Introducing Silicon.net’s Pool Token.

Pre-Deposits Now Live.

We're launching our first GPU pool token pre-deposit campaign—Cluster 01—offering early participants the opportunity to pre-purchase pool tokens (fractional shares of high-performance compute infrastructure) before our pool token mainnet goes live.

What is the Pool Token ($silGPUa)?

The Silicon pool token ($silGPUa) is an ERC-20 token representing a fractional ownership claim on GPU servers and the associated cash flows generated by AI compute workloads. The pool contract holds both:

• GPU server NFTs each representing a specific physical server and its cash flow rights, and
• USDC received as revenue from AI workloads.

Revenue & Allocation

Compute revenue is generated via cloud platforms (such as Runpod Secure Cloud) and is remitted to the pool contract in USDC, net of fees and obligations. The following allocation applies to gross revenue generated by pool assets:

• 51.4% to the pool token contract (benefitting pool token holders via NAV accretion)
• 20.0% to Runpod (cloud marketplace provider)
• 13.2% to the datacenter operator (electricity and operating expenses)
• 10.4% for US Federal & California state taxes (net of depreciation and other deductions)
• 5.0% to Silicon (protocol management fee)

Pool Token NAV (Net Asset Value)

The pool token’s Net Asset Value (NAV) represents the liquidation value of all pool holdings:

• USDC: valued at 1 USDC = $1
• GPU servers: valued at acquisition cost less accumulated depreciation

NAV increases as USDC revenue accrues to the pool, while GPU server values decline on a straight-line depreciation schedule over the term of each service agreement.

Example: A $100,000 server with a 36-month service agreement and a guaranteed end-of-life liquidation value of $20,000 would depreciate at $2,222 per month ($80,000 ÷ 36).

Users can acquire the pool token from our pre-deposit campaign where 1 USDC = 1 silGPUa. After the pool token goes live, to realize gains, users will be able to sell their pool tokens on an AMM or burn their pool tokens for USDC out of the pool (a tax applies when USDC reserves are low). For more information on how the pool token is minted, burned, and derives value please check out our docs (docs.silicon.net/pool).

Where does the yield come from?

The AI compute demand primarily comes from Runpod, a leading GPU cloud platform specializing in on-demand inference and compute. To get a sense of hourly rates you can check out https://www.runpod.io/pricing and select “Secure Cloud”. In time, datacenter providers will partner with other neocloud marketplaces, and also sign long term direct customer rental contracts.

What is in Cluster 01?

Pre-deposits will fund a deployment of high-performance H100, H200, or RTX Pro 6000 Blackwell servers at FarmGPU's professionally managed datacenter. Here's what the economics look like:

• Server cost: $100K-$250K
• Current hourly rental rate: $1.84-$3.59 with Runpod Secure Cloud (https://www.runpod.io/pricing)
• Return Parameters: Returns depend on a number of factors but primarily can be modeled by adjusting two key inputs which are the biggest unknowns at the time of deployment.
  • Utilization (what percentage of every hour the server + storage is rented)
  • Annual Hourly Rate Decay (rate at which the hourly rental rate decreases per year)
  Other variables like fees and taxes are fixed at the start. Electricity costs (a huge topic in datacenter economics) are baked into the “Provider Rake” and provider is responsible for covering electricity and other OPEX costs regardless of where rates go over the next 36 months. Liquidation residual is a guaranteed minimum price to receive for the servers at the end of their life cycle (based on a call option arranged with a liquidator at time of deployment). It is however possible that the market will value the servers above that residual resulting in additional revenue at the end of the servers life cycle.

Projected Returns

Based on our existing fleet performance (Cluster 00), we model a 3-year server lifecycle with the following scenarios:

Disclaimer: Projected returns are estimates based on current market conditions and are not guaranteed. GPU ownership involves risks including hardware depreciation, market demand fluctuations, operational challenges, and potential loss of capital.

Cluster 01 Points Campaign

The pre-deposit campaign runs for approximately 2 months (shorter if we hit our $2M cap early). During this period, you'll earn points and a claim on pool tokens based on your deposit timing. Cluster 01 has a total points budget of 8 million points.

• 1 USDC = 1 pool token (regardless of timing)
• $0-1M in pre-deposits: 5 points per USDC
• $1M-2M in pre-deposits: 3 points per USDC

To reiterate, USDC will convert to pool tokens at TGE. Points have no monetary value and represent campaign participation only.

Timeline & Terms

• Campaign duration: ~2 months or until $2M cap reached
• Deposit token: USDC only
• Supported deposit chains: Arbitrum, Base, Chia, and Ethereum Mainnet
• No withdrawals: Deposits are locked until the pool token launches
• Pool Token chain: Arbitrum
• Deposit: predeposit.silicon.net

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