New Blockchain Aptos Unveils Controversial Tokenomics, APT Incentive Plans
Tokens that private investors hold are subject to a 12-month lockup, while the entire circulating supply will be released in the next 10 years.
Recently launched blockchain Aptos published a summary of its token distribution and incentive plans amid reports of a slower-than-expected start and community criticism surrounding the amount of its native APT tokens held by private investors.
The initial total supply of Aptos tokens at Monday’s mainnet launch was 1 billion, with some 510 million distributed to community members, 190 million to core developers and the remaining to the Aptos Foundation and private investors.
The Aptos Foundation holds 410 million tokens overall, which will be released over the next 10 years. Of that, 125 million APT is available initially to support ecosystem projects, grants, and unspecified community growth initiatives, and a smaller 5,000,000 APT available initially to support the Aptos Foundation initiatives for the Foundation category.
Another 100 million tokens are held by Aptos Labs, a centralized entity that develops and maintains the blockchain.
Aptos said tokens held by private investors and current core contributors are subject to a four-year lockup schedule from the mainnet launch.
There are rewards for holders who stake their tokens to contribute to the network’s upkeep. “Currently, the maximum reward rate starts at 7% annually and is evaluated at every epoch,” the post read.
“The maximum reward rate declines by 1.5% annually until a lower bound of 3.25% annually,” it added, pointing out that all transaction fees are currently burned but this may change based on future governance decisions made by the Aptos community.
Community sentiment toward the token plan remained largely tepid, with most criticizing the large allocation for developers.
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