Rockin' the Token Game with Tokenomics 3.0 for Astar Blockchain
CEO of Startale Group, Sota Watanabe, Backing Tokenomics 3.0 to Enhance Astar Network's Strength
Prepare yourself, homeslices! The bigwig CEO of Startale Group, Sota Watanabe, just gave a solid thumbs-up to the Tokenomics 3.0 proposition. Here's the scoop on how this fresh update aims to foster blockchain performance and build trust within the community.
A Journey Towards Stable Growth with Tokenomics 3.0
Tokenomics 3.0 intends to pivot Astar tokenomics towards a fixed supply of approximately 10.5 billion ASTR tokens, zapping worries about inflation. This supply cap halts future minting. Emissions will still be hype thanks to a decay function tied to staking, but they'll gradually slow down to maintain an even balance. This way, the tokenomics system supports predictable economics that propels network growth and ensures long-term sustainability for all stakeholders.
Level up the Staking Game, the Astar Way!
Developers and validators will enjoy continued dApp staking rewards with a decreasing APR over time. The initial APR sails near 17%, but over two years, it'll decrease to about 11%. This slow drop ensures developers stay engaged, while also preventing excessive inflation. The end goal? Responsible token circulation throughout the Astar network.
Protocol-Owned Liquidity (POL): The Astar Blockchain's Secret Weapon
One killer feature of Tokenomics 3.0 is Protocol-Owned Liquidity, or POL. The Astar Finance Committee will manage a POL fund, gathering 20% of network fees and unused staking rewards. This bad boy helps Astar Blockchain secure Polkadot coretime slots without needing costly crowdloan campaigns.
The POL structure buttresses financial independence and slices reliance on external funding. It's super adaptable, adjusting to Polkadot's ever-changing core time requirements and demands for security. POL functions as a strategic liquidity reserve, increasing protocol resilience and promoting self-sufficiency within the wider ecosystem. And the best part? You can keep tabs on POL's performance through transparent reporting.
Fee Burn and Allocation System: A Whole New Ballgame
The upgrade also shakes up the fee management and burn mechanism. Under these new rules, 50% of transaction fees are up in smoke, 30% goes to collators keeping the network afloat, and the remaining 20% is allocated to ecosystem development and the POL structure. This allocation maintains critical network services and community grants, while reducing the circulating supply by burning tokens and aligning with the fixed-supply goal.
Users can follow monthly updates on fee usage and token burns via public dashboards. Say goodbye to mystery and hello to clarity!
Under the Hood: Tokenomics 3.0's Technical Overhaul
We won't bore you with all the technical details, but here's the lowdown: Tokenomics 3.0 initiatives include updating Astar smart contracts, activating a supply lock for the fixed supply, integrating the emission decay formula into the runtime environment, and embedding the burn mechanism directly into the protocol code.
But don't worry, everything goes under an Astar Foundation review before deployment. And once it’s live, you can monitor its performance in real-time through public dashboards and catch glimpses of the awesome benefits for yourself.
Ready, Set, Go! Astar's Tokenomics 3.0 Action Plan
The journey to Tokenomics 3.0 kicks off with initial community discussions, concept design, technical development, testing phases, and a full deployment, which is planned for mid-2026. But remember, this roadmap is all about gathering community feedback and maintaining transparency. You'll get regular updates on the specified timelines and have a say in the decision-making process. In other words, we're in this together, baby!
[1] The deployment timeline mentioned in this text is based on the provided enrichment data and might be subject to future updates or official documentation from Astar Blockchain.
- Tokenomics 3.0 aims to establish a stable supply of approximately 10.5 billion ASTR tokens, halting the minting process while gradually reducing emissions through a decay function tied to staking.
- Developers and validators will receive decreasing dApp staking rewards over a two-year period, while the overall token circulation throughout the Astar network will be maintained responsibly.
- A crucial feature of Tokenomics 3.0 is Protocol-Owned Liquidity (POL), which allows the Astar Finance Committee to manage a fund containing 20% of network fees and unused staking rewards, enabling Astar Blockchain to secure Polkadot coretime slots without relying on external funding.
- The upgrade introduces a fee burn and allocation system, with 50% of transaction fees burned, 30% going to collators, and the remaining 20% allocated to ecosystem development and the POL structure.
- Tokenomics 3.0 overhaul includes updating Astar smart contracts, activating a supply lock for the fixed token supply, integrating the emission decay formula into the runtime environment, and embedding the burn mechanism directly into the protocol code.
- The deployment of Tokenomics 3.0 begins with initial community discussions, concept design, technical development, testing phases, and a full deployment scheduled for mid-2026, with regular updates and community feedback encouraged throughout the process.
