The pWatt: Tokenized Ownership of Clean Energy Projects

The pWatt is the foundational asset of the Suno Protocol. It represents fractional ownership of a specific clean energy project and serves as the mechanism through which participants directly fund infrastructure development. Each project issued within the Protocol is tokenized as a unique pWatt instance, creating a transparent, tradable representation of the project's value and revenue rights.

Project-Specific and Non-Interchangeable

Each clean energy project in the Suno ecosystem is tokenized through its own distinct pWatt token, implemented as a separate ERC-20 contract. While each pWatt behaves like a standard fungible token within its own project, tokens from different projects are not interchangeable—a pWatt from one project cannot be used in place of another.

This project-specific structure ensures that capital, ownership, and returns are all clearly traceable to the underlying asset. It allows participants to engage with individual projects based on their unique characteristics—such as size, location, expected yield, and risk profile—while maintaining the interoperability and liquidity benefits of ERC-20 standards within each project.

Funding, Yield, and Lifespan

pWatts are issued during the project origination phase and sold to participants who want to take an active role in financing clean energy infrastructure. Once a project becomes operational, it begins generating revenue from energy production, which is distributed to pWatt holders in proportion to their ownership share.

Each pWatt has a finite revenue-generating lifespan, typically aligned with the useful life of the underlying asset—up to 30 years. During this period, holders receive income generated by the project, subject to its performance and prevailing market conditions.

Transfer to the Reserve and Liquidity Option

While pWatt holders can continue earning project-specific yields over the long term, they also have the option to transfer ownership of their tokens to the Reserve once the project is operational. In doing so, they receive newly issued uWatts based on the Net Present Value (NPV) of the project’s future income.

This mechanism provides an optional liquidity path for pWatt holders, allowing them to exit their position and convert their exposure into a diversified, yield-bearing asset (uWatt). It also enables early-stage capital to be recycled into new projects, accelerating the pace of infrastructure deployment.

Strategic Role in the Protocol

The pWatt plays a dual role within the Suno Protocol: it is both a capital formation instrument and a bridge into the Reserve. It allows targeted participation in individual projects while preserving the option to transition into system-wide exposure through the uWatt. This layered model accommodates different risk profiles and investment horizons—making it possible to combine direct impact investing with liquid, diversified returns.