Governance
Vote on protocol parameters, treasury allocation, and ecosystem direction via Snapshot DAO — 1 vIBS = 1 vote.
POTS Token
Fixed Supply. Earned, Not Sold.
POTS is the governance and value-capture token of the POTS Ecosystem. 21 million total supply — fixed forever. Not pre-sold, not airdropped, not distributed to insiders. Earned exclusively by IBS stakers through a transparent 500-day on-chain deflation auction, backed by a BTCB hard reserve treasury.
Key Takeaways
- Fixed supply: 21,000,000 POTS — never increases, continuously deflationary
- Not sold — earned exclusively by IBS stakers via PBM 500-day auction
- Backed by BTCB hard reserve treasury, not arbitrary protocol promises
- Governance: Snapshot DAO via non-transferable vIBS credential
- Three use cases: Polymarket participation · Hold for governance · Convert to Bitcoin
Store of Value
POTS — The Counterbalance
While IBS is inflationary by design, POTS is its structural opposite: fixed supply, non-inflationary, designed for long-term value capture. Every IBS emission is balanced by POTS scarcity.
Incentives
Distributed daily to IBS stakers via the 500-day PBM auction. The longer and larger the stake, the greater the daily share.
Long-Term Holding
Fixed 21M supply with continuous deflation from burns. BTCB hard reserves in PBM Treasury back distribution, anchoring long-term value.
Ecosystem Credibility
Not sold, not pre-allocated to insiders. Earned exclusively through participation — aligning incentives between protocol and community.
Token Comparison
IBS vs POTS — Two Different Assets
The dual-token model separates yield mechanics from governance value. Each token has a defined role — they are co-dependent, not competing.
IBSPOTS
TypeAlgorithmic monetary tokenGovernance token
SupplyAlgorithmic — expands / contracts21M fixed, deflationary
Primary useBonding, staking, liquidityGovernance, market incentives
BackingLP + RBS + Safety TreasuryProtocol revenue + BTCB treasury
DistributionBond purchases, algorithmic emissionPBM auction — 500 days only
Post-distributionPerpetual operationFree-floating DAO governance
Think of it asWorking capital of the ecosystemEquity / store of value
System Design
Why Dual Tokens Matter
IBS creates activity. POTS captures value. Together they solve the most common failure mode in DeFi token design.
Single-Token DeFi — The Problem
- High emissions — constant sell pressure from rewards
- Sell pressure — yield seekers dump, holders suffer
- Weak liquidity — no structural backing for the token
- Unsustainable growth — growth requires infinite new buyers
POTS Dual-Token Model — The Solution
- IBS absorbs emissions — inflationary by design, controlled by rebase formula, burned by deflation engine
- POTS captures long-term value — fixed 21M supply, backed by BTCB reserves
- Liquidity is protocol-owned and permanent — no LP removal risk
- Together they build a balanced token economy where activity and value grow in parallel
"IBS is the activity engine. POTS is the value layer."
PBM Auction
How POTS is Distributed — The PBM Auction
The POTS Bid Module (PBM) is the only mechanism through which POTS enters circulation. Four steps, fully on-chain.
01
Co-Building Fund Tax
When an IBS staker unlocks, the Co-Building Fund Tax is collected: 30% for immediate unlock, 10% for 30-day linear unlock. Collected in USDT, converted to BTCB, stored in PBM Treasury.
02
Daily BTCB Injection
Each cycle's revenue is divided into 30 equal portions and injected daily into the POTS/BTCB liquidity pool, creating a steady, predictable capital flow that does not destabilize the pool.
03
500-Day Deflation Auction
Each day, 0.5% of the pool balance is removed. The burn/redistribution ratio shifts over time. Redistributed POTS goes to IBS stakers daily. More staker activity = larger redistribution.
04
Full Decentralization
After 500 days: LP migrates to DEX, all taxes removed, restrictions lifted, contract ownership renounced permanently. POTS becomes a fully community-owned governance token.
PBM Deflation Schedule
PhaseDay RangeDaily BurnTo IBS Stakers
Early PhaseDay 080%20%
Mid PhaseDay 25050%50%
Late PhaseDay 50020%80%
0.5% of actual pool balance removed daily. Sell-ins from stakers replenish the pool — extending auction duration and increasing total POTS distributed over time.
Token Utility
Three Uses for POTS
POTS earned through staking can be deployed in three ways — each aligned with the ecosystem's long-term direction.
Prediction Market Capital
Deploy POTS earned from IBS staking to participate in Pots Market prediction events, the same markets powered by Polymarket's shared CLOB. POTS becomes functional capital, not just a speculative asset.
Explore Pots Market →Governance Rights
Hold vIBS to participate in Snapshot DAO governance. Vote on protocol parameters, treasury allocation, market grant budgets, and ecosystem direction. Greater stake and longer duration = proportionally more voting power.
How Governance Works →Convert to Bitcoin
Sell POTS into the POTS/BTCB liquidity pool to receive BTCB (Bitcoin BEP-20). The PBM Treasury's BTCB hard reserve anchors this conversion path, connecting ecosystem activity directly to Bitcoin exposure.
Verify Contracts → Protocol Governance
Governance via vIBS
Governance power in POTS is non-transferable and earned through staking commitment — not capital size.
Staking longer earns proportionally more governance weight. A 360-day lock earns 4× the voting power of a 90-day lock — and early participants don't permanently dominate, governance weight rebalances automatically so new stakers always earn meaningful influence.
Lock DurationMultiplier100 IBS → vIBS
90 days1×100
180 days2×200
270 days3×300
360 days4×400
Governance Parameters
Voting platformSnapshot (gasless)
Forum discussion≥ 3 days
Voting window3 days
Quorum10% of total vIBS
Pass threshold>50% Yes
Timelock48 hours
Treasury execution25-of-50 multi-sig
Frequently Asked Questions
01 What is POTS token?
01 What is POTS token?
POTS is the fixed-supply governance and value-capture token of the POTS Ecosystem. Total supply: 21 million — never changes. Not sold. Earned exclusively by IBS stakers via the POTS Bid Module 500-day deflation auction. The counterbalance to IBS: fixed, deflationary, long-term.
02 How do I get POTS?
02 How do I get POTS?
Stake IBS → earn vIBS governance credential → receive daily redistributed POTS from the PBM auction pool. POTS cannot be purchased directly from the protocol. Staking longer (360 days = 4× vIBS multiplier) and more IBS increases daily share.
03 What is vIBS and how does governance work?
03 What is vIBS and how does governance work?
vIBS is non-transferable governance credential minted on IBS stake. Formula: N × (D÷90) × α(E). 100 IBS × 360 days = 400 base vIBS. Epoch inflation factor α(E) grows ~4.62% weekly so early participants cannot permanently dominate governance. Proposals: forum (3 days) → Snapshot vote (3 days, 10% quorum) → 48h timelock → execution.
04 What are the three uses of POTS?
04 What are the three uses of POTS?
(1) Prediction market capital — use POTS earned from staking to participate in Polymarket events via Pots Market. (2) Governance — hold vIBS to vote on protocol parameters, treasury allocation, market grants. (3) Bitcoin conversion — sell POTS into the POTS/BTCB pool to receive BTCB.
05 What happens to POTS after 500 days?
05 What happens to POTS after 500 days?
Full decentralization event: POTS/BTCB LP migrates to standard DEX, all taxes permanently removed, transfer restrictions lifted, contract ownership renounced. POTS becomes fully free-floating DAO governance token. No entity can modify the contract again.
06 What is the risk of holding POTS?
06 What is the risk of holding POTS?
POTS involves smart contract risk, governance risk, liquidity risk, and market risk. POTS is a governance token — not a yield product and not a stablecoin. Value depends on ecosystem activity and community participation. Verify contracts independently before interacting.
Earn POTS.
Shape the ecosystem.
POTS is not bought — it's earned by IBS stakers through the 500-day PBM auction. Start by entering the ecosystem and staking IBS.