Tokenomics
A 2.9% on-chain transfer fee monetizes trading volume:
- 50% compounds token liquidity
- 20% added to prize money
- 10% covers business overheads
- 10% on-chain token holder rewards
- 10% on-chain monthly trading competition
I know nobody likes trading tax tokens! I will talk about strategies to overcome that: Namely buying tokens for everyone. Max volatility. Maximum predictability. Trending price. Lots of incentives!
Initial Token Allocations:
- 50% paired with SOL. Fair launch AMM liquidity
This liquidity is owned by the SOL burn wallet. It's locked to the token forever. - 50% seeds the prize fund for our trading game (that everyone wins)
The prize fund will be distributed over 2 years in theory, but will be sustained indefinitely. By sustaining it (actually growing it) we utilize >50% of the tokens' market cap as our prize fund. This is key! Token price multiplies our prize fund, increasing player demand! Demand to buy the token increases as the price goes up - that is insanity! The result will be a multi-trillion dollar market cap obligating the participation of everyone! Having everyone on board is incredibly valuable, justifying the market cap.
Compounding 'Dip Buying' Smart Liquidity:
The following three funds are perpetually funded / compounded by half of all on-chain transfer fees. More the token is traded, the more these funds grow, obligating price to trend higher:
- SMM1 has been seeded with 5.154 SOL to buy 80% dips.
- SMM2 has been seeded with 4.553 SOL to buy 50% dips.
- SMM3 has been seeded with 4.31 SOL to buy any dip!
This serves to monetize price volatility and cumulative demand (trending price) by buying every dip, and re-distributing tokens into new highs. Capital returns to buy the next dip (endlessly compounding this fund, obligating price to trend higher), with proceeds distributed:
- 59% added to prize money
- 1% buys back and burns tokens once a month
- 10% covers business overheads
- 10% buys back tokens for token holder rewards
- 10% buys back tokens for our on-chain monthly trading competition
- 10% is added to our 'reserve AMM liquidity', deployed only 2 days each month to coincide with 'player cashout day'
Compounding money to buy dips applies upwards pressure to the chart (whether they buy the tokens or not) adding confidence to speculators knowing that we have their backs! One fund will definitely buy tokens, as it just buys repeatedly at any price to generate consistent revenues. The other two funds will see much less utilization. Their job is mostly just to be there, providing liquidity that should only be called upon infrequently. Note how these funds provide liquidity to the token, but they are not a drag on price volatility in the way that AMM liquidity is. Price is free to move quickly in any direction. The 'slowness' of these funds buying and redistributing tokens is a useful feature (not a flaw).
Compounding Reserve AMM liquidity:
This is perpetually funded by 10% of smart liquidity revenues. We only deploy this liquidity 2 days each month to coincide with player cashouts. Providing deep liquidity to the token when it is most required. Then pulling it, and saving it until the following month, to allow maximum price volatility in the interim.
This token has exceptionally deep liquidity. When price goes up. You will be able to sell your millions! This will not nuke the zero with the first seller.
Token Holder Rewards
10% of on-chain transfer fees and smart liquidity proceeds are distributed to the top 10 on-chain token holders each month (system wallets excluded). This aligns developer and angel investor incentives with that of tokens holders. As there are no direct revenues collected by the application - the entire game economy is circular. Everything goes to prize money, and is won by players.
Monthly On-Chain Trading Competitions
10% of on-chain transfer fees and smart liquidity proceeds are accumulated each month to fund a prize fund given to the top 100 on-chain token traders. Formula: Buys x Sells x Profit = Score. Top 5 players share 50%, 95 runners up share the rest. Prizes are calculated at the end of each calendar month. And paid automatically to winning wallets on cash out day (no action required).
Token Buy-Back Calendar. Player cashouts. Predictable Trading.
We use the token utility (trading game that everyone wins) to create incredible trading opportunities with unprecenteded control over token supply and demand:
- Players deposit SOL to play the game. (Frictionless onboarding)
- Game accumulates those deposits. Then, once a month, buys the prize money tokens that players will eventually win.
- It buys tokens at any price.
- And tells traders when!
- Players add capital once. Then get more in-game trading capital every day. This gives them unlimited chances to win / keeps them trading even if they lose it all to a bad trade, or a rug, or a meme! And when they don't lose their capital, it compounds daily, to help them win more over time. Everybody must win! Variables are time and how much! Trading skill and player choice determine that. This is not a gambling game - there are no random numbers! Players trade real price action of real tokens, in real-time to accumulate a share of daily prize money. An accumulation game of skill and persistence.
- Players accumulate a share of daily prize money with every successful trade. (We operate a 2 year rolling reserve of prize money - more added every day; all multiplied by our trending token price). This prize money accumulates in player account 'prize money balances'. It cannot be spent or lost, it just accumulates until players cash it out. The bigger the 'trading capital profit' (relative to other players) the bigger share of the prize money players win. In theory $1 can win it all, but competing players and 'pay2win' will obligate much more.
- Player cashouts are paid one day each month (the 18th). Cashout deadline is the 15th. This gives us 3 days to audit the system to ensure that the cashouts are valid before paying anyone. The application is not connected to money for security. And this lets traders see all pending cashouts 72 hours before they hit the market. Allowing them to sell first (and rebuy the 'one dip'). We have turned the 'player supply' problem into a recurring monthly trading opportunity!
- Our buy back calendar builds upon this. We schedule the buybacks to create a 10 day void after 'player cashout day' with the intention of exhausting player sell pressure. Before resuming scheduled buybacks on the last day of the month, followed by building crescendo of ever bigger buys during the first 2 weeks of the following month. This creates a 'dip buying' narrative during the void period that aims to generate price action momentum that consistently takes price to new highs most months (allowing our smart liquidity to distribute accumulated tokens, further supplementing the buy-back calender for the following month.
- So we have predictable imminent demand events. And one predictable imminent supply event each month for you to trade. These are scheduled to create that cliched 'lightning bolt' trending chart pattern. Start each month strong, dip to a higher low in the middle, end the month strong. Generating clear, high time frame, trending price with predictable interim price action is an important marketing tool. Everyone is looking fore easy trading opportunities. And everyone wants price go up. We are designed to provide both. And sustainably so!
Buy Back Calendar:
- 1st: On-Chain trading competition prize money buy back
- 8th: Token Burn
- 9th: Top 10 Token holder Rewards
- 10th: AMM reserve liquidity buy back
- 11th: In-Game Ad revenues buy back (token listings, boosts, upgrades - this will be bigger than you think)
- 14th: Player in-game trading capital deposits (likely the biggest)
- 15th: Cashout Deadline (Speculators sell here)
- 18th: Cashouts Paid
- 10 day void to exhaust player sell pressure + dip buying narrative
- Last Day: Prize Money buy back (59% of smart liquidity proceeeds)