VRSW Tokenomics
Last updated
Last updated
Total supply of VRSW is capped to 1,000,000,000 tokens, which will be allocated as follows:
60% – Community and Growth.
34% – Investors, Advisors and Team.
6% – Development Fund.
The cumulative overall emission of VRSW tokens over 10 years is demonstrated by the graph below:
The VRSW tokens reserved for community and growth (0.6R or 600,000,000 tokens) will be released as follows:
10% (100,000,000 tokens) will be released immediately to the VirtuSwap DAO treasury to support pre-launch airdrops and lockdrop, partnerships, and strategic initiatives.
50% (500,000,000 tokens) will be released using a pre-determined gradual algorithmic schedule over 10 years. Out of these:
30% (300,000,000 tokens) will be released directly to pools chosen by a combination of VirtuSwap proprietary machine-learning-based liquidity optimization module and voting by VirtuSwap ecosystem participants.
20% (200,000,000 tokens) will be released to the VirtuSwap DAO treasury and will be also used for liquidity provider incentivization but at discretionary times decided by VirtuSwap DAO.
The overall number of VRSW tokens released algorithmically to chosen liquidity pools and to VirtuSwap DAO during block t since launch, is described by the following formula:
where:
R(A,t) is the number ot tokens release in in block t since launch
V = 0.0039453 and v = - 7.06955769385819E-12 are constants chosen so as to ensure that:
20% of all VRSW tokens released via the algorithmic release (i.e. 0.1R or 100,000,000 tokens) will be released in the first year, and 20% fewer tokens will be released in each subsequent year until year 10;
The total number of VRSW tokens to be released according to this schedule within 10 years would equal 0.5R, i.e. 500,000,000 tokens.
The marginal and cumulative algorithmic release of VRSW tokens is illustrated in the following two figures, where x-axis represents months:
60% of the total VRSW cap (or 600,000,000 tokens) is dedicated to support community and growth. Emission will be as follows:
Allocation to VirtuSwap DAO treasury - 10% of VRSW total cap (or 100,000,000 tokens) will be released immediately to the DAO treasury to support pre-launch airdrops, partnerships, and strategic initiatives subject to the DAO discretion.
Gradual algorithmic release - 50% of VRSW total cap (or 500,000,000 tokens) will be released using a gradual algorithmic release schedule over 10 years. Out of this allocation:
Allocation to VirtuSwap LPs:
30% (or 300,000,000 tokens) will be automatically allocated directly to pools chosen by a combination of VirtuSwap AI based optimizer and voting by the VirtuSwap DAO members. In each pool, the distribution of rewards between LPs is in proportion of their stake in the pool (LPs must stake their LP tokens to participate), and LPs that stake or lock VRSW get signitifant boosts. See Section 4 in VirtuSwap Tokenomics Whitepaper for details
20% (or 200,000,000 tokens) will be released directly to the VirtuSwap DAO treasury and will be used to incentivize liquidity providers at discretionary times decided by the VirtuSwap DAO.
The emission of VRSW tokens to community and growth over 10 years is demonstrated by the following graph:
6% of the total VRSW allocation (or 60,000,000 tokens) is dedicated to the ecosystem “Development Fund”, to fund any activity related to the development of the protocol and ecosystem (e.g, deploy VirtuSwap DEX on additional chains, partnerships, develop new features). The Development fund is held and managed by the VirtuSwap Foundation.
34% of the total VRSW allocation is dedicated to Team, Advisors and early Investors.
Tokens dedicated to Investors will be vested and released during the first year following the token generation event.
Tokens dedicated to Team and Advisors, are subject to 36 months vesting, with 12 months lockup period.
(t) is the timestamp in milliseconds of block t
=(365*8 + 366*2) * 24 * 69 * 1000 = 315,532,800,000 milliseconds, i.e. number of milliseconds in a 1 year period
