You are probably used to the wide tokenomic variety within the cryptocurrency realm. Unfortunately, what is often overlooked, may perhaps be one of the most vital aspects of any cryptocurrency. Certainly, in our view, so are the fundamentals of privacy and liberty.
uPlexa was born in October of 2018. Since it’s conception, the only adjustment in its tokenomics has been a reward halving in November, 2019. Our future release, “Steadfast Storm” in which will unlock the potential for a censorship-free internet, a decentralized VPN, 51% attack mitigation, and quicker transactions; will also result in a slight tokenomic shift. The changes are specific to the relation to how rewards are allocated. This adjustment will not change emission projections.
As previously stated in other articles, Proof-of-Utility (PoU) will be introduced to the uPlexa blockchain. Block rewards will then be divided by both Proof-of-Work (PoW) miners, and PoU Utility node operators via staking. Before we discuss the options for PoU rewards, let’s go back and start with how exactly our tokenomics have worked from day one.
Total money supply. The total number of uPlexa coins to be emitted:
src/cryptonote_config.h:#define MONEY_SUPPLY ((uint64_t)(1050000000000))
This shows us that a total of 1.5T coins could ever exist on the uPlexa blockchain. However, keep in mind, our decimal point of two:
#define CRYPTONOTE_DISPLAY_DECIMAL_POINT 2Thus, the actual amount of coins to ever exist would be 10.5B
uPlexa, if not obvious by now, is a fork of the cryptonote blockchain (used by others such as Monero, Haven Protocol, Bytecoin, etc). Cryptonote uses an emissions formula in which provides a slight decrease of block rewards on a block-per-block basis. Unlike Bitcoin, in which block rewards halve every four years.
Below defines our emissions curve slope (22) and our difficulty target (120s). Difficulty target is the ideal time period between blocks, ie. two minutes.
#define EMISSION_SPEED_FACTOR_PER_MINUTE (22)#define DIFFICULTY_TARGET_V2 120
We must also take into consideration the 735,000,000 pre-mined coins (7% of the maximum supply). The pre-mine fund being a way to drive development and marketing for the project.
Thus, our emissions in terms of percentage compared to bitcoin:
As you see, based on our original emissions, after thirty years, Bitcoin would have emitted 99.62% of its coins, compared to uPlexa at 91.73%.
However, in November of 2019 we opted for a reward halving via hardfork, reducing block rewards by 50%. With our initial curve slope and difficulty remaining intact, our emissions changed:
Emissions were reduced significantly, thus uPlexa will have only emitted 49.36% (5.18B) of the total maximum supply by year thirty.
Further looking at a time-frame of 300 years we see that only 56.99999965678207% of the maximum supply will have been emitted (5,984,999,963.96211735 Coins).
We see rewards almost flat-lining after 50 years. At year 50, 54.82026727911894% of the supply will have been emitted (5,756,128,064.3074887 Coins).
Thus, between year 50 and year 300, only 228M coins will be emitted, which is currently less than half of what will have been mined this year alone.
Inflation:
At year 30 we will have an inflation rate of 0.46%. At year 100 we will be at an inflation rate of 0.0061%
The future & staking:
Currently, all of the rewards are directed towards PoW miners. However, once Steadfast Storm is released, this reward will be divided among both PoW miners and PoU Utility Node operators (stakers). As stated previously, the emissions themselves will not change, only the division of the rewards.
Previously we have talked about an 80/20 split. Meaning, PoW miners would receive 80% of the rewards, opposed to PoU Utility node operators receiving 20%. Lately, we have considered changing this dynamic and increasing the rewards for PoU.
Utility node operators will need to lock up (stake) 2M of UPX per utility node. This UPX cannot be bought, sold, nor transferred while staked. The more nodes in existence, the more of the current circulating supply in which is locked.
We will hold a debate on our Telegram in December regarding how block rewards will be set after the Steadfast Storm release. Feel free to let us know what you believe a fair and robust reward ratio for PoW to PoU would be in the comments below.
Telegram: https://t.me/uplexaOfficial
Twitter: https://twitter.com/uPlexaCoin
Website: https://uplexa.com
