LightLink Tokenomics - December 2023 Update
As we approach our token generation event we're excited to announce some updates to the tokenomics of LightLink.
In the dynamic world of blockchain and cryptocurrencies, the need for adaptable and sustainable tokenomics models is paramount. As we approach our token generation event we're excited to announce some updates to the tokenomics of LightLink. These changes are a reflection of our commitment to long-term growth, community engagement, and the overall stability of our ecosystem.
| Allocation | Percentage | Total Tokens | Initial Unlock (%) | Lock-up (Months) | Vesting (Months) |
|---|---|---|---|---|---|
| Private Seed Raise VC | 14% | 140m | 0 | 12 | 18 |
| Advisors | 5% | 50m | 0 | 12 | 18 |
| LightLink Team | 14% | 140m | 0 | 15 | 18 |
| Airdrop | 6% | 60m | 0 | 3 | Variable |
| TGE | 6% | 60m | Variable | 0 | Variable |
| Ecosystem Growth Fund | 40% | 400m | 2 | 0 | 60 |
| Staking Reserve | 10% | 100m | 0 | 6 | 60 |
| Liquidity-Market Making | 5% | 50m | 50 | 0 | 12 |
Rationale Behind the Changes
The core of these updates is rooted in our desire to align more closely with the evolving needs of our community and the broader blockchain ecosystem. We've taken feedback from our users, investors, and advisors to heart, leading to these pivotal modifications.
Private Raise: Reduced from 20% to 14%
The decision to reduce the private raise allocation from 20% to 14% stems from our commitment to a more decentralised and community-centric approach. This move aims to limit the concentration of tokens among a few early investors, thereby enhancing token distribution equity.
Team Allocation: From 17% to 14%
Reducing the team allocation to 14% reflects our confidence in the project's long-term viability. By aligning our interests with those of our community, we're demonstrating a strong belief in the project's future success. This reduction also frees up more tokens for community-oriented initiatives.
Advisors Allocation: 5%
Since we last published our tokenomics we have secured several key strategic partnerships with advisors who have a wealth of knowledge and experience in the industry. Allocating 5% of our supply for advisors underscores the value we place on expert guidance and mentorship. Our advisors play a critical role in steering the project towards success, and this allocation is a testament to their ongoing contributions.
Community Airdrop: From 2.5% to 6%
Enhancing the community airdrop allocation to 6% signifies our strong commitment to fostering a distributed and decentralised community. This strategic enhancement serves a dual purpose: it acknowledges and rewards the dedication of our existing community members while simultaneously attracting new users to our platform. This increase is not just a token gesture; it's a deliberate move towards nurturing a more dynamic and engaged community, underlining our dedication to inclusivity and widespread participation in our ecosystem.
The Community Airdrop Program run through Galxe will remain at a 2.5% allocation (across Phases 1, 2 and 3) and the remainder of the 6% will be allocated in future programs.
Consolidation into an Ecosystem Growth Fund: 40%
The consolidation of various foundation-related allocations into a single Ecosystem Growth Fund with 40% of the tokens is a strategic move. This fund will be pivotal in supporting future developments, partnerships, and community initiatives. It's a pool that ensures sustainable growth and continuous innovation within our ecosystem.
TGE Allocation: 6%
Setting aside 6% for the Token Generation Event (TGE) allows us to ensure immediate liquidity and accessibility for new users. This allocation is crucial for kickstarting the project's journey in the public domain and lays a strong foundation for future growth.
This allocation of 6% is subject to change as we draw closer to the TGE event, as we finalise the process by which it will take place.
The Impact of These Changes
- Enhanced Decentralization and Fairness. By reducing allocations to private investors and the team, we're taking significant steps towards a more decentralized token distribution. This shift promotes fairness and reduces the risk of centralization.
- Strengthening Community Ties. The increased allocation for community airdrops directly benefits our most valuable asset – our community. It's a way of giving back and saying thank you for their unwavering support and belief in our vision.
- Long-term Sustainability. The Ecosystem Growth Fund ensures that we have the resources to continuously evolve and adapt. It's a testament to our long-term perspective and commitment to delivering lasting value.
- Ensuring Immediate Engagement and Liquidity. With a dedicated allocation for TGE, we're setting the stage for immediate community engagement and ensuring that our tokens are readily available for trading, fostering a healthy and liquid market from the outset.
Looking Forward
These updates to our tokenomics are more than just numbers – they represent our evolving philosophy and commitment to our community. We believe these changes will propel us towards a more equitable, sustainable, and successful future. Join us on this exciting journey as we define the Infrastructure for the New Internet.
