BACK minting · Backtrade Docs

Every dollar of the loss that the LP keeps mints the same number of tokens, whatever the account has won or minted before; this page has the exact rules and a worked example.

The flat rate

The Tokenomics contract mints at one rate R = 100 BACK per dollar of mint basis:

minted = basis · R / 1e18           (R as a wad; rounds down)

There is no curve: the rate does not depend on the LP, on the supply, on time or on the account’s earlier trades. The owner can change R through the timelock (at most 1,000 per dollar) and can freeze the mint parameters once, for good; the staker cap is set with it. Both setters refuse to run while deferred mints are waiting (below), so a replay always mints what the direct path would have.

From a loss to tokens. The mint basis of a loss, the loss less the fees, mints at the flat rate and is staked at once. Wins do not reduce it and no cap applies.

What counts as “loss”

The mint basis of a settlement is the part of the loss the LP keeps:

Losing close, position funded from your balance, queue empty: the loss minus the loss fee of 2% and the referral fee of 1.2%, and minus the builder fee when the closing key names an approved builder, all carved out of what the LP receives. The tracked LP rises by the same amount.
Losing close, claims queued: no fee is charged and the loss goes to the side bucket; the basis is the whole loss, and the tracked LP rises by the whole loss. The side bucket only decides that this cash pays queued winners first.
Liquidation: the whole lost margin, whatever the queue’s state. The tracked LP rises by the margin minus the liquidation fee when one is charged. A close that executes at or past the bust price settles as a liquidation, on the same basis.
Positions funded from queued claims: a losing close mints on the destroyed part of the claim, minus the loss and referral fees when they are charged; a liquidation destroys the whole claim, charges no fee and mints on all of it. The tracked LP moves by the same amounts.

Every basis mints in full. Wins mint nothing and do not reduce what a later loss mints, and no cap limits an account. For example, a close that loses $100 of margin while the queue is empty has a basis of $96.8 and mints 9,680 BACK.

Minted and staked, then burned

The minted tokens go straight into the Staking contract in your name and earn from the next distribution. They burn after the countdown of 7 days, in daily batches at 00:00 UTC, as Rewards & claims describes.

The fill

No countdown runs until the tracked LP first reaches the staker cap of $500,000. The settlement that first leaves the tracked LP at or above the cap marks the LP as filled, once and for good, and starts every countdown: the tokens minted before it all get the burn day that settlement’s timestamp gives with the countdown in force then, and every later mint counts from its own settlement. A later fall of the tracked LP below the cap changes nothing, and a change of the cap before the fill only moves the moment of the fill. The lens’s protocol summary shows whether the LP is filled and the countdown in force.

Batches and deferred mints

A close of several positions settles as one batch: one mint. A liquidation settles per position.

The Exchange calls Tokenomics with a fixed gas allowance and passes the settlement’s timestamp. If that call fails, the close still completes, the mint’s inputs are stored with that timestamp, and every later mint waits behind it, so that replaying them in the original order mints exactly what the direct path would have: the same burn day. Anyone can trigger the replay, and our keeper does. A mint replayed so late that its burn day has already passed is minted and burned in the same call and never counts as stake.