Token economy

The Core Terminal leverages a token economy to facilitate and incentivize interactions within its AI marketplace. This system underpins the platform's operations, providing a robust mechanism for value exchange and fostering community engagement.

The token supply is carefully managed to ensure stability and growth. Initial distributions may include allocations for development, rewards, staking pools, and ecosystem incentives. The Core Terminal employs several strategies to mitigate token inflation, ensuring long-term value stability and promoting a healthy token economy.

1. Controlled Token Supply:

   • Limited Initial Supply: The Core Terminal starts with a finite number of tokens, controlling the initial supply to prevent excessive dilution of value.

   • Emission Schedule: A carefully planned emission schedule gradually releases tokens into the market, aligning with platform growth and demand to avoid sudden influxes that could lead to inflation.

2. Token Burning:

   • Transaction Fees: A portion of transaction fees collected on the platform is periodically burned, permanently removing tokens from circulation. This reduces the total supply over time, countering inflationary pressures.

   • Incentive Programs: Tokens used in incentive programs, such as staking rewards or promotional activities, may also be subject to burning mechanisms, ensuring that these rewards do not lead to long-term inflation.

3. Staking and Lock-up Periods:

   • Staking Rewards: Users can stake their tokens to earn rewards, encouraging them to hold rather than sell. This reduces the circulating supply and creates upward pressure on token value.

   • Lock-up Periods: Implementing lock-up periods for certain token allocations, such as team and advisor tokens, ensures that large amounts of tokens do not flood the market at once.

4. Dynamic Reward Adjustments:

   • Performance-based Rewards: Adjusting reward rates based on platform performance and market conditions helps maintain a balanced token economy. High-performance periods may see reduced rewards to prevent oversupply, while lower activity periods can be incentivized with higher rewards.

5. Economic Incentives for Long-term Holding:

   • Loyalty Programs: Implementing loyalty programs that reward long-term holders with additional benefits or bonuses encourages users to keep their tokens, reducing market liquidity and potential inflation.

   • Voting Power: Enhancing governance rights for long-term holders provides additional incentives to retain tokens, fostering a stable token holder base.