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Skyhitz Documentation

Welcome to the Skyhitz technical documentation. Skyhitz is a decentralized music platform powered by the Stellar blockchain, featuring sustainable tokenomics with the HITZ token in post-exhaustion distribution mode.

What is Skyhitz?

Skyhitz is a music streaming and investment platform where:

  • Listeners pay small HITZ fees to stream, like, and download tracks
  • Investors stake HITZ tokens to gain equity in music entries and earn ongoing rewards
  • Miners bring external music onto the platform and stake as initial stakeholders
  • Verified Artists set non-dilutable equity on their uploads and earn ongoing rewards

System Overview

Post-Exhaustion Model

The HITZ token supply is fully issued (~20M of 21M max). The system now operates in distribution-only mode:

  • No minting: Supply is exhausted
  • 1:1 staking: Fee paid = stake amount
  • Treasury distribution: 0.05% of treasury distributed daily
  • 12-year curve: Bitcoin-like sustainable emission

Single Contract Architecture

Skyhitz runs on a Skyhitz Core Contract (Soroban):

  • Records all user actions (stream, like, download, mine, invest)
  • Manages HITZ token staking for equity positions
  • Handles fee collection and treasury management
  • Distributes HITZ rewards to entry pools

The HITZ Token is a Stellar Asset Contract (SAC) with the Core contract as admin.

HITZ Token Economy

  • HITZ Token: Used for all fees, staking, and rewards
  • Max Supply: 21,000,000 HITZ (fully issued)
  • Decimals: 7 (1 HITZ = 10,000,000 stroops)

Two Revenue Streams

  1. Escrow (Performance-based)

    • Generated by micro-spend actions: stream, like, download
    • Fees go to Treasury
    • Increases entry's escrow value
    • Used for proportional reward distribution
  2. TVL (Total Value Locked - Equity-based)

    • Generated by equity actions: mine, invest
    • Fees become stake in contract
    • Grants proportional ownership and reward claims

Quick Start

For New Users

  1. Start with Tokenomics & Rewards to understand the economic model
  2. Read User Action Flows to see how actions work
  3. Learn about APR Calculation to evaluate investment opportunities

For Developers

  1. Review the Stellar & Soroban Contracts documentation
  2. Explore the Contract Source Code
  3. Check out the GraphQL API documentation

For Platform Operators

  1. Understand the Treasury Bot System for automated distributions
  2. Review Deployment Procedures for contract updates
  3. Study the APR Math for monitoring platform health

Key Features

HITZ-Only Economy

All platform activity uses HITZ tokens:

  • Stream a song → 0.1 HITZ fee
  • Like a track → 0.2 HITZ fee
  • Download → 0.3 HITZ fee
  • Mine a track → 1.0 HITZ (becomes stake)
  • Invest → 3+ HITZ (becomes stake)

Staking & Ownership

Mine and Invest actions require staking HITZ tokens:

  • Stake is locked in the contract (1:1 with fee)
  • Grants proportional ownership in the entry
  • Enables claiming rewards from the entry's reward pool
  • Ownership percentage: your_stake / total_staked
  • Can unstake at any time

Artist Equity (Non-Dilutable)

Verified artists can set non-dilutable equity when uploading:

  • Up to 99.9% artist equity
  • Never diluted by fan investments
  • Supports collaborations (multiple artists per entry)
  • Separate claiming from staker rewards

Example:

  • Artist sets 20% equity on upload
  • Entry earns 1000 HITZ in rewards
  • Artist claims 200 HITZ (20%)
  • Stakers share remaining 800 HITZ (80%)

Treasury Distribution (Bitcoin-Like)

The Treasury bot automates reward distribution with rate limiting:

  1. Treasury holds HITZ from fees and recovered funds
  2. Daily: Distributes 0.05% of treasury balance
  3. Distribution proportional to entry escrow (engagement)
  4. Creates 12+ year sustainable emission curve

Emission Timeline:

YearCumulative Distribution
1~17%
4~52%
8~77%
12~88%

Fixed Supply

HITZ token has fully issued supply:

  • Max supply: 21,000,000 HITZ
  • Current supply: ~20,000,000 HITZ
  • No more minting possible
  • Rewards from treasury distribution only

Documentation Structure

Tokenomics

Backend

Frontend

Operations

Getting Started

Use the left sidebar to explore different sections of the documentation.

If you're new, we recommend starting with:

  1. Rewards Overview - Understand how the system works
  2. User Action Flows - See detailed flow diagrams
  3. Stellar & Soroban - Learn about the smart contracts

Key Concepts

Actions

All user interactions are recorded as actions with difficulty levels:

  • Stream (difficulty 1): Listen to a track → 0.1 HITZ fee
  • Like (difficulty 2): Like a track → 0.2 HITZ fee
  • Download (difficulty 3): Download a track → 0.3 HITZ fee
  • Mine (difficulty 10): Bring external music to platform → 1.0 HITZ stake
  • Invest (dynamic): Stake more in an existing entry → 3+ HITZ stake

Fee & Stake Model

Fee = base_fee × difficulty

For staking actions (mine/invest):
Stake = Fee (1:1 ratio, no oracle)

Staking

Equity actions (mine/invest) stake HITZ directly:

Stake = Fee Paid

Example:

  • Mine (1 HITZ fee): 1 HITZ stake
  • Invest 10 HITZ: 10 HITZ stake

APR (Annual Percentage Rate)

APR shows projected annual returns for stakers:

APR = (reward_pool / total_staked / days_elapsed) × 365 × 10000

Returns are in basis points (10000 = 100% APR).

Claiming

Stakers claim rewards proportional to their ownership:

Claimable = (your_stake / total_staked) × staker_pool - already_claimed

Where staker_pool = reward_pool × (100% - artist_equity%)

Claims can be made anytime and don't affect your stake.

Platform Statistics

Track these key metrics:

Token Metrics

  • Total Supply: ~20M HITZ (fixed)
  • Treasury Balance: Available for distribution
  • Daily Distribution: 0.05% of treasury

Entry Metrics

  • TVL: Total HITZ value locked in stakes
  • Escrow: Total HITZ from engagement actions
  • Total Staked: Total HITZ staked by users
  • APR: Annualized return rate for stakers
  • Reward Pool: Available HITZ rewards

User Metrics

  • Actions/Day: Platform activity level
  • Average Stake: Typical stake size
  • Claim Frequency: How often users claim rewards

Support & Resources

For security issues, email: security@skyhitz.io

What's Next?

Choose your path:

📊 Understanding Economics → Start with Rewards Overview

🔧 Technical Implementation → Start with Stellar & Soroban

🎵 Using the Platform → Start with User Action Flows

🚀 Operating the System → Start with Treasury Bot