> For the complete documentation index, see [llms.txt](https://rootwood.gitbook.io/rootwood-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://rootwood.gitbook.io/rootwood-docs/amber-economics.md). # Amber economics ### Amber economics > Amber is tree resin that trapped and preserved value across ages — the fitting emblem for a collection named after wood. The creator's yield is **layered like resin**, from three independent sources: 1. **Mint revenue** — all the ETH from selling Rootlings, minus only the depth the creator voluntarily seeds into the pool. 2. **Team allocation** — the 15% ROOT bag (149,850), theirs from launch. 3. **Trading fee** — a **1%** cut of every buy and every sell on the curve, forever. And a crucial property: **the NFT has no ETH redemption.** There is no mechanism that pays mint ETH back out to holders. Once the creator earns it, it's earned. The pool's ETH comes from *token buyers*, not from the mint — so the two never cross, and the creator's primary revenue is never clawed back by someone exiting. *** ### The bonding curve Here's the subtle part, and the reason this design is safe. **65% of ROOT is handed out for free** — the swap bucket (50%) and the team bag (15%). A naïve linear "sell-curve" backed only by the 35% pool would go **insolvent** the instant those free holders sold into it: there simply wouldn't be enough ETH to honor the sells. Rootwood sidesteps this entirely by using a **constant-product pool** — the same `x·y = k` invariant that powers Uniswap: ``` price │ ╭─ │ ╭───╯ │ ╭────╯ │ ╭─────╯ │ ╭───●────╯ ← spot price │ ╭────╯ (a buy climbs the curve; │ ╭───╯ a sell slides back down it) └───┴──────────────────────────────────────▶ ROOT traded against the pool ``` Properties that fall out of this for free: * **Always solvent.** The pool can always quote a sale. It just moves the price — it can never be drained to zero and left unable to pay. * **Exactly backed.** The ETH held by the pool always backs the token side precisely; the accounting is checked to the wei. * **Creator keeps their ETH.** Every wei of mint revenue is the creator's, except the depth they chose to seed. > Verified by a solvency fuzz test *and* confirmed live on testnet: even after the team dumps its entire bag into the pool, all 999 holders can still swap their NFTs for tokens. --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter, and the optional `goal` query parameter: ``` GET https://rootwood.gitbook.io/rootwood-docs/amber-economics.md?ask=&goal= ``` `ask` is the immediate question: it should be specific, self-contained, and written in natural language. `goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. GitBook uses it to tailor the answer towards what is most useful for that goal. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.