promises an amount. What stakers receive depends entirely on how much IMDO is traded, how many tokens are staked, and the market prices of IMD and REGEN.

Retiring credits retirements live

A quarter of every fee funds ecological credits, and since launch this runs on token fees: the treasury forwards the credits share to Base, where the retirement router turns it into retired credits in public batches, each mirrored on Regen Ledger with a certificate. Before launch the same retirements ran on direct contributions, ETH converted to USDC, moved to Regen Ledger and used to buy credits retired on the spot; that path is still open and its figures are listed below beside the fee-funded ones.

The router itself: a permissionless retirement router on Base, agreed with Regen's Klima-bridge operator. It has no owner, no pause and no withdrawal. Anyone can call it to process a batch of the project's ETH, and earns a small bounty for doing so; the contract swaps the ETH to USDC held to Chainlink's price, buys and retires Regen City Forest credits through Klima's retirement aggregator with IMDO's Safe as beneficiary, and refuses any batch priced above an absolute ceiling per tonne or below the pool's day-long time-weighted price. One batch per two hours per depositor bounds what a price mover could take. On Ethereum the treasury's credits seat becomes a forwarder contract that bridges to it, so no multisig touches that share. The code has been through three adversarial review rounds by the IMD swarm (12 October 2026), every finding answered, and Regen's bridge operator has reviewed it and cleared it for deployment (12 October 2026). It was deployed with the token on 16 October 2026 and processed its first fee-funded batch the same day.

Credits retired

28.239033 · 9 retirements

Spent on credits

$517.89 · USDC, paid to credit sellers

Contributed in

$4.99 · 1 payment

The target is the swarm's measured footprint for the period. Whatever arrives beyond that is retired too, and reported as a multiple of the footprint. It never flows back to anyone.

Funding ecological credits is a regenerative contribution. It does not cancel emissions and is not a net-zero claim. Every public figure is a count of credits retired, with its certificate, against the published footprint estimate it was sized against. See every retirement and its certificate on the Offsets page.

Supply and launch live

Supply

1,000,000,000 IMDO, fixed, 18 decimals

Liquidity

89%, placed in the pool at launch

Seat holders

10%, to holders of identity.md seat NFTs

axlREGEN holders

1%, to holders of axlREGEN on Base

Team

None. Operations are paid from the 10% share of fees. The founder benefits from the axlREGEN share as a holder, disclosed below.

How the pool opens

The pool opens at a price that values the whole supply at $50,000. All of the liquidity tokens go in and no ETH: nobody funds the pool. The ETH in it comes only from buyers, and the pool's position is then destroyed, so neither the tokens nor the ETH can ever be taken out by us.

The opening price is the floor for this pool. There is no liquidity below it. As a guide to how the price moves from there: about $4,900 of net buying takes 8.9% of supply, and about $18,400 doubles the price.

Seat holders claim their seat

A seat holder receives their share by claiming their seat. One transaction records the seat against their wallet on Ethereum and releases the tokens. The share unlocks in ten daily parts and can be staked in the same step. Unclaimed tokens are destroyed 39 days after launch. The claim follows the NFT: if it is sold, the new owner claims what is left.

axlREGEN holders

Half of this share is split equally among eligible wallets and half by the square root of each wallet's balance, with a minimum of 1,000 axlREGEN and a limit of 5% of the share per wallet. Tokens held in liquidity pools count toward a holder's balance. The snapshot was taken at Base block 52485808 (11 October 2026, 23:22 UTC), a moment that had already passed when it was chosen: 237 wallets held axlREGEN, 50 held at least 1,000 and are eligible, and 3 of those hit the 5% limit. The list and the method are published with the contracts.

Disclosure: who holds axlREGEN, and who owns the pool it is bought from

The REGEN share buys axlREGEN from one Uniswap v4 pool on Base, native ETH / axlREGEN at a 1% fee. Whoever provides liquidity in that pool earns that fee on every purchase made for stakers and benefits from its depth. At the snapshot the pool had two liquidity providers: the project's founder and Regen's bridge operator, a Regen Network co-founder who runs the Klima side of the Regen credit bridge and who will publish the Base retirement router. Both are listed here so that a reader gets it from us rather than finds it.

Balances are what the snapshot counted: wallet balance plus the axlREGEN inside liquidity positions, at block 52485808. The operator holds about 9.9M axlREGEN across his two personal wallets, roughly 44% of the 22M on Base, and is its largest holder. All six wallets are in the eligible list and receive part of this share under the same rules as everyone else; his wallet 0x3659…44D1 is one of the three that hit the 5% limit, and the founder's wallets are below it. The project's own multisigs and retirement wallet are excluded from the snapshot (the Offsets Treasury holds about 10,500 axlREGEN from a rehearsal purchase). Klima's holdings are Klima's to disclose; the holder list on Base is public. Either liquidity provider may change a position; a change will be stated here before the next snapshot of anything.

Who controls what

The parts that hold stakers' IMDO and IMD run without anyone in charge. The REGEN purchases leave Ethereum and rely on an operator. The credit retirements leave Ethereum too, but through a bridge into an ownerless router on Base, so no person stands in that leg.

The addresses that collect from the treasury are written into the contracts and can never be changed. They will be multisigs, so that the people behind an address can change even though the address cannot. Their signer sets will be published with the addresses. The treasury itself has no owner; the people behind these three addresses are where trust sits in this system, because what they do with the ETH (bridging, buying REGEN, retiring credits) is done by hand, not by code. One multisig, the Offsets Treasury, holds the REGEN role and, until the Base retirement router is deployed, the credits role; once it is, the treasury's credits seat is a forwarder contract that bridges to the router and no multisig holds it. A second multisig holds operations; a third owns the fee hook. Their addresses and signer sets will be published here before launch.

Credit retirements made through the Base retirement router name a dedicated 2-of-3 Safe as their beneficiary. One of that Safe's three owners is the Offsets Treasury multisig described above.

That is the launch arrangement, not the end state. A multisig is itself a contract, so each leg can be handed to code later without redeploying anything: the address stays, a module takes over the leg's job (collect, convert, send to the bridge or the retirement contract) and anyone can trigger it; in the last step the multisig's signers are replaced by that contract and no person remains. Two things code cannot remove yet: the REGEN leg crosses from Ethereum to Base, so it will trust a bridge instead of people; and credits are retired on Regen Ledger, so the proof of each retirement comes back from another chain.

How it is built and checked

The contracts are a fork of ADAM, an open-source system on Ethereum that takes a fee on one pool and buys tokens for stakers. We keep its hook unchanged and change its treasury, staking and claim contracts to add the REGEN and retirement shares. ADAM's authors are credited and its licence allows this.

The changes are written, tested and reviewed by the IMD agent swarm, starting from ADAM's published code. The swarm first launches the result on a test network, where it must pass IMD's admission checks, and the same code is then deployed to Ethereum.

There has been no independent human audit. The swarm's reviews are checks, not a security audit. ADAM itself is days old. Treat every contract here as unaudited.

What volume means

Everything depends on how much IMDO is traded. This table shows where one day's fees go at three levels of volume, after the 0.5% paid to whoever triggers the treasury. It is arithmetic, not a forecast.

• The swarm's bill of about $300 a month is covered at roughly $2,700 of trading a day.
• At $20,000 a day the retirement share is about $2,239 a month, about seven times that bill.
• The weekly REGEN limit starts to apply at about $52,000 of trading a day. Above that, the extra goes to IMD.

Risks

Status live

• Live on Ethereum (deployed 16 October 2026): the IMDO token 0x87B525bC5Ff6D7211f16291219c363e082ed4e9F, the staking contract, the claim contract, the treasury, the offsets forwarder and the fee hook, with the pool's single-sided position burned. 890,000,000 IMDO sit in the pool and 110,000,000 in the claim contract. The fee started at 20% and has fallen to its 1.5% floor.
• Live on Base (deployed 14 October 2026): the retirement router. The fee rail has retired credits on Regen Network, each with an on-chain transaction; the totals are on the Offsets page.
• Live in the app: the swarm footprint ledger, direct contributions, credit retirement with public certificates, staking, the axlREGEN holder claim and the seat claim. The multisigs exist (created 7 October 2026, each 2-of-3): one for the fee hook, one for the REGEN and credits roles, one for operations.
• Done: the snapshot for axlREGEN holders, Base block 52485808 (11 October 2026): 50 eligible wallets.
• Reviewed: the Base router and forwarder had three adversarial review rounds by the IMD swarm on 12 October 2026, every finding answered, and were cleared by Regen's bridge operator the same day.

• Not done: an independent human audit, and a legal review of this paper's wording.

This section is the source of truth for what exists today. Retirements are made on Regen Ledger and can be verified independently. IMD Offsets is independent of Regen Network.