crypto tokenomics calculator crypto tokenomics calculator

There are some questionnaire inputs which severely limit what the model can produce, for example: very low risk tolerance or having no token sale. Utility Tokens - These are cryptocurrencies representing a value on a blockchain network. Get a tokenomics setup for your project, instantly, picked by our smart algorithms, amongst millions of possible combinations. The tokenomics model depends a lot on the tokens represented in form of cryptocurrencies. There are more advanced tools than spreadsheets and this is why the file which you get is not standalone. We are Tokenomics consultants that have been in crypto since 2015 and have worked on 220+ projects. What is tokenomics and why is it important? He has worked with many different types of technologies, from statistical models, to deep learning to blockchain and he has 2 patents pending to his name. Of course, you can simply stake the cFRM rewards that you generate in Crucible! In the cryptosphere, tokens can be treated as another word for cryptocurrency or crypto assets. Set the total number of tokens M. Set the expectations factor. Published by Dr. Stylianos Kampakis on September 14, 2018September 14, 2018. Dr. Stylianos Kampakis is the owner and author of The Data Scientist. Developed by the industry top tokenomics experts and starting at the best possible price - free. Crypto tokenomics is therefore the overall economics of a specific crypto token with regard to the value of the crypto coin and whether its value is likely to rise or fall over time. Layer 1 tokens function to provide access to the blockchains resources including paying for network services such as transaction fees, minting tokens, and paying for smart contracts. Based on your inputs, our AI-powered algorithms will run through millions of possible setups for your tokenomics and finally produce the 5 different tokenomics scenarios optimized for different purposes. They launch their parachain on Polkadot and a parachain on Kusama.. If you don't like the total token supply, you can easily overwrite it in the paid version of the model. Convert their FRM to cFRM and stake it in Crucible to earn sustainable APRs. Even the founder of Parity, Gavin Wood himself, in an interview with Space Monkeys Crypto Podcast at Polkadot Decoded Buenos Aires, mentioned his disapproval of the 2 parachain approach, when he says one of the things thats happening wasnt something that I foresaw and its not something that I necessarily think is a good idea, is that teams often times launch 2 networks. We guide you through the complexities of blockchain, providing you with a seamless experience. Investor optimized (highest RoI for token investors, valid only if your token has a sale) For example, if a project's tokens are primarily owned by its founders, they will have significant control over the project's governance and could make decisions that are not in the best interests of the network as a whole. Access Calculator Now Unlock the power of your token economy and make smarter token modeling decisions, using Tokenomics Calculator. Can I use the calculator for multiple projects? WebTokenomics Calculator Tokenomics Calculator by on Sat Sep 8 A well-structured tokenomics is perhaps the most important factor that determines the success of an ICO and the dApp. In particular, after transforming its community into hDAO, the company plans to give away 10% of its equity for 100,000,000 HAI tokens. Ferrums original tokenomics were designed in 2019, which is an eternity in Web3, and frankly were not optimized for a network. TreasuryThe Treasury is where all network related items and expenses will be sourced from. It includes everything about the mechanics of how the asset works, as well as the psychological or behavioral forces that could affect its value long term. The model makes the following assumptions: Therefore, given accurate forecasts of the total transacted value we are trying to create a pricing model for any token. This guide includes technical functionalities, a feature list, and more viable information for your project. Using the same logic as outlined above, the new requirements for the Governance Committee will be 500,000 cFRM staked in Crucible. Players can earn SLP by winning battles and selling their unique Axies on the game's NFT marketplace. All of our models optimize for tokenomics sustainability first and foremost. The two answers we kept coming back to were: These are obviously pretty underwhelming answers as to WHY you should build something. He was also one of the first researchers in the area of blockchain to study and discuss tokenomics. Hold it without staking to take advantage of cFRM/FRM arbitrage opportunities, How Quantum Portal Miners (QPMs) and Quantum Portal Validators (QPVs) will be rewarded for ensuring the security, efficiency and overall effectiveness of the network, QPMs and QPVs will be incentivized to grow their stake in the network, How the distribution of these tokens for the aforementioned items can sustain equilibrium as it pertains to emissions. We employ a unique data-driven approach to tokenomics, rather than the usual "what is currently popular". Token distribution should ideally be diversified to ensure that no single group has too much power and that the project can remain decentralized and neutral over time. Ferrums original tokenomics were designed in 2019, which is an eternity in Web3, and frankly were not optimized for a network. These tokens are integrated into Layer 1 blockchains via smart contract technology. 3. Here is a checklist guide to help you get started with it. Here are some of the most crucial elements to consider while analyzing the tokenomics of a cryptocurrency. How much does it cost to design a tokenomics for your project. The total token supply is one of the least important metrics for tokenomics. Die Welt verndert sich schnell, und die Welt der Kryptographie fhrt den Wandel an. Send us a note if you'd like a more thorough cost estimate. Currently, Ferrum faces this same problem with our two token system. That means that every 4.5 years, the remaining supply of the reserves will be cut in half. - Your file will be kept for 12 months instead of 3 This is more suitable for our purpose of evaluating ICOs and tokens. WebTokenomics the topic of understanding the supply and demand characteristics of cryptocurrency. Tokenomics by FinDaS. The world is changing rapidly, and the world of crypto is leading the change. On the quantitative side, we use data on token pricing and adoption for 16 major cryptocurrencies from 2010 to 2018 to discipline our choices of parameters in the model. They are supposed to be variations of your overall optimal model. Well also look into the process flow of the staking platform, a roadmap, and many more that can help you understand the basics of launching a DeFi stacking platform. Projects like Solana, BNB, Celo and Flowallocated more than 40% of their token supplies to insiders while projects likeEOS, Cosmos, Ethereum,Cardano and Tezos allocated the majority (>70%) to their public sale. It is also helpful to have a baseline understanding of the concept of tokenomics. This is still a work in progress, with some issues remaining to be addressed. Before you make a payment, please make sure you have filled in our tokenomics calculator questionnaire and you have received an email with a link to the calculator. Thats an extra 2 years that Ferrum has added to the vesting for their own tokens. You can use this tool for a proof-of-concept, however beyond that, we strongly recommend that you get your final tokenomics designed by an expert in the filed. As stated previously, Treasury tokens will be used to support subcategories such as Exchange Liquidity & Market Making, Bridge/MultiSwap Liquidity, Ecosystem, and Mainnet and Parachain Fund. Get the latest crypto news, updates, and reports by subscribing to our free newsletter. Vitalik Buterin flipped velocity and the price giving us the following equation: Where C is the price or the cost of a token, defined as C=1/P, and H is the average holding time, defined as H=1/V. Hence, for the first few months the price will be equal to the ICO price, as the equation above be roughly equal to: Regarding the modelling of uncertainty, there are two ways to improve the model. According to this article from September 2020, year 1 for Ferrum had the largest emission rate at 41.9%. The paid version - anyone who has the link can edit the file. Having 2 parachains requires splitting your attention between the development and maintenance of 2 separate networks. We calibrate the model so that the initial adoption patterns match In the paid version - practically all of them. Tokenomics= Token + Economics Tokenomics is simply the quality of a token that creates demand for that token from investors. Developed by the industry top tokenomics experts and starting at the best possible price - free. We understand that it is not enough to have the right numbers, you also need to present them properly. If you answered very few of them, the model becomes generic. This way we ensure that our models are accessible to everyone. There is also a great framework fortokenomicswhich you can find on that page. Can I use the output of this model as a substitute for a tokenomics advisory? It's important to strike a balance between creating a sufficient supply of tokens for potential customers to acquire and ensuring that the token's value is optimized based on its intended utility. Do you want to learn how to build an NFT marketplace platform from the ground up? 5. We believe that a team whose goals are in line with the company makes for the most motivated and productive organization. The max supply is the maximum number of tokens that can ever be generated. As technology advances, it may help you outpace your competition and grow your firm. The goal of an audit is to ensure that a token economy is robust, and free from any flaws. Approved by From a tech, ecosystem and community standpoint, Arbitrum ticks all of the boxes. One day, when BTCs total supply has been distributed, network validators will only receive rewards in transaction fees. Decide on a time window (e.g. Unfortunately at this point in time, we are unable to offer more specific permission (e.g. You should conduct your own research, review, analyse and verify our content before relying on them. This presents us with an incredible opportunity. Furthermore, we are thrilled to bring our newly designed tokenomics and monetary policy to the community along with the newly released Whitepaper! WebGet the most powerful tokenomics calculator template & simulation available, including future token price predictions and project sustainability scores. The arrival of Ethereum gave a substantial boost to the concept of tokens with cryptocurrencies. We have done a considerable amount of due diligence on all of the major players and have concluded that Arbitrum is the best fit for the newly minted FRM supply. In both cases, the file not discoverable via search engines (e.g. Well-performing crypto projects have their ecosystem built around their tokens. This is still work-in-progress and it is covered in another post. We run several thousands of tests each week on our models in order to make sure they are correct and produce the best possible results. All of the early parachain projects were doing it so it seemed like this was the standard approach. You need to use the original file. Given that, we can calculate the price of token as follows. Tokens are rewards in the ecosystem, and by designing the incentive models, one can influence the participants' behavior. To curb the COVID-19 crisis a reliable pandemic management system is necessary. Theres an important distinction to be made when studying the way that dApps function compared to newly established networks. AI FOR BUSINESS TRANSFORMATION: How AI can make your business 2X more profitable. However, this is something to be researched and for now we can go with this simplification. However, as time went on we started to realize that the 2 parachain approach was becoming less and less popular to newer projects building in the Dotsama ecosystem. The numbers they report are generally called M1, M2 and depending upon the country M3 or M4 as well. We furthered this agenda with the advent of our latest DeFi 2.0 product, Crucible, which burns between 0.10.4% of all transacted volume of the wrapped reflection version of FRM, cFRM. Tokenomics has become a popular term in the last few years to describe the math and incentives governing crypto assets. See an example of an unlocked calculator. What are the scenarios that the calculator produces? To find out more about the cookies we use, see our Privacy Policy. We can just set the parameterk as the proportion of tokens that are not being actively exchanged within a given time window, and hence we can directly estimate velocity (and the holding time). So how can I get the the extreme versions of the tokenomics? Up until now, Ferrum has taken a product oriented approach to the way we ran the business. According to Ethereums monetary policy, PoS issuance is the rewards that are paid out by the protocol at any given time. As NFT tokens are being sold for millions, and images, emojis, etc being auctioned at record value make one wonder what is happening in this sector. We've compiled a checklist for the fundamentals of creating a Crypto Lending Platform in our whitepaper. Fungible Tokens - Fungible tokens can be interchanged with one another of the same kind. Given that, we can calculate the price of token as follows. Yes, you can! In the second section, well explore the essentials for DApp development, including the best practices, methodologies, common vulnerabilities, audit process, and tools. For this, we recommend our partners at FinDaS.org who are world-leading tokenomics experts and helped us build this tokenomics calculator. Both cryptocurrency and tokens are forms of digital assets that utilize cryptography technology.What does that mean?To implement tokenization in your project, it's essential to determine the total number of tokens to be created. other media. They are Treasury, Team, and ECOP (Employee Crypto Ownership Plan). First we take those 5 steps. The Merge is designed to simplify Ferrums tokenomics, technology, roadmap, and value proposition to new and existing community members. In the traditional economy, economists monitor the issuance of a currency using official money supply data. ECOP stands for Employee Crypto Ownership Plan and is structured very similarly to ESOP (employee stock ownership plan). Youve probably heard of the term tokenomics which has become quite popular in the crypto space in recent years. The parameters set in response to these items will ultimately be contingent on criteria such as current transaction volumes, hardware prices, and FRM valuation and should be subject to alteration by way of approving referenda via governance as a means of adapting to changes in the above criteria. Approved by Most of the suggested valuation models right now involve around the equation of exchange. A million dollars a year in revenue from a suite of Blockchain as a Service products simply will not cut it when it comes to maintaining a network and incentivizing behavior on a network. In short, the answer is yes. In the cryptosphere, tokens can be treated as another word for cryptocurrency or crypto assets. As soon as you make the payment, please also fill in the short form, so that we can be sure that the payment is coming from you. We are giving you the next best thing, for a fraction of the cost. We believe, we are striding into the next phase of human evolution where technology negates The Treasury will contain 7% of the Max Supply from the onset. To us, and many others in the Dotsama ecosystem, this was the best display of how Polkadots canary network, Kusama, was intended to be used, and very reminiscent of Gavin Woods quote from earlier in the article. We make no warranties of any kind in relation to our content, including but not limited to accuracy and updatedness. model each individual transaction). Important Note: Keep in mind that if you want your newly airdropped FRM tokens to qualify toward Presale allocations and/or Governance Committee holding requirements, they will need to be converted to cFRM and staked in Crucible. Bitcoin and other altcoins are the best examples of fungible tokens. Before making a payment, we recommend that you go over our terms and conditions. Proper tokenomics modeling usually costs upwards of 10 000 USD. No part of the content that we provide constitutes financial advice, legal advice or any other form of advice meant for your specific reliance for any purpose. For more information on Presale holding requirements, check out this link: https://ferrum.network/fas-incubator/. Tokenomics by FinDaS. We bring to you the new and improved tokenomics calculator tool. So, whereas higher holding times will cause an increase in value, in the extreme case where everyone is holding the token, then the total value of transactions would reach zero. The forecasts predict that the total monetary value of transactions is going to be low for the first 1-2 years, but it is going to pick up after that. If you purchase one of their tokenomics packages, you get a way more detailed tokenomics and they can fully support you with interpreting and fine tunning your project's tokenomics. Also, please make sure to check out the page of the Tesseract Academy, my consultancy which deals with education and services in the both the areas ofAI and blockchain. Which tokenomics variables can I adjust in the caclulator? When evaluating a network on the other hand, especially one that has not garnered the attention of builders, users, and validators, one will want to understand how they intend on attracting such participants. Did you know the gecko also does some writing here? Most importantly however, we feel that the newly designed tokenomics,monetary policy, and Whitepaper will help set Ferrum Network up for success as we push forward toward mainnet and our vision of Interoperability 2.0! The reason why you get a spreadsheet is because this remains the most widely used, understood and requested data delivery medium. We learned that most folks on the inside of the Dotsama ecosystem are urging young projects to steer clear of the 2 parachain approach. Hacks Biology. A tokens value can be indicated by the fully diluted market cap, which is essentially a product of the tokens maximum supply and the current market. We use this information in order to improve and Year 2 saw a drastically reduced emission rate of 7.45%. In this article I will unravel a theory of token valuations I have been working on, which can be used to answer some of the tokenomics questions that I have been asked again and again. 5. WebTokenomics Calculator allows you to create and fine-tune a token economy in hours, not weeks. WebBitcoin went live in January 2009, based on a set of rules - the Bitcoin Protocol - that included a clearly defined supply schedule: New bitcoins are created through Mining. However, Ethereums tokenomics model will likely change as the network transitions to a PoS consensus system. QPMs and QPVs would be reliant solely on transaction fees. As Web3 moves towards a more Sustainability and token scores for the selected setup, Allocations and token sale charts and descriptions, Token supply mechanics - inflationary/deflationary, 5 optimized tokenomics scenarios to choose from, 12+ pages of detailed tokenomics descriptions, charts and mechanics, based on your configuration, Token value projections using 2 different valuation methodologies. Hope you enjoy his writing. Simple tokenomics templates - they are easy to use (although they still assume you know a bit about tokenomics) and will let you configure your token allocations and vesting, but do very little in terms of prescriptive actions on what can be improved and how. This wouldve meant that Team tokens wouldve been fully vested by August of 2025. The transaction volume is increasing at a rate of 20% per month. The numbers they report are generally called M1, M2 and depending upon the country M3 or M4 as well. The inputs which produce most of the variability are the ones that have a token sale, have a medium to high risk tolerance, have answered 60-70% of the questions, but still have left some things for the model to decide.