# Genesis Main Channel

**Treasury at Genesis start: about $200,000 market value of SHYT.** After-tax buybacks have already accumulated that for the fund. SHYT is **fully circulating**; **market cap = FDV**. Genesis main channel opens **$200,000 USDG** subscription, issued to subscribers at **$1 per HOLI**:

<Eq expr="N_{\mathrm{USDG}} = 200{,}000\ \mathrm{USD} / (1\ \mathrm{USD}/\mathrm{HOLI}) = 200{,}000\ \mathrm{HOLI}" />

The fund pairs **$200,000** market-value SHYT with **another minted 200,000 HOLI** as the [green-channel](/launch/green-channel) pool:

<Eq expr="N_{\mathrm{pool}} = 200{,}000" />

<Eq expr="S_0 = 400{,}000" />

<Eq expr="N_0 = S_0 - N_{\mathrm{pool}} = 200{,}000" />

<Eq expr="A_0 = 200{,}000^{\mathrm{SHYT}} + 200{,}000^{\mathrm{USDG}} = 400{,}000\ \mathrm{USD}" />

<Eq expr="\operatorname{NAV}_0 = 400{,}000 / 200{,}000 = 2\ \mathrm{USD}/\mathrm{HOLI}" />

This <Md expr="N_{\mathrm{pool}}" /> mint is Treasury-held SHYT/HOLI — **not** subscriber HOLI. <Md expr="N_0" /> is **outside supply**. Official NAV marks the **1×** external legs. [Opening balance sheet](/launch/opening-balance-sheet).

**At Genesis close**, deploy [HOLI/USDG](/launch/usdg-pool) with **100,000 USDG** minting **50,000 HOLI at $2**. While those 50,000 sit in the **Treasury pool**, **outside supply is unchanged**, **NAV is $2**; **undeployed USDG remaining $100,000**. Main-channel subscribers bought at **$1**, against **200,000 outside HOLI** and **$2 NAV** — a **one-time discounted issuance**. The **LP is Treasury-owned**.

**Genesis-stage full issuance total: 400,000 HOLI (of which 200,000 sit in Treasury LP).** This page is the USDG half. The other **200,000** is [green-channel](/launch/green-channel) HOLI in Treasury SHYT/HOLI LP — not in the NAV denominator.

**Full-quota NAV denominator: 200,000 HOLI** (total issuance minus Treasury-held, **including HOLI in pools**). That is <Md expr="N_0 = S_0 - N_{\mathrm{pool}} = 200{,}000" />: issuance **400,000**, Treasury-held <Md expr="N_{\mathrm{pool}}" /> **200,000** in SHYT/HOLI LP, **outside supply** 200,000 to USDG subscribers. The denominator is **outside supply**, not total issuance. [Opening balance sheet](/launch/opening-balance-sheet).

**NAV at Genesis full-quota close: $2 per HOLI** = ($200,000 SHYT + $200,000 USDG) / **200,000 outside HOLI**. Main channel **full**, SHYT/HOLI seeded — **before** the follow-on 50k HOLI/USDG mint. This is the **full-quota + $1** close. [Opening balance sheet](/launch/opening-balance-sheet).

**Genesis main channel:** open **$200,000 USDG** subscription quota.

**Per-address cap: $1,000.**

**Main-channel issue price:** planned **$1 / HOLI**; if oversubscribed the protocol **may** switch to Dutch-auction clearing.

**Main-channel issuance at full quota: 200,000 HOLI, to USDG subscribers.**

**Treasury after the main channel closes: about 200,000 SHYT in the pool + 200,000 USDG.** That is <Md expr="A_0" /> when this channel is full. The **about 200,000 SHYT** (~$200k market value; **market cap = FDV**) sits in the [green-channel](/launch/green-channel) SHYT/HOLI pool; the **200,000 USDG** is this channel's raise, still **undeployed cash** — not in that pool. [Opening balance sheet](/launch/opening-balance-sheet).

**At Genesis close**, deploy [HOLI/USDG](/launch/usdg-pool) with **100,000 USDG** minting **50,000 HOLI at $2**. While those 50,000 sit in the **Treasury pool**, **outside supply is unchanged**, **NAV is $2**; **undeployed USDG remaining $100,000**. Main-channel subscribers bought at **$1**, against **200,000 outside HOLI** and **$2 NAV** — a **one-time discounted issuance**. The **LP is Treasury-owned**. Those 50k stay in Treasury LP; <Md expr="N" /> unchanged (still 200k); **NAV still $2**. Official NAV is **1× the external (USDG) leg**. Stock pools are not this step.

**SHYT green channel means buying HOLI at market through the SHYT/HOLI pool.** Initial pool: **$1 of SHYT vs 1 HOLI**; thereafter price **rises along the curve with buy flow**. That is a **definition**, not a second USDG sale. This page is the **$200,000 USDG** subscription. The green channel **opens at Genesis and is kept long-term**. [Green channel](/launch/green-channel).

**Main-channel eligibility:** first hour limited to the **NET / SHROOM / SHYT snapshot whitelist**; thereafter **open to all addresses**. [Eligibility](/launch/eligibility).

## Size and price

| | |
| --- | --- |
| Quota | **$200,000 USDG** |
| Per-address cap | **$1,000** |
| Planned issue price | **$1 / HOLI**; protocol **may** Dutch-auction if oversubscribed |
| Full-quota issuance | **200,000 HOLI to USDG subscribers** |

Each address's subscription cap is **$1,000**. When the auction is **not** enabled, the issue price is **$1 per HOLI**:

<Eq expr="N_{\mathrm{USDG}} = 200{,}000\ \mathrm{USD} / (1\ \mathrm{USD}/\mathrm{HOLI}) = 200{,}000\ \mathrm{HOLI}" />

That lot is **external HOLI** — **not** the pool mint. The [SHYT/HOLI](/launch/genesis-pool) <Md expr="N_{\mathrm{pool}}" /> mint is Treasury-held. <Md expr="N_0 = S_0 - N_{\mathrm{pool}}" /> is **outside supply**; <Md expr="\operatorname{NAV}_0 = 2\ \mathrm{USD}/\mathrm{HOLI}" />. [Opening balance sheet](/launch/opening-balance-sheet).

$1 is the default subscription. It corresponds to opening NAV of **$2** when the auction is off, or when the clearing price stays $1. After the market opens, HOLI's price is the tape and the POL curve — not $1, and not NAV.

If a Dutch auction clears **above $1**, booked raise and issued HOLI follow the clearing result; NAV is recomputed. [Opening balance sheet](/launch/opening-balance-sheet).

## Main-channel eligibility

Who qualifies, the pre-trigger snapshot, and the three groups are [eligibility](/launch/eligibility). After hour 1, any address until the **$200,000** quota is exhausted **or** the window closes. The **$1,000 / address** cap still applies.

The [SHYT green channel](/launch/green-channel) is **not** this hour-1 cut. It opens at Genesis and stays open.

## Oversubscription and auction

If, under the **$1,000 / address** cap, the channel is still oversubscribed, the protocol **may** set the final issue price with a **Dutch auction** in the style of Google's 2004 IPO.

Bids match **high to low** until the **$200,000** quota is filled. The **clearing price** is the fill price for **all allocated addresses**.

When the auction is **not** enabled: issue price stays **$1 / HOLI**; excess is **cut or not allocated** per rules.

If the auction lifts the clearing price **above $1**: main-channel **actual raise** and **issued token count** are booked at the **clearing result**. NAV is then <Md expr="n_t = A_t / N_t" /> from booked USDG and external supply. [Opening balance sheet](/launch/opening-balance-sheet).

Subscriber HOLI is external — in <Md expr="N_t" />. The HOLI that goes into the SHYT/HOLI pool sits in <Md expr="S_t^{\mathrm{treas}}" />. That split is the [opening balance sheet](/launch/opening-balance-sheet).