Astar Network is a multi-chain dApp hub on Polkadot. The platform offers users various features which include dApps staking, L2 solutions, and X-VM (Cross Virtual Machine) which is compatible with the Ethereum Virtual Machine (EVM).
ASTR is the utility and governance token of Astar, used for the following use cases:
Transaction Fees: Users will require ASTR tokens to pay for gas fees and execute smart contracts.
Governance: Enables ASTR token holders to nominate council members and participate in voting on the network.
Network Staking: Users can stake ASTR to become a validator or delegate to participate in the network consensus, and in return are rewarded with ASTR.
dApp Staking: Instead of staking to participate in the network consensus, users can delegate their ASTR tokens to projects building on the Astar network to receive ASTR.
Layer 2 Implementations: ASTR tokens will be used to maintain layer 2 application status. When developers deploy dApps on layer 2, they need to deposit ASTR on the Astar Network layer 1.
Astar consists of the following major components working in conjunction:
Polkadot: Polkadot facilitates cross-chain communication and interoperability by connecting multiple blockchains into one unified network. Astar is the Polkadot ecosystem version of Shiden Network (SDN) in the Kusama ecosystem.
Parachains: Parachains are independent blockchains (Shards) that are able to connect to Polkadot.
Crowdloans: It is a method for projects to fundraise for a parachain slot on the Polkadot network. Users temporarily lock their DOT in exchange for a reward from the project team, often in the form of the project's native tokens.
Slot Auctions: For projects to operate as a parachain on Polkadot, they would have to win a slot in the parachain auction. Astar won the third slot auction via a crowdloan, thus securing a Polkadot parachain for 96 weeks.
The project raised ~10MM DOT tokens from over ~27K contributors in the Astar crowdloan for the Polkadot parachain slot auction.
As at February 28th 2022, the total token supply of ASTR is 7,000,000,000, and the circulating supply upon listing will be 1,570,000,000 (~22.43% of the total token supply).
Learn more about the token distribution of ASTR here.