Dev Token Overview
What is DEV token?
The DEV Protocol shall allow monetization of program development work for Open Source Software(OSS). The monetization of OSS itself brings more sustainable funding and incentive models for the first time.
info
- DEV token is an Ethereum based ERC20 token.
- DEVs are inflationary, meaning that every year 3.15% new DEVs are minted. The newly minted DEVs are allocated to creators and stakers. (51:49)
- DEVs can be used for staking and to vote on certain things such as inflation rate and limit on how many tokens can be staked by a single token holder.
DEV token's Value
Support creators and earn a yield
By staking DEV for creators, stakers are eligible to receive a yield in the form of inflationary rewards. Inflation also promotes active staking of the token as an inflationary hedge.
Governance
Users that stake DEV holds certain governance rights over the protocol, such as having a voice in deciding tokenomics as well as proposing different ideas.
Creator Tokens
DEV stakers will be able to obtain Creators Tokens efficiently in the future.
Authentication fees
Creators burn DEV as an authentication fee when onboarding assets to the platform
Market creation fees
Enterprise users may ask for new markets where they look for certain types of assets. DEV will be burned as a transaction fee (per request). Actual creation of market requires governance.
DEV's Tokenomics
Dynamic inflation
- More tokens staked = exponential decrease in inflation
- More assets available = linear increase in inflation
Vesting for creators
- Creators have a DEV cap for withdrawable rewards.
- Better dispersion of staking among creators = higher rewards cap
- Higher DEV price = Lower withdrawal cap
DEV total supply is inflationary
DEV supply isn’t capped, with governance supply controlled as necessary via on-chain governance
How does it work?
The total reward for a per block called rewards is determined as follows:
- More lockups, less rewards.
- More assets, more rewards.
Designed to increase in value as the number of tokens deposited by sponsors increases and the total number of tokens issued decreases.
- As Sponsors side: There is incentive to staking after the purchase of Dev tokens as the value increases with deposit
- As Creators side: The more assets are tokenised, the more issued, and the easier it is for creators to attract sponsors.
The following formula illustrates the basic concept:
Detailed explanation:
As lockups increase, rewards decrease, and inflation rates decrease. As assets increase, rewards increase, and inflation rates increase. The deflationary trend makes it more rapidly by lockup increases. Ideally, an increase in assets should be accompanied by lockups, so an increase in assets should be a factor in increasing the inflation rate. But as lockups increase, the less impact the increase in assets will have. The maximum value is 0.00012 per block and an asset.