Turtlenomics
Turtle Protocol aims to create a sustainable and decentralized ecosystem by effectively distributing protocol fees and leveraging the Turtle token (TRT) to foster user engagement and liquidity growth. Turtle embraces an inflationary approach during the bootstrapping phase, providing contribution based emissions as an additional incentive for Turtle LPs to participate and interact with Turtle Partner Protocols. As the Turtle Protocol grows its on-chain verifiable liquidity base and bargaining power, Turtle emissions will start to transition to a deflationary model upon reaching the desired collective security and bargaining power
Turtle Token Distribution & TRT Vesting
Turtle tokens ("Turtle Token" or "TRT") will have a max supply of 1bn tokens.
42% Turtle LPs of which -
1.5 % of Turtle Tokens will be distributed to the community at TGE that join the club before April 9th that help with testing our API and Turtle site.
0.2% Sign Ups and testing before launch
1.3% Strategic LPs that commit new TVL to Turtle Protocol Partners and Early LPs that signed up before the 9th of April.
39% via seasonal LP rewards based off the Turtle issuance model.
16% Turtle Partner Protocols
Based on $$$ DAO contributions
Based on TVL & User KPIs onboarded to the Turtle liquidity protocol
5% TurtleDAO Treasury
POL (TRT - USDC/RWA + TRT - ETH/LRT/LST)
Security grants, Turtle contributors & other
37% Team, Investors, Advisors (390.8m TRT)
21.7% team & core contributors
2% advisors
13.3 % investors
Please note: Subject to changes & given that TRT has an asymptotic issuance model, TRT will never reach its max supply.
TRT Vesting for Team, Investors, Advisors:
[…]
Seasoned based Asymptotic Turtle Token issuance model
Turtle Tokens benefit from ‘deflationary rebasement’, by implementing a seasoned based asymptotic issuance model that prevents token holder dilution by enforcing a higher Turtle Token ‘minting premium’ and thus a higher Turtle Token minting price for each season, ensuring Turtle Tokens are backed by a rising and interest bearing price floor. Each Turtle season, Turtle Tokens become more contribution intensive to mint as the TurtleDAO treasury and circulating supply expands, establishing an asymptotic equilibrium for Turtle Token issuance over the long-term.
Each token issued will have real value pegged against it.
Turtle Token (TRT) Minting Cost
Turtle Token Minting Cost (MC) refers to the cost or the amount of DAO token contributions a Turtle Partner Protocol and Turtle LP need to make to the TurtleDAO in order to be assigned a new batch of Turtle Tokens. The MC can be described as a function of:
Turtle Tokens Minting Cost (MC) = Turtle Token Collateral Backing (CB) +Turtle Token Minting Premium (MP)
Turtle Token Collateral Ratio (CR) describes the amount of interest-bearing assets underpinning each Turtle Token in circulation. As the Turtle Protocol earns and compounds yield and protocol fees, the amount of CB rises as more Turtle Tokens come into circulation, making it more capital intensive to mint TRT as the TurtleDAO treasury grows. The CB can be illustrated with the following formula:
The Turtle Token Minting Premium (MP) determines the premium Turtle LPs must pay on top of the current Collateral Backing to mint new Turtle Tokens into existence, ensuring every new season and new Turtle Token issuance always benefits existing Turtle Token holders by creating deflationary pressure on the TurtleDAO treasury. This increases the collateral backing of each Turtle Token currently in circulation.
This creates a self-regulating, asymptotic token emission schedule, preventing Turtle Token holder dilution with each new season and Turtle Token issuance, solving the ‘LP token dumping problem’.
The minting price for TRT will increase with each issuance, determined by the Turtle Treasury Committee (TTC) at the end of each season.
Last updated