TEDY Tokenomics V2

TeddySwap
4 min readNov 17, 2023

Our updated TEDY tokenomics is now live! In this article, we delve into our updated tokenomics, aimed toward optimizing the long-term efficiency of our project.

Contents

  1. Introduction
  2. TEDY Utility
  3. Tokenomics
  4. Final Remarks

1. Introduction

Welcome to our updated tokenomics.

Within the last 2 weeks, we’ve completed our incentivized testnet, released our comprehensive roadmap, and announced the initial details of uADA, our unique liquidity provision solution.

In the following days, we’ll announce our LBE and mainnet launch date, but prior to that, it’s time to dive into our refined tokenomics.

Our original tokenomics stated a total supply of 5 billion tokens.

The main alternations from our first version of tokenomics to the current version are a reduction to 8 million TEDY, slightly decreasing the allocation for yield farming, and increasing the allocation for our LBE and initial liquidity.

2. Tokenomics

Our new tokenomics is as follows:

There is a total of 8 million (8,000,000) TEDY tokens.

Allocation for TEDY is detailed below from largest to smallest:

  1. Yield Farming: 60% (4,800,000 tokens)
  2. Liquidity Bootstrapping Event (LBE): 10% (800,000 tokens)
  3. Team and Advisors: 10% (800,000 tokens)
  4. Liquidity: 5% (400,000 tokens)
  5. Developer Fund: 5% (400,000 tokens)
  6. DAO: 4.5% (360,000 tokens)
  7. Initial NFT Offering (INO): 4.5% (360,000 tokens)
  8. Fair Initial Stakepool Offering (FISO): 0.5% (40,000 tokens)
  9. Marketing and Airdrops: 0.5% (40,000 tokens)
TeddySwap Tokenomics

Emissions

Upon launch, we estimate that approximately 20% of the tokens will be in circulation. Over the long term, this is anticipated to diminish the overall selling pressure by avoiding sustained, significant emissions.

TeddySwap Emissions

Vesting

TeddySwap Vesting

Liquidity Bootstrapping Event (LBE)

In the upcoming days, we will provide comprehensive details regarding our Liquidity Bootstrapping Event (LBE) and the mainnet launch.

3. TEDY Utility

TEDY utility will have these two primary methods: Revenue and Governance.

Revenue

Revenue generated by the platform will go to the TeddySwap DAO and be distributed to TEDY stakers.

We currently have 3 forms of revenue planned, including:

  • 1. Swap fees — Each time a swap occurs via the UI, a 1 ADA swap fee is accrued. Each month, this revenue, generated in ADA, will then be distributed to TEDY stakers.
  • 2. Share of batching fees — anyone will be able to run batchers and earn fees. In the future, this fee from batchers will be split between batchers and the TeddySwap DAO.
  • 3. Staking rewards — other forms of revenue include ADA from staking rewards of LP pairs. This revenue will go to the TeddySwap DAO and be distributed to TEDY stakers.

Outside of these immediate and future revenue avenues, our platform is being crafted to optimize this revenue by incentivizing consistent activity through various mechanisms including important ADA/stablecoin trading pairs, trading competitions and uADA, our unique liquidity provision solution.

Governance

TeddySwap operates as a decentralized autonomous organization (DAO), empowering TEDY token holders to influence the future trajectory of the TeddySwap protocol.

Significant decisions, such as fee structures, supported tokens, yield rewards on the platform, and the allocation of treasury funds, will be subject to determination by TEDY holders.

TEDY tokens represent a 100% governance stake of the TeddySwap protocol.

Airdrops

As we prepare for our mainnnet launch, we have curated this airdrop and rewards tracker, highlighting all rewards available to community members. All airdrop rewards will be vested after our mainnet launch. Forms of token distribution include early airdrops, Spectrum Finance Community airdrop, Incentivized Testnet, and FISO.

Each of these token distributions will be subject to a vesting schedule, the details of which will be finalized shortly. Our primary focus will be on establishing vesting schedules for Teddy Bears Club NFT holders, as their support played a pivotal role in funding and constructing our platform.

Final Remarks

Thanks to our community for your support as we strive to launch our next generation decentralized exchange, focused on a world-class user experience and being the home for Cardano stablecoins.

Thank you for joining us on our journey as we prepare for our LBE and mainnet deployment.

For more information on TeddySwap:

Website | Twitter | Discord | Docs | Github | Linktree

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