Breakdown of the Initial Supply
Our ambitious tokenomics design incentivizes positive behavior from all participants for the benefit of all stakeholders. Our launch partners will receive an initial
veCHRposition to help them get started, and a group of loyal users from each partner protocol will receive a
veCHR/CHRairdrop, which will also include early supporters (chrNFT minters, chrNFT stakers, chrNFT holders, loyal members of the protocols, etc.) We plan to airdrop a combination of locked and unlocked tokens to over 16,000 total users throughout the ecosystem.
While early participants will benefit from the initial
veCHRallocation, our tokenomics encourage mutual value creation and encourage continued participation in the Chronos protocol.
9% chrNFT Minters
25% of the initial supply is allocated to airdrop protocols that demonstrate their willingness to engage with our liquidity layer. When evaluating the available protocols, we have examined a wide range of factors, such as TVL, trade volumes, and products. We have also sought to find a balance between native Arbitrum protocols and bringing those from other chains to Arbitrum.
The amount of
veCHRairdropped to each protocol is variable and depends on the needs and value-add of each individual protocol; this ranges from 0.3% - 0.8% each. These amounts are just enough to familiarize the protocols with the ecosystem and give them a headstart. Importantly, because of our no-rebase model (see here) and the balanced quantities, it leaves space for these protocols to continue to acquire
$CHRto maintain long-term liquidity incentives.
21% of the initial supply is allocated to regular users of Chronos and our partner protocols. Recipients are chosen based on certain behaviors that promote the long-term stability of said protocols, such as: locking, staking, holding, participating in governance, and continuing to support.
Airdrop recipients receive their allocation as
veCHR, locked for the maximum 2-year duration
A portion (2,000,000
veCHR) of this supply was used to incentivize users to lock their
$CHRtokens in the initial stages of Chronos DEX coming live. Users who lock for the maximum 2-year duration receive a bonus amount equal to 30% of their locked position as additional
veCHR. This runs until this 2M token allocation is depleted. This is our way of supporting early members while balancing the long-term sustainability of the project.
9% of the initial supply was allocated to
chrNFTminters and was made claimable at launch.
chrNFTminters Airdrop balance between
- 50% -
veCHRlocked for 2 years
- 50% -
$CHR(vested linearly over 8 weeks)
Minters will have the option to claim 100% of their tokens as
veCHRupon claiming the airdrop instead of adhering to the 8-week vesting schedule.
18% of the initial supply is allocated to a specific fund that will be used to support a wide range of projects that aim to accelerate the growth of Chronos. Shortlisted projects will receive significant backing from the core team (smart contract development, marketing, business development, etc.).
This grant allocation will be held under the Chronos multisig wallet and is subject to approval before use.
4% of the initial supply will be paired with
$ETHto provide liquidity at launch. $750,000 total from the chrNFT minting funds will be paired with 2,000,000
$CHRat an initial starting price of $0.35 at launch.
18% of the initial supply has been distributed to the team to engage them in the long-term success of Chronos.
- 50% as
veCHRlocked for 2 years
- 50% as
$CHRvested 2 years
This token allocation will have 2 year linear vesting (beginning on Epoch 1) with no unlocked tokens at launch.
The core team members will have their interests aligned with Chronos by receiving 50% of their supply in the form of voted escrow tokens. This allocation allows team members to participate in the upside of the protocol while having a long-term-oriented position.
First, core team members will vote for core pair gauges at Chronos inception to achieve the goal of deep liquidity and extremely low slippage for high volume pairs that are not backed by bribing entities. These will include
$CHRdenominated pairs. Second, this initial allocation ensures that the core team has enough initial control over the protocol to achieve the original vision of Chronos.