The DeFi Revolution Starts on Supra

Supra is the first blockchain built for full vertical integration —  but that’s just the start. With our high-speed L1 smart contract execution, native price feeds, and upcoming native automation, Supra is building all-new chain-level capabilities that redefine DeFi at its core. 

We’re introducing powerful MEV resistance strategies, a system-level auto-arbitrage protocol, and an auto-liquidation mechanism. These automated systems will generate revenue for our network-owned liquidity which can be shared among our Decentralized Treasury, node operators, and dApps. The Decentralized Treasury can even initiate $SUPRA buybacks. These plans lay the road towards a groundbreaking, self-sustaining, transparent DeFi ecosystem. 

While these innovations are currently being deployed on testnet, the team is actively working to bring them to mainnet in the months ahead. This is not just a small upgrade — it is a radical transformation of what DeFi can be — it’s the DeFi Revolution. Let’s dig in. 

Beyond MEV: A More Transparent and Fair Model

Most blockchains rely on high transaction fees and Maximally Extractable Value (MEV) as primary sources of revenue. However, these models tend to benefit insiders (investors, node operators, and dApps) while compromising execution quality for everyday users. Supra is taking a different approach by algorithmically mitigating predatory MEV strategies and pioneering a framework that works for everyone in the network. This brings about a structural shift across all kinds of DeFi experiences.

How Supra Will Dampen MEV and Ensure Fairness

• Randomized Transaction Execution: Using threshold signatures as a randomization seed, Supra can ensure transaction execution is deterministic but unpredictable, making order manipulation virtually impossible.
• Localized Fee Markets: Instead of allowing users to game the system by spamming transactions to increase the probability of their transaction landing where they want, Supra will introduce localized fee markets to make it expensive to spam the network for MEV purposes, such as front-running and sandwich attacks.
• Enshrined Oracle Data: Instead of Oracle data not landing during high network congestion, Supra will prioritize its 500+ price feeds and other Oracle data in our blocks, ensuring each block contains the latest, freshest data possible. 
• The End Result: Retail users will finally get the fair execution they deserve, creating a new era of DeFi that’s fairer and more transparent.

Sustainable Revenue Models for a Thriving Ecosystem

Rather than relying solely on transaction fees — which may still remain relatively “cheap” due to Supra’s high throughput capacity — our approach is expected to generate even more revenue through auto-liquidations and auto-arbitrage, thereby creating a sustainable, transparent, and deterministic economic engine unlike anything seen before.

Auto-Liquidations: A High-Frequency Revenue Driver

With the power of native automation, Supra is creating a deterministic and transparent auto-liquidation system that will execute on every single block. That means it will operate multiple times per second to protect market integrity, and it holds the potential to generate substantial revenue in the process. This is an unprecedented level of efficiency and automation in DeFi – and we postulate it may become a major yield generator for all stakeholders. 

How It Will Work

1. Network-Owned Liquidity (Decentralized Treasury) Will Provide Flash Loans – Instead of relying on slow, external liquidators, Supra’s treasury will provide instant liquidity at competitive rates.
   
2. Positions Will Be Stabilized with Fast, Fair, Deterministic Liquidations – The borrowed liquidity will be deployed instantly to fill positions and prevent disorderly liquidations.
   
3. Trades Will be Routed Through Supra’s Native DEX (DFMM) – The system will ensure optimal pricing and minimal slippage with unparalleled speed.
   
4. Liquidation Fee Collection– Fees (up to 1% of the position size) will generate a constant, potentially massive revenue stream that will fuel the ecosystem.

Where the Revenue Will Go

• Network-Owned Liquidity (Decentralized Treasury): Will capture liquidation fees and perhaps even lending fees, ensuring continuous, sustainable growth.
• Node Operators (Infrastructure Providers): Will receive a share of liquidation profits, replacing the outdated MEV model with a superior and fair incentive system.
• Decentralized Applications (dApps): Will earn revenue from liquidations within their ecosystems, allowing a new wave of decentralized applications to flourish.

Auto-Arbitrage: A Self-Sustaining Financial Engine

At the end of every block, Supra’s enshrined automation service will execute system-wide arbitrage tasks, promoting optimal market efficiency and conceiving an entirely new source of revenue that benefits all participants.

How Auto-Arbitrage Will Work

1. Discovers Arbitrage Opportunities – Constantly monitors price discrepancies across major native dApps and DEXs.
2. Executes Arbitrage Trades in Real-Time – Supra’s automation system capitalizes on inefficiencies, latent within all other blockchains, with unparalleled speed and accuracy.
3. Revenue Will Be Distributed to Key Stakeholders – Profits will be split transparently across the ecosystem (to the Network, dApps, and node operators) creating sustainable revenue generation techniques instead of extractive practices.

Who Will Benefit

• Network-Owned Liquidity (Decentralized Treasury): May use arbitrage profits to buy back $SUPRA tokens, which are then held in the network treasury to fund incentives, development, and ongoing network expansion.
• Node Operators (Infrastructure Providers): Will participate in revenue-sharing for executing arbitrage without reliance on predatory MEV extraction.
• Decentralized Applications (dApps): Will tap into a revolutionary revenue model, increasing liquidity and boosting innovation across the network. By receiving a portion of their value generated back, dApps can mitigate losses for liquidity providers, including impermanent loss.

Enshrined Automation: The True Engine of Supra’s Economy

One of Supra’s most powerful innovations will be its enshrined automation network, which will enable on-chain trading bots and continuous execution strategies to operate seamlessly in every single block. This will redefine blockchain as an ecosystem where automation, not human input, drives the majority of transactions, and thus may be the primary source of gas consumption on the Supra blockchain. 

• Automation tasks will be executed every block, meaning these strategies may run multiple times per second — far beyond the capabilities of external automation services.
• This will result in a higher volume of transactions from on-chain automation than human-driven transactions, potentially positioning Supra to become one of the most active blockchain ecosystems in the world.
• The enshrined automation network will act as the backbone of Supra’s economic engine, providing sustained revenue while ensuring optimal execution quality for all. 

A Vision for the Future of DeFi

These advancements — auto-liquidations, automated arbitrage, and network-wide automation — are not just minor upgrades. They represent a seismic shift in DeFi, fundamentally altering what is possible in decentralized economies.

Supra is creating a blockchain where:

• Retail users will experience an execution environment previously only available to high-frequency traders.
• Revenue will be generated continuously, ensuring financial sustainability for the entire network.
• Decentralized Governance will be able to strategically optimize the treasury, creating long-term economic security.
• Automation and algorithmic trading will drive growth, making Supra the ultimate infrastructure for the future of decentralized finance.

Where We Are Headed

Network Owned Liquidity that is funded through our enshrined automation capabilities is a major breakthrough for blockchain economics. It allows for better and fairer revenue generation that is transparent and doesn’t rely on predatory MEV practices, which exist on virtually every other blockchain. 

These features are currently being tested on closed testnet, with a goal to fully integrate them on mainnet within the months ahead. We are actively working on this monumental vision, pushing the boundaries of what is possible in Web3 and global finance at large. Supra is committed to building a transformative, decentralized financial system that will redefine the blockchain industry forever.

This isn’t just another blockchain—this is the foundation of the next financial revolution. LFG!