November 21, 2024 - January 20, 2025
The 600 million coins previously repurchased by the GMT team$GMT Tokens will be burned for voting ---@GMT DAO BURNGMT Burning Plan
Why is everyone so keen on burning tokens?
What is the market impact of locking and burning and the current unlocking and distribution of GMT coins?
Next, let’s explore
First, the market impact of GMT coin lock-up and burning
Reduced market liquidity
Through the lock-and-burn mechanism, the number of tokens circulating in the market is reduced. This directly leads to a reduction in supply, thereby increasing the scarcity of tokens. This measure of reducing the circulating supply usually leads to an increase in market prices, especially when demand remains constant or increases. In the long run, this policy helps to enhance investor confidence and promote the stable development of the market.
The calculation formula of daily lock-up dividends and its significance to long-term holders
The daily lock-up dividend is calculated based on the percentage of the user's lock-up amount to the total lock-up amount.
The specific formula is: User dividend = (user locked amount / total locked amount) × daily reward pool amount.
The amount of the reward pool may come from the project's token reward distribution and a portion of the handling fee income. For long-term holders, participating in the lock-up can get additional token rewards, which not only increases their investment returns, but also enhances their loyalty and confidence in the project.
Coping strategies
When facing the GMT coin lock-up and burning mechanism, it is recommended to pay attention to the voting time and ensure that you participate in the lock-up during the voting period. Make reasonable allocations based on your own GMT holdings and do not rely too much on short-term fluctuations. Combine the voting cycle with dividend income, formulate a participation strategy, and pay attention to the price risk caused by the reduction of token liquidity during the lock-up period.
Current unlocking and distribution research
What effect does the amount burned have on the remaining supply?
So far, a large number of tokens have been burned through the BURNGMT mechanism of GMT. These burned tokens are updated in real time and recorded on the blockchain. The unburned tokens are stored at the project address, waiting for future voting or unlocking as planned. This measure to reduce the circulating supply usually leads to an increase in market prices, especially when demand remains constant or increases. In the long run, this policy will help enhance investor confidence and promote the stable development of the market.
How are the unlocked tokens distributed across the market?
The unlocked tokens are used for market circulation, reward pools to encourage ecological development, and lock-up shares distributed to early investors and teams. These unlocked tokens will gradually enter the market circulation, which will have a direct impact on market supply and prices. It is very important for investors to understand the number and distribution of unlocked tokens, as this will help them better predict market trends and adjust investment strategies.
The distribution of tokens that have not yet been unlocked and the possible impact of their future release into the market
The tokens that have not been unlocked are mainly distributed in the ecological fund, community incentives and strategic reserves. These unlocked tokens are potential sources of supply in the market and have a certain impact on the price of GMT coins. As the voting results are announced in the future, these unlocked tokens will be gradually released to the market. It is very important for investors to pay attention to the distribution and release plan of these unlocked tokens, as this will help them better understand the market supply and demand relationship and price trends.