5.5.4 Token Balance and Cumulative Supply
Last updated
Last updated
In the intricate dynamics of the DGT network's tokenomics, it's imperative to continuously oversee the balance of reserved tokens to ensure seamless network functionality and maintain the economic value of tokens. This responsibility falls on the shoulders of the function.
The function acts as the vigilant custodian of the tokens. It embarks on its journey with the entirety of the reserved tokens and meticulously reduces this stash following each distribution event. This decrement process is guided by the interplay between the and the progressively ascending .
The culmination of this process is marked by depleting to zero. Such an event signifies a pivotal moment: the entirety of the initially reserved tokens has been allocated. Whether this event transpires within the model's selected timeframe or extends beyond hinges largely on the coefficient A diminutive stretches the distribution timeline, ensuring a gradual release of tokens. Conversely, a more substantial accelerates the process, leading to a swift exhaustion of the reserved tokens.
This balancing act is foundational to the token supply mechanism. It ensures that while nodes are incentivized adequately, the token's value is not compromised by over-supply.