Programmable privacy network Aleohas announced its comprehensive tokenomics ahead of the mainnet launch. Accordingly, a total of 1.5 billion Aleo tokens will be available at the start of the mainnet. After the launch, the network’s consensus algorithm will automatically generate additional tokens to reward both provers and custodians, who are integral participants in the operation and security of the network.
Details of Aleo’s Tokenomics
According to the tokenomics announced, 34 percent of the initial supply of 1.5 billion Aleo tokens will be allocated to early supporters. The project recognizes the important role of early adopters, with more than a third of the tokens being allocated to those who support Aleo from the inception phase.
25 percent of the initial supply will be allocated to grants, ecosystem contributors, and education, while 17 percent will be allocated to employees and project contributors. 16 percent Aleo Foundation and 8 percent of the shares to be allocated to Provable will be allocated to strategic partners.
Supply to Increase to 2.6 Billion Units in 10 Years
On the other hand, staking and proof-of-work rewards will increase in circulation in the next decade. token supplyThe project is projected to increase its supply by approximately 75%, from 1.5 billion to over 2.6 billion tokens. This planned inflation of the project will be carefully managed to support network growth while maintaining economic stability.
Inflation rate is set to gradually decline, starting at 13.5 percent in the first year and decreasing to 1.6 percent by year 10. This gradual decline is intended to balance the need to incentivize participation in the network with the goal of long-term value preservation for token holders.
Aleo’s tokenomics planning reflects a holistic approach to network development, focusing on community engagement, developer support, and strategic growth. A significant portion of tokens will be allocated to early supporters and contributors, not only rewarding those who invest time and resources into the project, but also encouraging continued participation in its ecosystem.
Disclaimer: The information contained in this article does not contain investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
