MACROSTRATEGY

How the Incinerator Works

A 14-day deposit event (ETH or PNKSTR) that rewards early participants with boosted MSTR allocations

What is $MSTR?

$MSTR is the central token for the MacroStrategy ecosystem. $MSTR accrues fees from all MacroStrategy strategies for all underlying assets.

As ecosystem tokens are traded, a proportion of the tax revenue goes to buy and burn $MSTR tokens, driving value for tokenholders.

Overview

The Incinerator is a token launch mechanism where participants deposit ETH or PNKSTR tokens during the 14-day window to receive a pro-rata share of 49% of the total MSTR supply (490M MSTR based on your weighted contribution). Early depositors receive boosted weights on their contributions, incentivizing quick participation.

Timeline

1

Deposit Window (14 Days)

  • Deposit ETH or PNKSTR tokens to participate
  • Early depositors get higher boost multipliers
  • Soft cap: 180 ETH equivalent (refund if not reached)
  • Global hard cap: 600 ETH equivalent (closes when reached)
  • ETH hard cap: 300 ETH (direct ETH deposits)
  • Deposits lock immediately during sale window
2

Proceeds from the Incinerator

  • 10% Marketing and R&D - Reserved for future marketing and development
  • 20% Liquidity provisioning - Supplied to the Uniswap v2 pool (in ETH)
  • 70% Buybacks - Proceeds will be used exclusively to buy MSTR from the main pool. All purchased MSTR will exclusively be burned or used for incentives
    • Incentives: Long term incentives to align to the protocol
    • Burn: Buy and burning the supply (at least 50% will be bought and burned)
3

MSTR Distribution (Linear Vesting - 15 Days)

  • 49% of total MSTR supply distributed to incinerator participants
  • Linear vesting over 15 days after TGE (shortly after incinerator closes)
  • Claim your vested MSTR at any time during vesting period (claims go live after launch)
  • Allocation based on weighted contribution (see Boost Tiers below)
4

Community Claim

  • The remaining 51% of tokens will be distributed via an airdrop
  • Registration closes 7th November 2025
  • Airdrop eligibility is based on NFT holdings
  • Any unclaimed airdrop MSTR will be used to seed the liquidity pool

Boost Tiers

Early depositors receive multipliers on their contributions. Boosts are applied based on deposit timing (first-come, first-served) in chunks, not averaged.

1.4×
Tier 1
First 20%
1.3×
Tier 2
Next 20%
1.2×
Tier 3
Next 20%
1.1×
Tier 4
Next 20%
1.0×
Tier 5
Last 20%

Allocation Calculation

Step 1: User Weighted Contribution = PNKSTR × Boost Multiplier
Step 2: Total Weighted Contribution = Sum of all users' weighted contributions
Step 3: Your MSTR Allocation = (Your Weighted / Total Weighted) × 490M MSTR
Example:
If you deposit 1 ETH at Tier 1 (1.4×):
Step 1: Your weighted contribution = 1 ETH × 1.4 = 1.4 ETH
Step 2: Total weighted (assume) = 700 ETH
Step 3: Your MSTR = (1.4 / 700) × 490M = 980K MSTR

Key Details

Deposit Limits

Soft Cap:180 ETH
Global Hard Cap:600 ETH
ETH Hard Cap:300 ETH
Duration:14 Days

MSTR Distribution

Total Supply:1,000M MSTR
Incinerator Pool:490M MSTR (49%)
Community Claims:Closes 7th Nov
Vesting Period:15 Days Linear

Proceeds Allocation

Marketing & R&D:10%
Liquidity pool seed:20%
Buybacks (MSTR):70%
Min. Burned:50% of buybacks

Important Notes

⚠️Deposits are non-withdrawable
🔥Boosts apply in chunks, not averaged
✓If soft cap not reached, deposits refunded
💰Executor reward: 0.003 ETH per sell tx

Frequently Asked Questions

What happens if the soft cap isn't reached?

If the soft cap of 180 ETH equivalent is not reached within the 14-day deposit window, all deposits will be refunded to participants. No MSTR will be distributed in this scenario.

Can I withdraw my deposits before the 14 days end?

No. All deposits (ETH or PNKSTR) lock immediately during the sale window. Once you deposit, it is locked in the contract until the incinerator period completes. The only exception is if the soft cap is not met, in which case all deposits are refunded.

How are boost tiers determined?

Boost tiers are based on deposit timing in a first-come, first-served manner. The first 20% of total deposits (up to 120 ETH equivalent) receive 1.4× boost, the next 20% receive 1.3×, and so on. Boosts are applied in chunks, not averaged across deposits.

When can I claim my MSTR?

MSTR vesting begins after TGE (Token Generation Event), which occurs shortly after the 14-day deposit window closes. Your allocation vests linearly over 15 days, and you can claim your vested tokens at any time during this period.

What is the community airdrop?

The remaining 51% of MSTR tokens will be distributed via an airdrop to eligible participants. Airdrop eligibility is based on NFT holdings. Registration closes on 7th November 2025. Any unclaimed airdrop MSTR will be used to seed the liquidity pool.

What happens to the deposited ETH and PNKSTR?

ETH deposits remain in the contract. For PNKSTR deposits: After the deposit window closes, 30% of the PNKSTR is automatically sold to ETH over a 2-hour period via linear unlocking (every 50 blocks). The remaining 70% is sent to the treasury and will be sold by the MacroStrategy team to purchase MSTR opportunistically (not via contract). Note: No PNKSTR will be sold until the soft cap is met to ensure refunds can be paid if needed.

Ready to Participate?

Connect your wallet and deposit ETH or PNKSTR to earn boosted MSTR allocations

Go to Incinerator