1. Purpose
The Royalty Routing Engine in TLaaS (LEX) ensures that revenue from license transactions is distributed automatically and transparently among ecosystem participants. This includes allocations to the LEX Treasury, validators operating under TLAAS (DLA), and auditors/council members in DAL.
2. Revenue Sources
- License Minting Fees — Paid by issuers when creating new licenses.
- Renewal Fees — Collected for extending license validity.
- Transaction Fees — Applied to transfers, sublicensing, and marketplace trades.
- Penalty Fees — Generated from slashing events or compliance violations.
3. Distribution Model
A typical split might include:
Recipient | Percentage |
LEX Treasury | 30% |
License Issuer | 40% |
Validators (via TLAAS) | 20% |
Auditors & Dispute Councils (via DAL) | 10% |
These percentages are configurable through governance proposals in DAL.
4. Smart Contract Logic
The royalty routing logic is embedded directly into TLaaS marketplace contracts to ensure real-time distribution at the point of transaction.
Key Steps:
- Transaction executes in TLaaS marketplace.
- Fee amount calculated and split according to governance-defined percentages.
- Payments routed to respective addresses.
- Events emitted for full transparency.
5. Solidity Implementation Example
function distributeRoyalties(uint256 amount) internal {
uint256 treasuryShare = (amount * 30) / 100;
uint256 issuerShare = (amount * 40) / 100;
uint256 validatorShare = (amount * 20) / 100;
uint256 auditorShare = (amount * 10) / 100;
payable(lexTreasury).transfer(treasuryShare);
payable(licenseIssuer).transfer(issuerShare);
payable(tlaasValidatorPool).transfer(validatorShare);
payable(dalCouncilPool).transfer(auditorShare);
emit RoyaltiesDistributed(amount, treasuryShare, issuerShare, validatorShare, auditorShare);
}
6. Governance Control
- Configurable Percentages: Adjusted via DAL governance votes.
- Recipient Updates: Addresses for each recipient group can be updated by authorized governance actions.
- Audit Logs: All distributions recorded on-chain for public audit.
7. Benefits
- Eliminates manual payment handling.
- Provides transparent, automated revenue sharing.
- Aligns incentives for all ecosystem stakeholders.
- Supports dynamic updates through governance.
Next Article: DAO Escalation & Dispute Hierarchy — Tiered Appeal Processes