đDeflationary Mechanics
Incorporating deflationary mechanics is a strategic approach to enhance the value and appeal of the $AION token over time. These mechanisms include transaction taxes, token burning, and other strategies aimed at managing the token supply and promoting sustainable growth. Below is a detailed table explaining each deflationary mechanism within the $AION ecosystem, including their specific purpose and operational parameters.
Transaction Tax
To fund ecosystem development, provide staking rewards, and support sustainable growth.
3% on all transactions, allocated as follows: 2.25% burned and 0.75% for liquidity and rewards in ecosystem development.
Token Burning
To decrease the total supply over time, enhancing scarcity and potentially increasing the token's value.
20% of profits used to buy back and burn tokens quarterly, targeting a 50% reduction of the total supply.
Staking Rewards Redistribution
To encourage long-term holding and active participation in the ecosystem's security and governance.
Redirects 0.75% from the 3% transaction tax to the staking rewards pool, promoting increased staking and network security.
Buyback and Burn
To maintain token price stability and reward holders by reducing supply.
20% of ecosystem profits allocated for token buyback and burning, conducted quarterly.
NFT Mining Rewards Adjustment
To dynamically adjust reward emissions to reflect participation levels and market conditions.
Annual adjustments, or as needed based on significant changes in engagement or market dynamics, to ensure rewards remain attractive yet sustainable.
Ecosystem Development Fund Use
To strategically deploy funds for growth initiatives such as partnerships and grants.
Uses a portion of the funds accrued from transaction taxes and other revenues for activities that fuel ecosystem expansion.
These deflationary mechanisms are designed to balance the immediate need for liquidity and funding for development with the long-term health and value of the token. By implementing these strategies, the $AION ecosystem aims to foster a robust economic environment that supports both growth and stability, ensuring the token remains attractive to investors and useful to participants.
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