DGNX - Tokenomics
What are Tokenomics?
Tokenomics refers to the economic system and principles behind a cryptocurrency or blockchain project. It involves the design and implementation of the native tokens within the project's ecosystem, including their distribution, supply, utility, and value.
The primary purpose of tokenomics is to create a sustainable and functional economy within the project, ensuring that the native tokens have value and serve a specific purpose. Here are some key elements and reasons why tokenomics are important for a crypto project:
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Token Distribution:
Tokenomics determines how the native tokens are initially distributed among participants. This distribution can vary depending on the project's goals, such as through token sales, airdrops, or mining. An equitable and transparent distribution mechanism helps establish a fair starting point for the project. -
Token Supply
Tokenomics defines the total supply of tokens and the inflation or deflation mechanisms, if any. It ensures that the token supply is balanced to avoid excessive inflation or scarcity. Proper management of token supply helps maintain token value and prevents economic issues like hyperinflation. -
Token Utility
Tokens are designed to have specific functions and use cases within the project's ecosystem. Tokenomics determines how tokens are used and the benefits they provide. For example, tokens might be used for transactions, accessing services, participating in governance, or receiving rewards. Well-defined token utility drives demand and adoption of the tokens. -
Governance and Decision-Making
Some projects employ decentralized governance models where token holders have voting rights to make important decisions. Tokenomics outlines the rules and mechanisms for voting, including the weight of votes based on token holdings. This allows stakeholders to participate in shaping the project's future. -
Economic Incentives
Tokenomics incentivizes various stakeholders to participate in the project and contribute to its growth. For instance, token holders may receive rewards for staking or providing liquidity, miners may earn tokens for validating transactions, and developers may receive tokens for building applications on the blockchain. These incentives help attract and retain participants. -
Token Value
Tokenomics influences the value and price of the native tokens. Factors such as scarcity, demand, utility, and market dynamics impact token value. A well-designed tokenomics model can create a positive feedback loop, where increased adoption and usage of the tokens result in increased demand and value.
By implementing robust tokenomics, crypto projects can create an ecosystem that aligns the interests of participants and ensures the long-term viability of the project. It provides a framework for sustainable growth, fosters community engagement, and establishes a foundation for the project's overall success.
Initial DGNX Token Distribution
This shows the initial token distribution on launch date 2022/09/07:
| Distribution | DGNX |
|---|---|
| Total supply | 21,000,000 |
| Circulating supply initially | 21,000,000 |
| Traderjoexyz LP | 1,250,000 |
| Pangolin Exchange LP | 1,250,000 |
| Private Sale | 3,333,334 |
| Marketing Multi Sig Wallet | 398,645 |
| Locker | 3,507,745 |
| Legacy Disburser | 11,260,276 |
DGNX Taxes & Fees
(Last tokenomics changes made 2023/12/17) view
0.3% on Buys
| % of value | Purpose |
|---|---|
| 0.1% | Liquidity Backing |
| 0.1% | Marketing |
| 0.1% | Platform & Development |
0.3% on Sells
| % of value | Purpose |
|---|---|
| 0.1% | Liquidity Backing |
| 0.1% | Burned |
| 0.1% | Platform & Development |
0.0% on Transfers
A tax of 5% is applied to transfers to or from Legacy Disburser Claiment addresses. This was implemented to prevent misuse of the Legacy Disburser system.
Changelog
Update 2023/12/17
Based on this proposal the DAO executed an update of the Marketing Tax from 1% to 0.1%, the Liquidity Backing Tax from 3% to 0.1% and the Platform & Development Tax from 1% to 0.1%. This results in a total buy and sell tax of 0.3%.
Update 2023/08/17
Based on this proposal the DAO executed an update of the Liquidity Booster Tax from 1% to 0%, the Liquidity Backing Tax from 4% to 3% and the Platform & Development Tax from 2% to 1%. This results in a total buy and sell tax of 5%.
Update 2023/04/12
Based on this proposal the DAO executed an update of the Liquidity Booster Tax from 3% to 1%. This results in a total buy and sell tax of 8%.