7.4 Tokenomics
The GRX Token is the native cryptocurrency of the GRX Chain, meticulously designed to power the ecosystem, incentivise participation, and drive long-term value. Its tokenomics model is crafted to ensure a sustainable and vibrant decentralised economy, seamlessly integrated with the GroveX exchange.
Token Utility & Value Accrual
The GRX Token serves multiple critical functions within the GRX Chain and GroveX ecosystem:
Gas Fees: GRX is used to pay for all transaction fees and smart contract execution on the GRX Chain, ensuring ultra-low costs for users and developers.
Network Staking:
Delegators: Participants can stake GRX to support network validators and earn rewards, with a minimum staking amount of 32 GRX (accessible via staking.grxchain.io).
Validators: Dedicated network validators are required to stake a minimum of 100 GRX to secure the network and participate in the DPoS consensus. The network will support a maximum of 21 active validators, promoting decentralisation and efficiency.
Governance: GRX token holders will actively participate in the decentralised governance of the GRX Chain, voting on critical network proposals and future developments (via proposal.grxchain.io).
GroveX Exchange Integration:
Exclusive Payment: All marketing activities and listing fees for new projects on the GroveX centralised exchange are payable exclusively in GRX tokens. This creates significant and continuous buy pressure for the token, directly linking its demand to the success and growth of a popular exchange.
Liquidity & Price Movement: This unique integration ensures robust utility and supports ongoing price movement, as GRX is the core currency for key operations on a leading exchange.
GRX Holder Incentive Program: Tiered Benefits
To reward loyal GRX holders and incentivise long-term participation, GroveX offers a comprehensive tiered benefits program directly integrated with the GroveX exchange. These benefits are designed to enhance your trading experience and provide exclusive access within the ecosystem.
Tier 1: 10 GRX to 99 GRX
Receive 50% of trading fees back for all Spot trading activities on the GroveX exchange.
Tier 2: 100 GRX to 999 GRX
Receive 100% of trading fees back for all Spot trading activities.
Tier 3: 1,000 GRX to 9,999 GRX
Receive 100% of trading fees back for all Spot trading activities.
Receive 50% of trading fees back for Margin and Derivatives trading activities.
Priority access to special staking pools.
Tier 4: 10,000 GRX +
Receive 100% of all trading fees back (Spot, Margin, and Derivatives).
Receive 80% of affiliate trading fees generated on the GroveX platform.
Priority access to all airdrop campaigns, starting from Tier 4 down.
Exclusive access to special staking pools.
Special access to Initial Exchange Offerings (IEOs) and Initial DEX Offerings (IDOs) launched on GroveX or GRX Chain.
Token Distribution & Allocation
The GRX Token has an initial total circulating supply of 10,000,000 GRX, designed to support immediate ecosystem needs and market liquidity.
Initial Pool (GRXswap): 500,000 GRX will be allocated to the initial liquidity pool on GRXswap, paired with USDT (pegged on GRX Chain) to facilitate immediate decentralised trading.
Liquidity Provision (GroveX & Other Listings): 3,000,000 GRX will be dedicated to providing liquidity on the GroveX exchange and other upcoming centralised exchange listings, ensuring robust market depth and trading accessibility.
Marketing & Ecosystem Growth: 1,000,000 GRX will be allocated for strategic marketing initiatives and broader ecosystem growth programs, driving adoption and awareness.
Ecosystem Development Fund: 2,000,000 GRX is allocated to the Ecosystem Development Fund to support grants, partnerships, and future dApp development on the GRX Chain.
Team: 500,000 GRX is allocated to the founding team, subject to a 5-year vesting schedule where 100,000 GRX is unlocked per year. This aligns the team's incentives with the long-term success of the chain.
Treasury: 3,000,000 GRX is allocated to the project treasury for long-term operational costs, strategic reserves, and community-driven initiatives.
Deflationary Mechanism & Supply Management
GRX Chain incorporates a powerful deflationary mechanism to manage token supply and enhance scarcity over time. This system is designed to evolve, moving from a deflationary model to a purely reward-based system once a key milestone is met.
Burn Allocation (Before Threshold): From a portion of network transaction fees and other ecosystem revenues, a specific distribution is applied:
Delegator Share: 20%
Validator Share: 20%
Burned Share: 60% of these allocated funds will be permanently removed from circulation.
Burn Threshold & Reward Transition: This burning process will continue until a total of 1,000,000 GRX tokens have been permanently burned. After this threshold is met, the burning mechanism will cease. The 60% share that was previously burned will then be reallocated to the network's validators and delegators, ensuring they receive 100% of the network's reward pool to incentivise continued network security and participation.
Initial Valuation
At its launch, the GRX Token will have an initial public price of $1 USD. This is set to establish an initial market capitalisation of $10,000,000 USD, reflecting the strong foundation and ambitious vision of the GRX Chain and its integration with GroveX.
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