$SPLASH Tokenomics
Token Info
Distribution
The total supply of 100,000,000.00 SPLASH tokens is distributed as such:
Team
10,000,000 SPLASH (10%) will be distributed to the core protocol contributors. This allocation is subject to a 3-month cliff and 24-month vesting period.
The lock is performed using the vesting smart contract. You can find the locking transaction here.
Smart contract address: addr1w8jxjly04tdcm8dvhuev4tvfrr9xtuquylf9f4679nnlkws3vwhzn
Sale
30,000,000 SPLASH (30%) is allocated for a pro-rata type of sale.
DAO Liquidity
15,000,000 SPLASH (15%) is used to initiate the core ADA-SPLASH 20/80 liquidity pool. The LP tokens will be transferred to the DAO Treasury and never participate in the voting escrow.
Voting Bootstrapping
10,000,000 SPLASH (10%) is allocated to bootstrap the usage of the Splash protocol and its voting escrow mechanism. The top projects on Cardano were invited to contribute their tokens and ADA to the Splash DAO treasury in exchange for a portion of SPLASH tokens. These projects are required to initially provide liquidity to the ADA-SPLASH 20/80 liquidity pool and lock their LP tokens in the Voting Escrow contract for the maximum duration (1 year). By doing this, projects gain DAO weight and can further incentivize liquidity providers by directing SPLASH inflation to their liquidity pools. This ensures a healthy economic usage of the protocol and its long-term sustainability. The full list of participating projects will be announced later and added here.
Rewards
3,000,000 SPLASH (3%) will be distributed in the form of an airdrop as follows:
2% is allocated to historical Spectrum DEX liquidity providers (consider Spectrum DEX as the pre-Splash version). The estimation will be conducted on a time-weighted basis and according to the ADA amount provided, by analyzing the on-chain data.
0.5% is for traders who participate in our collaboration with DexHunter.
0.5% is for early Splash protocol users, specifically those who participate in the testnet activities. The rules will be announced after the testnet is concluded. This approach is adopted to prevent bot attacks.
Liquidity Incentives
32,000,000 SPLASH (32%) will be distributed to Splash liquidity providers within 7 years. The logic of the distribution is explained in the section below.
Supply & Inflation Schedule
Initially, 58% of the total supply (58,000,000 SPLASH) hits the market in the following form:
15% from the DAO Liquidity allocation - provided as liquidity to the ADA-SPLASH 20/80 pool
10% from the Voting Boostrapping allocation - provided as liquidity to the ADA-SPLASH 20/80 pool
30% from the Sale allocation
3% from the Rewards allocation
The remaining 32% of the total supply will be distributed to liquidity providers through smart farms. Initially, the daily inflation rate will be 32,000 SPLASH. After the first quarter (91 days), the inflation rate will decrease by 30%, resulting in an adjusted rate of 22,400 SPLASH. Subsequently, the inflation rate will decrease according to the rate reduction coefficient, which is set at 0.94524^(epoch_num - 1), every 91 days.
The total distribution will occur after 7 years.
This results in the following emissions schedule:
Release Schedule
All the above results in the following release schedule:
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