No Private Sale?! — Bundle DAO Tokenomics
Bundle (BDL) will primarily serve as the governance token native to the platform. Bundle holders will both propose and vote to approve protocol upgrades, add new indices, add / adjust portfolio strategies, and manage the Bundle treasury. Expect updates soon on additional and exciting token utility!
Bundle DAO is taking a different approach to token distribution by providing a fair asset launch. Distribution and minting of tokens will be exclusively controlled by the contract below:
Contribute to bundle-dao/bundle-contract development by creating an account on GitHub.
Instead of engaging in a private sale or ICO, as is standard for most projects, we’re aiming to distribute tokens fairly in exchange for active contribution to the success of Bundle. Examples of such active contribution would be, for instance, providing liquidity, participating in governance or even just minting and staking index tokens!
Fair Launch Token Distribution
A total of 86.4% of our maximum supply will be distributed to the users of Bundle. Over a well-defined, two year minting schedule, a set amount of BDL will be released on each block with a decaying emissions. In total, minting will be limited to a hard cap of 210 million Bundle. In order to incentivize early adopters, there will be a bonus rewards period for 2 weeks during which rewards will be TRIPLED! Two-thirds of these funds will be locked to constrain inflation, while the other third will be immediately available; after this bonus period, funds will begin to unlock linearly over a two month schedule.
Block Rewards and Emission Schedule
Block rewards have been charted and displayed below, indicating BDL / block for each month over the course of two years.
Only 8.6% of the distributed tokens will go towards funding development and expanding the team; these tokens will vest the same as user tokens, ensuring developers are rewarded on the same fair schedule.
We’ve allocated 5% of tokens for future strategic expenses; these expenses include listing fees, audits, marketing, liquidity for partnerships, etc. These funds are specifically dedicated to backing expenditures that ensure the security and success of the platform.
In order to constrain Warchest minting and prevent potential abuse, any minting will occur behind a timelock contract, with each minting event being limited to a maximum of 500,000 BDL.
Upon creation of our token contract, 250,000 BDL will be minted from the Warchest in order to seed initial liquidity.