NodeStrategy: The first Ordinals DAT project, bringing the Strategy Treasury narrative onto NFTs

Author: 798.eth

NodeStrategy, the first project that claims to bring Bitcoin Ordinals DAT. It takes MicroStrategy’s treasury narrative and puts it onto NFTs—buy monkeys, buyback and burn, number go up. It sounds smooth. But it’s currently trading at a 0.46x deep discount; the price just stays there, not moving. The issue is in the design itself. The fuel you feed this machine, and the cage that locks it down, are the same thing: that 10% transaction fee. Let’s break it down step by step.

First, what is NodeStrategy. A Bitcoin Rune Token called NODESTRAT, with a total supply of 1 billion. It calls itself The Perpetual Monke Machine, the first Ordinals digital-asset treasury on Bitcoin L1. The treasury’s target is NodeMonkes, a blue-chip Ordinals NFT series—note that it has no relation to the official NodeMonkes. The trading venue is radFi, which is now Bound.

Next, how does the flywheel spin. The “pie” it draws is a four-step closed loop. Each buy/sell charges a 10% fee: 90% goes into the treasury, and 10% goes to radFi. The treasury uses this fee to sweep the NodeMonke floor. The swept monkeys are then arranged into a ladder and sold on Satflow with different profit targets. The BTC from the monkey sales is 100% used to buy back and burn NODESTRAT. As supply decreases, the price rises; more people come to trade, which generates more fees again. It claims it becomes more and more valuable the more it turns. That’s the entire script—self-consistent. But it can’t turn. Here’s why.

Point 1: Why can NODESTRAT only be traded on radFi / Bound?

First, recognize what’s at the root. The whole flywheel—sweeping inventory, selling, buyback, and burn—runs on that 10% fee. Without this fee, the treasury has no money, and the machine stops on the spot.

So who collects this 10%, and on which layer does it happen. If you switch to Ethereum or Solana, it’s simple: the token contract can collect it itself. ERC20 can implement fee-on-transfer, and Solana’s Token-2022 has TransferFee. For every transfer, the token’s own code deducts the tax, so no matter where you trade, the tax follows the token.

But NODESTRAT is a Rune on Bitcoin. Bitcoin L1 has no smart contracts. A Rune is just a balance record in the Runes protocol ledger—etch a number into a ledger entry, and that’s it. It has no code, no transfer hook, and no logic that can execute itself. You can’t create a Rune that automatically collects tax. Sending a Rune is simply a normal Bitcoin transaction that moves balances around—there’s nothing in between that can intercept and siphon off that 10%.

So this 10% can’t grow on the coin itself; it can only grow on the trading venue. It’s the radFi / Bound pool that deducts the 10% at the moment you construct a trade to buy or sell NODESTRAT. The tax lives at the platform layer; the token itself can’t deduct a single cent.

The conclusion follows. This 10% exists only when trading on radFi / Bound. If you treat NODESTRAT as a normal Rune and transfer it peer-to-peer to a friend, or sell it on other Ordinals marketplaces, then there’s no 10%—because outside Bound, no one else knows this rule, and it can’t be enforced anywhere else.

That leaves the project with only one lifeline: lock all trading tightly inside radFi / Bound. Worldwide, there’s only that one place where this toll can be collected. Once liquidity flows elsewhere, fee revenue drops to zero, the treasury stops sweeping, and the flywheel dies immediately.

This also explains the portion of the 10% that goes to radFi. radFi is the toll station, and NodeStrategy is responsible for routing the cars onto this road. This coin is almost literally “bound” by Bound—the name is refreshingly straightforward. Its entire value mechanism is held hostage to a single platform, like a hostage setup. That vulnerability is written into the design.

Point 2: Why can’t the price rise? Where is the root cause.

Its script is “number go up,” so why is it just sitting there. The real problem is that the machine’s own fuel is poisoning its own demand.

The machine has no fuel to begin with. The flywheel burns trading volume, but trading volume is basically dead—about $9K per day. A 10% cut means $900; 90% of that—$810—goes into the treasury. It can’t even sweep 0.01 BTC per day. With no volume there are no fees; with no fees there’s no buyback; with no buyback there’s no burn. When that happens, nothing happens to the price. The whole chain is just spinning in place.

Even worse, that 10% isn’t only fuel—it’s also a headwind pressing down on its own price. When you buy, you pay 10%; when you sell, you pay another 10%. A full round trip loses at least 20%. The token must first rise by more than 20% before traders can break even. You’re effectively asking people to buy something that charges 10% on entry and 10% on exit; the speed of speculation is immediately choked off. On one side, buyback and burn provide a tailwind; on the other, the 20% round-trip tax creates a headwind—this headwind is blowing at the same token. It’s fighting itself.

The buyback pipeline is already tightened to the limit. Buybacks only trigger when a NodeMonke is actually sold off the ladder; only the proceeds from selling monkeys get used for buyback. But the NFT marketplace is thin—sales are slow and uncertain. So far it has sold only 39. Of those, 15 are in the short bucket; the mid and long buckets are all 0. The buyback faucet is basically just dripping. The 30.77% that has already been burned.

Burning itself doesn’t create demand. Reducing supply can push prices up, as long as demand is still there. But with no volume, and with a 10% fee on entry, burning 30% of the supply only results in a smaller—yet still no one bids for—order book. Price is about marginal supply and demand. Here, demand is locked up by taxes and dead trading volume, while the supply side is being attacked.

That 0.46x discount is a trap that locks itself. The coin price is only half of NAV. Normal DATs, when trading at a premium, can mint more Token to buy more assets—this is the real leverage for number go up. The only remaining leverage to push price is buyback, but it’s starved by the earlier issue. When there’s no premium, buyback can’t move things, so the discount just stays pinned there, with no mechanism to pull it back.

Finally, if NAV is twice the market cap, why isn’t the price moving toward NAV.

Holding NODESTRAT has no redemption channel—you can’t exchange the coin back for its implied 0.46x NodeMonke. Your only exit is to sell it on radFi to the next highest bidder, and you have to pay another 10%. That NAV is a marketing figure, not a floor price; the market doesn’t recognize it. It prices only based on capital flows.

That 10% fee was originally meant to feed the flywheel. Instead, it taxes the very demand and trading volume that the flywheel needs most. And it can only be collected by locking the coin on a single platform—thereby capping liquidity. On top of that, the backing is non-redeemable and non-liquid, so the NAV can’t anchor the price. The design of this machine is to send the fuel source to constrain its own demand.

Without evaluating up or down—just the mechanism.

Is there any good way to let this fundamentally solid flywheel keep taking off?