| Sneed WhitepaperAbstract: Sneed introduces a novel approach to cryptocurrency tokenomics, leveraging an Automatic Market Maker Liquidity Pool (LP) to create a secure, non-inflationary, eco-friendly, efficient and decentralized ecosystem for SNEED, a token following the ICRC1 standard on the Internet Computer.
1. Initial Liquidity Provision (Seed the Sneed)Objective: Establish foundational liquidity for SNEED. Method: Allocate the entire supply of 10,000 SNEED into an LP, paired with 1,000 ICP (Internet Computer Protocol) tokens. This LP will generate trading rewards, that will be used to power the Sneed tokenomics, as described in subsequent steps.
2. Token Distribution Strategy (The Spread)Objective: Distribute SNEED tokens equitably. Method: Retrieve approximately 50% of SNEED (4,993.5 tokens) from the LP. Allocate these tokens as follows:- Founding Team - 1,000 SNEED
- Treasury - 2,000 SNEED
- Airdrops - 993.5 SNEED
- Reserve for future SNS (Service Nervous System) sale - 1,000 SNEED
3. Token Burn Mechanism (The Burns)Objective: Implement a deflationary mechanism for SNEED. Method: Regularly burn SNEED rewards accrued from the LP, reducing total supply.
4. Long-Term Staking (The Stakes)Objective: Encourage long-term stability. Method: Stake ICP rewards from the LP in an 8-year NNS (Network Nervous System) neuron, fostering long-term stability.
5. Buyback and Burn Procedure (The Buybacks)Objective: Further reduce SNEED supply and stabilize value. Method: Use ICP rewards from the 8-year NNS neuron to buy back SNEED tokens, which are then burned.
6. Decentralizing Liquidity (The Growth)Objective: Expand and decentralize the liquidity framework. Method: Utilize SNEED and ICP rewards from the LP to establish new liquidity positions on more exchanges.
7. Formation of a DAO (The DAO)Objective: Democratize decision-making and governance. Method: Establish an SNS DAO using the 1,000 SNEED reserved for an SNS sale. The DAO will manage the LP positions, the 8-year NNS neuron, and the 2,000 SNEED treasury, deciding on the utilization of LP rewards. Conclusion: Sneed's tokenomics are designed to create a balanced, sustainable, and decentralized ecosystem for SNEED. By employing strategies like token burning, staking, and DAO governance, the aim is to ensure long-term value and utility for Sneed users.
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