> ## Documentation Index
> Fetch the complete documentation index at: https://docs.wen.network/llms.txt
> Use this file to discover all available pages before exploring further.

# How the reserve economy works

> Backing, asset accumulation and funded issuance.

Each WEN economy has attributable capital, obligations and results. Shared software does not merge the treasuries.

**Monetary backing per obligation** uses eligible dollar backing divided by issued tokens plus accepted unminted token obligations. **Combined economic NAV** additionally reflects net protocol-owned assets such as BTC, after applicable liabilities. Customer assets and participant reward claims are not protocol property. The market price is a separate executable trading price.

In the selected v1 direction, BTC appreciation does not authorize dollar-backed token issuance. New discretionary issuance must satisfy USD funding and the selected BTC-units-per-obligation preservation gate, as well as release ceilings.

New receipts follow their actual purpose: apply contractual Team/execution treatment and costs, cover inventory and other obligations, then route eligible residual income. The leading available-income candidate is 50% additional USD, 40% protocol BTC budget and 10% participant BTC budget. It does not split existing backing or dictate the Treasury's portfolio weights.

Bond purchase-designated BTC capital stays reserve capital. Mining supplies funded SAT in exchange for purchasing receipts. Returned investment principal and borrowed money are not profit. A business routes only earnings attributable to its owner after costs, losses and obligations.

Undeployed BTC has asset exposure, not interest income. Lending is optional future work. See [fees](/fees) and [release status](/status).