Introduction

Subunit’s tokenomics are designed to align incentives across the platform, ensure sustainable funding for operations, and distribute value to participants in an equitable way. This section will break the 3 major prongs and how the tokenomics function with each.

Tokenomics are divided into three major prongs:

• $SUB tokens govern the overall platform

• $UNIT tokens govern individual properties

• $STS tokens govern the decisions of the subvault

Each token governs a separate DAO:

• $SUB tokens govern the Subunit Protocol DAO

• $UNIT tokens govern the their Property Specific DAO (e.g. x street, California DAO)

• $STS tokens govern the Subvault DAO

DAO Executor Role - To be initially assumed by Subunit Labs:

• All DAOs rely on an executor mechanism to carry out the decisions that token holders vote on.

• The DAO executor is essentially an agent or entity (it could be a smart contract multi-sig, a legal custodian, or a designated team member) responsible for executing the outcomes of on-chain votes in the off-chain world.

• For instance, if a Property Specific DAO votes to approve a new lease agreement with a tenant or to allocate funds for a repair, the DAO executor would be the one to sign the actual legal documents or initiate the bank transactions as needed.

• Similarly, if the Subunit Protocol DAO votes to adjust a smart contract parameter, the executor would trigger that change on-chain.

• This role is critical because many real estate actions (like transferring a property deed or signing a rental contract) cannot be done purely via smart contract; they require a real-world intervention by a recognized party.