Introducing the Anatomy of $FORM Triple Utility

This article covers the utility and economics of the $FORM token

SUMMARY:

• $FORM entitles its holders a right to vote and a portion of future net income generated by the protocol for staking;
• $FORM holders will have exclusive access to the secret Dark Pools, only accessible to the members of the Formation Fi ecosystem; and
• The economics of the $FORM token have been formulated to reward the long-term interests of key stakeholders and demotivate short-term speculative behaviors in the ecosystem.

THE ANATOMY OF A TRIPLE UTILITY

$FORM is a governance token with reward. Simply put, it provides a right to vote and future income to its holders who stake their assets. While such functionality is nothing new in DeFi, we’d like to bring your attention to the specific combination of three utilities which make $FORM unique.

GOVERNANCE: $FORM token holders will be able to vote on many issues related to the critical functioning of the ecosystem, such as approving budgets, new partnership proposals, and changing certain parameters of monetary policy. Because Formation FI executes on the idea of Progressive Decentralization, which we will explain later in another Medium post, the DAO governance structure will be deployed over time on a step-by-step basis.

REWARD: $FORM token holders will receive rewards in $FORM when they provide liquidity to the ALPHA, BETA, GAMMA, and PARITY indices. A full 50% of the revenue collected through the protocol will be distributed proportionally to $FORM token holders who provide the liquidity. The other 50% will go to the Operational Treasury until the weekly maximum is reached, after which all excess profit will be burned as a deflationary measure. (Token holder profit will never be burned.)

SPECIAL MEMBERSHIP TO DARK POOLS: $FORM will offer its holders special member-only access to secret liquidity generation pools which harness the wisdom of the crowd to incubate and fund the most promising new DeFi projects

On dark pools, Form token will offer its holders a special member-only access to secret liquidity pools. Details will be revealed to those who possess the ability to recognize its power.

THE COMMITMENT TO LONG-TERM VALUE CREATION

The initial maximum supply of $FORM is 1,000,000,000 tokens.

30% of the initial total supply will be released to users as a reward when V1 is fully released with cross-chain capabilities, within the first 12 months of launch.

The remaining 70% will be released algorithmically over the ensuing 5 years.

After the 250,000,000th $FORM token is released (equivalent to 40% of the allocation for initial depositors and liquidity providers), the supply will begin to expand at 2% per year, in order to absorb the growing demand for the $FORM token and to bolster the Ops Treasury to further fund the growth of the protocol. This, and other parameters, will be adjustable via governance votes.

$FORM token economics are designed with long-term value creation in mind. We believe that great things take time to build properly and will require long-term commitment from the team.

10% of the total supply is reserved for the future security and maintenance of the network. This reserve is set aside to financially incentivize the future dev team, core investment and research professionals necessary to bring unparalleled capabilities to the ecosystem. This reserve represents the ultimate expression of the founding team’s desire to grow Formation FI into the pre-eminent DeFi protocol for future generations.

Unlike many other DeFi projects, the vast majority of the proceeds from $FORM token sales will go into developing the technology and ecosystem development. We believe that one of our core competences will be our technology and its on-going evolution and advancement to the very top in DeFi.

CONCLUSION

Formation Fi is built to last. We’re not going to promise you that the bull cycle will last forever — it won’t. But neither are we trying to scare you into believing the crypto winter will leave your wallet rekt beyond repair. Things will come out somewhere in between.

What we can promise you, however, is that we will work our tails off to grow your money no matter what the market condition is. Because the utility and the economics of $FORM align the interests of the key stakeholders (i.e., YOU) with the long-term vision of the ecosystem (i.e.; US). We are here for the long haul, and you can be too. Together, we will grow and make money through thick and thin.

Join us in this journey to the Land of Absolute Return.

Stay tuned for more info and follow us at:

Twitter: https://mobile.twitter.com/FormationFi

Telegram: https://t.me/FormationFi

Website: https://formation.fi/

Telegram ANN: https://t.me/FormationfinanceAnn