The tokenomics of CoreDAO are designed to ensure a fair and equitable distribution of tokens among the community members. The initial token distribution was done through a community-driven distribution model. Users could earn tickets by participating in community activities like staking, providing liquidity, and participating in governance decisions.
The CoreDAO team has also implemented a token-burning mechanism to reduce the total supply of CORE over time. When a user uses CORE to pay transaction fees or participate in governance decisions, a portion of the token is burned, which reduces the total supply of CORE in circulation.
39.995% is allocated to node mining to reward miners and other participants for securing the network, with node rewards distributed over an 81-year period.
25.029% of the budget is set aside for community airdrops.
15% is set aside to reward past, present, and future core contributors.
10% is set aside as a reserve to be used later.
DAO receives 9.5% of the funds needed to build the ecosystem.
0.476% is allocated as relayer rewards, and relayers, like nodes, must be compensated for the services they provide to the chain’s security.
After Bitcoin block rewards cease in 2040, the Core DAO network will most likely provide additional rewards for Bitcoin miners. The block rewards will be 3.6% lower each year than the previous year.
Ecosystem Features of CoreDAO
CoreDAO’s ecosystem includes a decentralized exchange (DEX), a liquidity pool, and a governance system. The DEX allows users to trade cryptocurrencies with low transaction fees and minimal slippage. The liquidity pool enables users to provide liquidity and earn rewards in return. The governance system allows users to participate in decision-making and propose changes to the ecosystem.
The CoreDAO ecosystem is powered by smart contracts that are audited by reputable third-party firms to ensure security and transparency. The ecosystem also leverages AI-powered trading tools like Wilbur to improve cryptocurrency trading and provide users with accurate and up-to-date information.