Dhive Validator Token Tokenomics

Introduction

The Dhive Validator Token ($DHIVE) serves as the loyalty token within the Dhive ecosystem. Validators earn $DHIVE for securing the network, while token holders possess voting rights on critical protocol decisions, including network upgrades, protocol modifications, and ecosystem enhancements.

Token Issuance

• Maximum Supply: 10,000,000,000 $DHIVE

• Liquidity Pools: 70%

• Initial Nodes Allocation: 25% (locked)

• Validator Rewards: 5%

Economic Sustainability Models for $DHIVE

Secondary Loyalty Token Market

Businesses and brands that issue loyalty tokens and reach a market capitalization of $70,000 will be migrated to a secondary market. Additionally, a liquidity pool of $50,000 in $DHIVE will be established for these tokens. This initiative aims to create a more stable and liquid market for Dhive protocol users while enhancing overall liquidity within the ecosystem.

Validator Account Setup Fees

Every validator is subject to a fee, which is determined based on their earnings. These accrued fees are utilized to buy back and burn $DHIVE tokens, thereby supporting token value appreciation and maintaining a deflationary supply model.

Governance Participation

$DHIVE holders are incentivized to participate in governance activities. Token holders earn $DHIVE rewards based on their voting rights, which are proportionate to the total number of tokens they hold. Governance decisions include network upgrades, protocol modifications, and ecosystem enhancements.

Validator Nodes

Users must stake $DHIVE tokens to operate Validator Nodes and Guardian Nodes, contributing to network security and block production. In return, they receive rewards for their participation. A minimum stake of 1,000,000 $DHIVE is required to run a Validator Node.

This structured approach ensures the sustainability and growth of the Dhive ecosystem, fostering security, governance participation, and long-term liquidity.