Rewards Distribution

The core promise of Investing Yachts is simple: real yachts, real charters, real profits directed to token holders.

This section explains how net charter profits flow from the fleet back to $YATE holders through a transparent, rules-based system built around lock-up vaults.

From Charter Revenue to Profit Pool

Each yacht in the fleet generates gross charter revenue across the year (Mediterranean, Caribbean and other key routes). From this, the project deducts:

• Operating costs (crew, fuel, insurance, maintenance, port fees, etc.)

• Management and brokerage fees

• Tax, regulatory and administrative expenses

What remains is the Annual Net Charter Profit. This is the base that powers the whole distribution system.

A fixed structure then allocates this profit into:

• Up to 65% → Delivered to $YATE holders who lock tokens in the protocol’s vaults.

• 5% → Treasury Reserve

• 10% → Buyback & Burn program

• 20% → Company Operations (Investing Yachts)

• 0–20% → Community Incentives (depending on how much is actually claimed by vaults)

Lock-Up Vaults: How Holders Earn

To receive a share of charter profits, token holders lock their $YATE into on-platform vaults for fixed periods:

• 1-month vault – entitled to up to 45% of the total profit pool

• 3-month vault – entitled to up to 50%

• 6-month vault – entitled to up to 55%

• 12-month vault – entitled to 65%

Key ideas:

• The longer you lock, the larger the share of the profit pool your tier can access.

• Within each vault, profits are distributed pro-rata based on how many tokens each investor has locked in that tier.

• If a tier is underused (for example, few people use the 12-month vault), not all of its maximum allocation may be needed – the leftover portion can flow into Community Incentives, further strengthening ecosystem growth.

This creates a clear, game-theoretic alignment:

Shorter locks → more flexibility, lower rewards

Longer locks → less flexibility, higher rewards

What Happens To The Remaining Profits

After directing up to 65% of net charter profits to the vaults rewards, the rest of the pool is used to strengthen the project and the token over time:

• 5% Treasury Reserve

  • Provides strategic buffer and long-term stability (legal, compliance, unforeseen events).

• 10% Buyback & Burn

  • Used to repurchase $YATE on the open market and permanently burn those tokens.

  • Over time, this reduces circulating supply, supporting price dynamics as the fleet and its revenues grow.

• 20% Company Operations

  • Funds the ongoing operation and scaling of Investing Yachts: team, technology, marketing, yacht acquisition pipeline, and partnerships.

• 0–20% Community Incentives

  • Any unused allocation from the vault tiers is redirected here.

  • Fuels a wide range of initiatives: loyalty rewards, referral programs, ecosystem campaigns, and strategic incentives that help grow the community and usage.

This structure ensures that every dollar of profit works in multiple ways: rewarding committed holders, strengthening the token, growing the brand, and expanding the ecosystem.

$YATE Holders Benefits And Alignments

The charter profit distribution model is designed to create hard alignment between token holders, the company, and the underlying assets:

• Aligned incentives

  • If the fleet performs well and profits grow, holders who lock for longer capture a larger slice of a larger pie.

• Market stability

  • Lock-ups reduce circulating supply and short-term sell pressure, supporting healthier price dynamics.

• Deflationary pressure

  • The buyback & burn program uses a fixed slice of real profits to permanently remove tokens from circulation.

• Community growth

  • Underused capacity in the vaults doesn’t go to waste – it is recycled into Community Incentives that help attract new users and reward participation.

Put simply:

The more successful the charter operation becomes, the more powerful the compounding effect for committed $YATE holders.

This is how Investing Yachts turns the charter business from a closed, illiquid game for a few into a transparent, programmable income engine for a global community of participants.