> For the complete documentation index, see [llms.txt](https://soulbound-1.gitbook.io/soulbound-btc-allpaper-v2/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://soulbound-1.gitbook.io/soulbound-btc-allpaper-v2/architecture/incentive-layer-badge-based-btc-reward-mechanism.md).

# Incentive Layer: BADGE-based BTC Reward Mechanism

SOULBOUND utilizes a novel BADGE system that aligns recruitment incentives with protocol growth. Participants are motivated to spread awareness and sustainably foster community expansion to maximize rewards distributed in the form of BTC. The protocol mints BADGE tokens which are staked to access yield and governance rights over the treasury and platform direction.