ONYXCOIN (XCN) tokenomics

The token economics for Onyxcoin (XCN), the native token of the Chain protocol, are designed to support a blockchain-based cloud infrastructure for advanced financial services. The model emphasizes decentralized governance, community involvement, and controlled supply release to promote long-term value preservation.

Issuance and Allocation Mechanism

The tokenomics of Onyxcoin involve a fixed total supply and a structured distribution model, with a significant portion controlled by the Onyx Decentralized Autonomous Organization (DAO).

Total Supply and Circulation

• Total Supply: The total supply of Onyxcoin (XCN) has been reduced to 48,470,523,779 units.
• Circulating Supply: Approximately 23 billion XCN are currently in circulation.

Initial Distribution

The initial distribution of XCN tokens was conducted via airdrops to non-US and non-sanctioned users.

DAO Control and Treasury

A substantial portion of the total supply is managed by the Onyx DAO:

• The Onyx DAO controls around 25 billion XCN.
• This allocation is split into two main parts:
  • DAO Treasury: 10 billion XCN are designated for the DAO Treasury.
  • Time-Locked Contract: 15 billion XCN are subject to a gradual unlocking schedule via a time-locked smart contract.

The controlled release of these tokens is intended to ensure "trustworthy inflation" and long-term value preservation for the protocol.

Usage and Incentive Mechanism

XCN functions as a utility and governance token within the Chain protocol ecosystem, granting holders specific rights and opportunities for compensation.

Core Utility

The native Chain Token (XCN) serves several primary functions:

1. Governance: Holders are granted the right to vote on protocol improvements and participate in the governance process, influencing the further development of the protocol.
2. Payment for Services: XCN is used to pay for services across the Chain protocol ecosystem.
3. Discounts and Premium Services: Holding XCN provides access to discounts and premium services within the network.

Incentives and Rewards

Token holders are incentivized to participate in the network through staking:

• Staking and Lending: Users can earn passive income by staking or lending their Onyxcoin (XCN).
• Onyxcoin Rewards: The network offers rewards for staking, encouraging active community participation and supporting the decentralized ecosystem.

The active involvement of the community and the development of the Onyx DAO, which allows for participation and voting, is considered a factor that promotes interest and support, potentially increasing demand for XCN.

Locking Mechanism and Unlocking Time

The tokenomics incorporate a locking mechanism primarily for the tokens controlled by the DAO to manage supply and promote stability.

Locking Mechanism

• DAO-Controlled Lock: 15 billion XCN are locked through a time-locked smart contract controlled by the Onyx DAO. This mechanism ensures a gradual release of tokens into circulation.
• Staking: While users can stake XCN to earn rewards, specific details regarding mandatory lock-up periods for individual stakers were not available.

Unlocking Time

The 15 billion XCN controlled by the DAO are subject to gradual unlocking through the time-locked smart contract. However, the precise schedule, including the start date, duration, and specific unlocking milestones for this 15 billion XCN allocation, was not explicitly detailed in the available information.

Note: Comprehensive data regarding the specific technical details of the issuance mechanism, such as inflation rate or minting/burning functions, as well as a detailed vesting schedule for the DAO-controlled tokens, was not available.