This article explains the tokenomics behind the $SILK token, including but not limited to the total supply and release schedule.
This article assumes the reader understands the information in the following articles:
$SILK is the official in-game token of Spider Tanks, a web3 brawler game created by GAMEDIA and developed by Gala Games. The token is designed to reward players for their active participation in the ecosystem and to incentivize continual gameplay, upgrades, and purchases within the Spider Tanks store.
Creation of SILK
The majority of SILK is created when distributed to players as rewards, but additional SILK will sometimes be created for the purposes of events, promotions, and other user acquisition strategies designed to promote the long-term health of the Spider Tanks ecosystem.
The total supply of $SILK is capped at a soft limit of 50 million tokens.
The emission schedule of $SILK is unique and designed to encourage active participation and prolong the emission process. Here's how it works:
Daily Distribution: Every day, 0.25% of the difference between the soft cap (50 million) and the current circulating supply is distributed across the ecosystem. This distribution is shared evenly among all the Victory Points accumulated during that day by players.
Token Burn: Any $SILK spent in the Spider Tanks Store is burned. This means the tokens are permanently removed from circulation, decreasing the total supply and, in effect, extending the emission schedule.
Emission Duration: Without any token burn, the emission of $SILK would theoretically last 1000 days. However, with continuous purchases and upgrades, which lead to more tokens being burned, the emission period is expected to last significantly longer.
$SILK serves multiple purposes within the Spider Tanks ecosystem:
Reward Mechanism: $SILK is given as a reward to players based on their Victory Points, encouraging active participation and gameplay.
In-game Store: $SILK can be used to make purchases in the Spider Tanks Store. This includes upgrading tanks, buying new skins, and acquiring other game assets.
Burning Mechanism: $SILK spent in the store is burned.
$SILK tokenomics is designed to reward active participants while ensuring a lasting and sustainable economy within the Spider Tanks ecosystem. Its emission schedule and burning mechanism provide a balanced and engaging gaming experience with the potential for economic rewards for dedicated players.