Tokenomics of Runeth

The tokenomics of Runeth are designed to align the incentives of all network participants, including users, developers, and validators, to foster a robust, secure, and vibrant ecosystem. The strategic allocation and utility of the tokens ensure that participants are motivated to contribute positively to the network, while also facilitating broad and flexible use cases.

Total Supply and Distribution

Runeth introduces a fixed supply of 1 billion tokens, which provides a clear cap to prevent inflation and maintain the token's value over time. The distribution strategy is as follows:

• Liquidity Provision (60%): A majority of the tokens are allocated towards liquidity provisions. This significant allocation ensures that there is ample liquidity on exchanges, facilitating easy trading and providing stability to the token's price.

• Community and Developer Incentives (20%): To encourage active participation and innovation within the ecosystem, 20% of the tokens are reserved for community rewards, developer incentives, and grants. This includes funding for projects built on Runeth, community events, and bounty programs that help improve the network.

• Team and Advisors (10%): Tokens allocated to the team and advisors are vested over a period to align their interests with the long-term success of the project. This also ensures that the team is motivated to continue developing and enhancing Runeth.

• Reserves and Future Financing (10%): To ensure the sustainability and future growth of the network, 10% of the tokens are set aside. These funds will be used to finance future expansions, strategic partnerships, and unforeseen challenges.

Utility of Tokens

The Runeth token is not just a medium of exchange within the ecosystem; it also plays several critical roles:

• Transaction Fees (Gas): Similar to Ethereum, tokens in Runeth are used as 'gas' for transaction fees and smart contract executions. This usage ties the token directly to the activity level on the network, ensuring that the token's utility and value grow as the network's usage increases.

• Governance: Token holders have the right to participate in governance decisions through a decentralized voting mechanism. This includes decisions on network upgrades, tokenomics changes, and other proposals that impact the ecosystem.

• Staking for Network Security: To participate as validators, nodes must stake tokens, which helps secure the network and offers validators voting power proportional to their stake. Staking mechanisms also incentivize token holders to act in the best interest of network security and reliability.

• Incentive Mechanisms: Tokens are used to reward users and developers for their contributions to the network. This includes rewards for network participation, such as validating transactions and maintaining the integrity and security of the platform.

The tokenomics of Runeth are meticulously designed to ensure a balanced distribution of tokens that supports both the operational needs and the strategic growth of the network. By integrating these economic strategies, Runeth aims to build a self-sustaining ecosystem that remains attractive to users, developers, and investors over the long term.