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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