How Royalty Finance Works
Digital Asset Reward Royalties
01. Network Service
Capital raised is used to fund node operations and digital asset liquidity staking.
![](https://royalty.finance/wp-content/uploads/2021/01/decentralised-royalty-finance-790x412.png)
02. Digital Assets
Royalty Finance takes a disciplined, highly selective and rigorous approach to digital asset royalties acquisition. We seek high quality protocols, that are decentralised, collateralised and non-custodial to reduce risk and share exceptional potential for network growth.
![](https://royalty.finance/wp-content/uploads/2023/10/Defi_AMM_How_Liquidity_Provider_Tokens_Work__1_-490x315.webp)
03. Reward Royalties
By providing liquidity service on layer two Bitcoin Lightning and Ethereum networks we generate fees in return. This constant stream of rewards generate a predictable and cash flow revenue that gets paid out to our investors and users as royalties.
No Custody Risk
Decentralised non-custodial liquidity protocol.Deposits are collateralised
No risk for non-payments as smart contracts sell off collateralised digital assets.![](https://royalty.finance/wp-content/uploads/2021/01/ether-logo-ecosystem-253x383.png)
Constant Cashflow Royalties
Yield is credited directly to our address every second.USD 1:1 Stablecoins
USD nominated yield accessible globally.04. Decentralised Finance
The overhead costs are kept to a minimum with the management fee of 20% from the dividend payments and future profits.