Token Distribution
Last updated
Last updated
The updated tokenomics introduces a sustainable distribution framework, focusing on incentivizing participation while ensuring long-term alignment with the network’s growth.
1. Revised Vesting Schedule
Additional token tranches for validators, core contributors, the foundation, and advisors will not begin vesting until March 20, 2025.
This ensures that only 1.2-1.5% of tokens will enter circulation until the network launches.
2. Validator Incentives
Validators and delegators are rewarded for staking and contributing to network security.
Retroactive Cypher Node Licenses will be issued to existing stakers, allowing them to receive future validator rewards.
3. Emission Control
Dynamic mechanisms balance new token emissions with burn rates, achieving a deflationary net effect over time.
Examples include AI model transaction burns, staking fee burns, and dynamic inflation offsets tied to network activity.
4. Community Alignment
Vesting aligns token distribution with the network’s growth trajectory, ensuring long-term commitment from contributors and stakers.
