# Where returns come from

## The Economic Flow

ReFi Hub follows a simple structure:

1. A solar asset operates and generates electricity
2. The asset generates revenue through usage
   * Customers and offtakers pay for that electricity
   * Revenue streams include Power Purchase Agreements (PPAs), grid tariffs, and Renewable Energy Certificates (RECs)
3. Revenue is distributed to Token Holders: A predefined percentage of gross revenue flows to Token Holders under contractual terms, typically before operating costs are deducted.
4. The project company covers operations: Maintenance, energy costs, and operating expenses are managed by the project operator.
5. Performance is reported transparently: Revenue generation, Yield distributions, and asset performance are reported on-chain.