Source: Fractal Bitcoin; Translated by: Deng Tong, Golden Finance
At Fractal, we have carefully crafted a comprehensive token economics model that both ensures the long-term sustainability of our project and maximizes value for our community and investors. Our approach ensures that every participant in the ecosystem, from miners to developers, has an active vested interest in the growth and success of the network.
TL;DR：
80% of tokens are allocated to the community, and only 20% to the team and contributors (with a lock-up period) to ensure continued support and stability.
Total supply: 210 million
Token Allocation:
Our token distribution strategy has been carefully designed to promote network security, incentivize growth, and reward key contributors across the ecosystem. The distribution is as follows:
Proof of Work Mining (50%):
Half of the total token supply is allocated to Proof-of-Work (PoW) mining, aligning Fractal closely with Bitcoin’s security model. This is critical to maintaining network security and ensuring reliable block production.
See the table below for the estimated Proof of Work mining schedule:
Ecosystem Treasury (15%):
15% of tokens are reserved for the Ecosystem Treasury, which is used exclusively for investment in the Fractal ecosystem. The Treasury supports and funds initiatives to improve the ecosystem and provides ongoing core improvements to Fractal. Up to 10% of the total pool may be used annually over a 10-year period.
Community Grants (10%):
10% of tokens will be allocated to community grants for partnerships and liquidity programs. These initiatives are designed to increase network participation over time and will be community-led. Up to 10% of the total pool will be available annually for 10 years.
Pre-sale (5%):
Only 5% of tokens are available for pre-sale, targeting early investors. These funds are essential to cover initial development and operational costs, as well as to conduct security audits to ensure the robustness of the network. All tokens are locked for seven (7) months and will be released linearly over twelve (12) months. This ensures that pre-sale participants invest in the long-term growth of the ecosystem while balancing the immediate impact of Proof of Work (PoW) block production.
Consultants (5%):
An additional 5% of tokens are currently reserved for current and future advisors who will provide strategic advice and support for the continued development of the Fractal Network. A maximum of 20% of the total pool may be used annually over a 5-year term.
Core Contributors (15%):
The remaining 15% of tokens are allocated to core contributors who build and maintain Fractal's core software. All tokens are locked for seven (7) months and will vest linearly over twelve months. Since PoW networks do not provide direct development funding themselves, this allocation ensures a dedicated pool of resources for continued improvement, attracting top talent, and supporting the stability and growth of the network. By funding development in this way, Fractal can continue to innovate and adapt, providing a secure, efficient platform that benefits the entire community.
With our balanced token economics design, Fractal lays the foundation for the sustainability and security of the network while providing meaningful incentives for all participants.
As we continue to grow, our token economics model will evolve to meet the changing needs of the ecosystem, ensuring Fractal remains a vibrant and thriving network for years to come. We welcome all Fractal users to participate in the ongoing governance process and provide your input and ideas as we build Fractal together.
Fractal Address
For full transparency, you can track the following official addresses after the Fractal mainnet launch:
Ecosystem Treasury (15%): bc1pukzhdkdghqajp3zvwkx65e7uv5zma6lzalet4xauf3p5c0vdg8wqk2avv6
Community funding (10%): bc1pdrqk5xv3tfpmdsuegnt5a63xucf475r3l0vqg6zulwmtzezg7h6sd2pqx3
Pre-sale (5%): bc1put2rhzx0cwz552epm25dt2rexg2tzx9sws2sjcezsjm9y7h7ct8svhpzf2
Consultant (5%): bc1pm2h0420vmgayhzs59d5nf0mzjlf3q6vrnlpqytefe3rk6a8ku3zq59walm
Core Contributors (15%): bc1ppvqe8ugt27kgw4trvnzjvcfzn52702tq2ahe7cgzw0jsv67vrhysvgnndz
