EOS Tokenomics Revamp: What Changes Are Ahead
The EOS blockchain is undergoing a significant upgrade to its tokenomics model, introducing vital changes that aim to stabilize and grow the EOS token economy. The proposed changes, set to begin after approval from EOS block producers, include a fixed token supply and new token vesting schedules. Here’s a breakdown of what’s in store for EOS:
Key Changes in EOS Tokenomics
The new tokenomics model for EOS includes several foundational updates:
- Fixed Token Supply: The total EOS tokens will be capped at 2.1 billion.
- Token Vesting Schedules: Introducing schedules for network custodians, such as EOS Block Producers, Staking Rewards, the EOS Network Foundation (ENF), and EOS Labs.
- Immediate Token Liquidity: Allocation of funds for purchasing 35 million EOS in RAM and 315 million EOS for RAM market-making.
Immediate Token Liquidity Plans
Upon approval of the multi-signature proposal, several tokens will become immediately liquid:
- 315 million EOS for market-making and liquidity provision on exchanges and DeFi platforms.
- 35 million EOS for buying RAM from the system Bancor pool to support EOS ecosystem initiatives.
- 15 million EOS for public goods funding to enhance the EOS Network’s usability through middleware development.
Strategic RAM Purchase
A significant aspect of the new tokenomics model involves a strategic approach to managing EOS RAM. With 35 million EOS set aside for RAM purchase, initiatives will be supported, and WRAM (wrapped RAM) liquidity will be established on exchanges to improve market accessibility.
What to Expect in Part II: Transition to REX 2.0
The upcoming second part of this series will delve into the transition to REX 2.0. This transition is expected to bring high-yield staking rewards for EOS token holders, contingent on the successful implementation of the changes introduced in the first MSIG for the System Contracts v3.4.0. Enhancements to REX will include:
- Diverting system fees to Block Producers (BPs).
- Enabling staking rewards to flow into REX.
- Extending the REX staking lockup period from 4 days to 21 days.
Testing and Approval Process
The proposed changes have undergone a BlockSec security audit with no critical issues detected. Deployed on Kylin and Jungle4 testnets, the new system actions and tokenomics mechanics have been rigorously tested. Community members and block producers are encouraged to engage with these new functions to ensure a seamless integration.
Acknowledging Contributions
Special recognition is extended to all contributors who have played essential roles in this release, highlighting the collaborative nature of EOS blockchain development.
What’s Coming Next?
Stay tuned for Part II of this series, “Transforming REX Dynamics,” for an in-depth look into optimizing and enhancing REX functionality within the EOS ecosystem. Expect more robust and predictable returns for participants as the EOS tokenomics evolve. For detailed insights on the upcoming changes, visit the official EOS blog.
Image source: Shutterstock
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