Tokenomics
Last updated
Last updated
This section demonstrates how the OWY project applies the principles outlined in the Read Me section, to create its innovative tokenomics.
OWY is the token representing the store of value in Owy's inverse economy. It powers the system and drives value growth. Each OWY token held by an individual signifies ownership and economic status within the economy.
Token name: Owy
Token symbol: OWY
Token decimals : 18 decimals
Token Type: ERC-20 (with enhancements)
Network: Ethereum
Owy initiates the inverse economy by launching the maximum supply right from the start.
Max supply: 69,000,000 tokens (69 million tokens)
During the launch phase, OWY tokens are distributed to three different sectors. Each sector has its own timeline, speed, and criteria for distribution, which are independent of each other.
Given that OWY’s initial supply is set to its maximum and this sector holds the majority of the allocation, it is crucial to implement a strategic distribution plan to prevent power centralization. This may involve using multiple launchpads, IEOs, and other liquidity supply portals, with the bulk of tokens distributed through Owy's native ILO.
The vesting criteria vary by allocation platforms, but they all have to align with the launch timeline.
Stay informed for the announcements of ILO, there will be a dedicated section to clarify the event.
This allocated fund is distributed to Owy community as airdrops, which consist of multiple rounds across the development stages of the project to incentivize activities, reward loyal users, and for marketing purposes to increase project awareness.
Owy project offers one funding round to the public to kickstart the production. The fund is used for smart contract security audit, legal compliance, expanding team size, exchange listing, and marketing.
After launch, Owy will be transformed from a project created and managed by the development team into a Decentralized Autonomous Organization (DAO). This means that control over the project's direction, the use of the R&D treasury, and ownership of the Owy project will be distributed proportionally to all OWY holders. The community will be able to vote on development proposals aimed at adding more value to the ecosystem. The founding team will remain fully committed, contributing full-time to the project's development and maintenance.
This allocation is distributed to the founding team and key contributors who played a significant role in developing Owy, serving as compensation for their efforts. Each member's allocation is not fixed and will be vested over 1,000 days from the token launch day. While this fund can be used to cover maintenance costs and additional project expenses, such decisions are at the individual discretion of the team members.
This is the longest phase of all. After the launch, the system employs the principle of Inverse Economics to reduce supply by deducting a fraction of each transaction for permanent burn.
Transaction owner pays this deducted fraction as tax, contributing to supply contraction. Since the tax amounts collected are entirely burnt, increased transaction activity leads to a decreased supply of OWY tokens.
We provide a dedicated page for detailed tax calculation in Supply Contraction.
Supply contraction does not continue indefinitely. To transition from the Contraction phase to the Final phase, certain criteria must be met.
The final supply marks the end point of Owy’s supply contraction. Once the supply decreases to 69 or fewer OWY tokens, the supply contraction mechanism permanently ceases, and OWY transitions to a supply-stable token.
This is a second objective that can cause the deflation mechanism to permanently stop, but it serves more as a system limit than a practical criterion. When calculating a tax discount for an individual, the block number118,834,697,888,524,300indicates the last value before the calculation overflows, which leads to errors. However, this block number is unlikely to be reached in practice. Even if Ethereum blocks were processed at 1 microsecond per block, it would still take over 1 billion days to reach this block number. Therefore, focusing on the lower supply limit of 69 tokens is more realistic.
Once either of the two limits is reached, the contraction algorithm will no longer apply, and the deflation system will permanently stop. This marks the endgame of competition among economic participants. All remaining OWY tokens represent the rewards to those who have competed and secured their position within the final supply.
After the deflation mechanism concludes, the OWY token will transition to a regular ERC20 with no tax. Following the end of deflation, the value tokens and the systems for extraction and insertion are permanently halted. Users who desire to permanently burn additional OWY can still send their funds to the zero address. This manual burn process does not have a limit.
