Token Economics of WAGMI


Maximum possible token Supply

The maximum possible token supply is derived from the equation: 69,000,000 ICE * 69 = 4,761,000,000 WAGMI tokens.

With the new tokenomics model, it is highly unlikely that Max token supply will be ever reached.

Only thig that should be considered for calculating market cap is the circulating supply of WAGMI token.

From this, after the swap (in case that every ICE in circulation migrates to WAGMI), the unminted amount stands at: 4,761,000,000 – 1,374,657,813 = 3,386,342,187 WAGMI tokens.

Distribution of newly minted WAGMI:

1. Protocol Growth and Development (80%)

  • This portion (representing 80% of all new WAGMI tokens) is allocated to ensure protocol growth and development.

  • The uses include, but are not limited to:

    • Acquiring POL

    • Incentivizing leverage trading

    • Incentivizing GMI positions

    • Building a strategy insurance fund.

2. Operational Multisig (20%)

  • 20% of the newly minted WAGMI tokens are dispatched to an operational multisig.

  • This fund controls the tokens to ensure the smooth running of protocol operations. The uses include, but are not limited to:

    • Salaries

    • Legal fund

    • Treasury building

    • Grants

    • Financing audits

Control of POL

POL will be managed via the main multisig on each chain. Any transactions on this multisig can only commence after a snapshot vote, accompanied by a detailed description outlining the purpose and reasoning behind the intended action.

Inflation and Rewards

  • The inflation rate isn’t fixed. The protocol’s objective is to attain deflation as swiftly as possible.

  • Rewards are designed to offer a competitive APR for user liquidity.

  • These parameters are determined by various factors, including:

    • Target liquidity depth

    • Utilization rate

    • APR

    • Marketing requirements

Last updated