Ankr Tokenomics Discussion
- Ankr Ankr
I havent done a deep dive on Ankr's tokenomics, can anyone summarize the token's utility as well as how value accrues to the Ankr token?
The utility of ANKR token:
Pay as you go, premium & enterprise RPC users need Ankr credits to consume Ankr RPC services. The Ankr credit can be bought using ankr tokens or via FIAT currency. The FIAT currency will be converted to ANKR tokens internally by Ankr team. This creates constant demand for Ankr token in exchanges. Thus the revenue generated by RPC services are captured in Ankr tokens.
Insurance deposit for independent node providers:
In the near future, independent node providers can provide RPC services to end user by running their own hardwares and by depositing 100k Ankr as self staking insurance deposit. This increases decentralization and also reduce the Ankr token circulation in exchanges.
Staking Ankr to independent node providers:
Ankr holders can stake their ankr to node providers and get the share of the revenue generated in return. Currently Ankr staking generates 9% APR which is among the best for a token with no inflation
Payment for node auditors:
The independent node operators will be vetted for performance and security by third parties while joining Ankr network. These third parties are paid in Ankr tokens.
Ankr token will be used as deposit for new governance proposal. Once the proposal is passed by voting the Ankr team will prioritize its development and delivery.
The revenue generated by Ankr RPC services will be distributed as below.
1.Independent node provider will get 21% of the revenue generated by thier node service.
2.Ankr stakers to node provider will get 49% of the revenue generated by thier node service.
3.30% of the revenue goes to Ankr treasury. This enables Ankr development team to be self sustainable and incentivice them to grow the RPC service by delivering new products and enhancements.
Other Ankr Products help RPC service grow:
Ankr Gaming SDK:
Ankr gaming SDK helps any web2 game to be launshed in web3 easily in multiple blockchains. The ankr gaming SDK internally uses Ankr RPC services. So the customers of Ankr gaming SDK helps increasing the revenue of Ankr RPC.
Ankr Appchain helps customers to launch their own sidechain and go to market with thier business very quickly. The Ankr Appchains also internally uses Ankr RPC which helps in increasing the revenue of Ankr.
Ankr tokenomics is created very carefully
- to capture the value created by the ankr business (staking rewards)
- to create consistent buy demand (RPC credits needs to be paid in Ankr or converted to Ankr)
- to create low circulating token supply (Ankr token has no inflation, More ankr will be locke in self staking, insurance staking as business grows)
- Incentivise Ankr team to grow ankr business (30% of revenue distributed to treasury to improve product offering)
The ANKR token is the native utility token of the Ankr network. The token is used to facilitate transactions and governance on the network and it also acts as a way to incentivize users to contribute to the network by providing useful services. The token can be used for:
• Staking: Users can stake ANKR tokens to participate in the network's consensus mechanism and earn rewards for providing useful services.
• Gas fees: ANKR tokens are used to pay for transaction fees on the network.
• Access to services: Some services on the Ankr network may require the use of ANKR tokens to access.
• Governance: ANKR token holders can participate in the network's governance by voting on proposals and making decisions about the direction of the network.
Additionally, ANKR token is also used as a collateral for staking on the StakeFi protocol. The StakeFi protocol allows users to earn staking rewards on multiple networks by providing collateral in the form of ANKR tokens.
Overall, the token utility of ANKR token is to provide access to the network's functionalities and govern the network, as well as providing a way to incentivize users to contribute to the network.