What is $NOM?
Onomy has inspired a global set of contributors and community members across the globe to launch an ecosystem that is decentralised from day one, inclusive of an on-chain DAO-governed treasury.
$NOM, as the native coin, underpins the Onomy ecosystem, so here’s everything you need to know.
What Does $NOM Do?
In short — transaction fees, rewards for helping to secure the network via PoS staking, governance, as well as ‘right to mint’ model for stablecoin issuance, buy-and-burn, other multiple tie-ins within Onomy’s products as highlighted in Onomy’s Improvement Proposals.
When NOM holders delegate their NOM to a validator, they are staking. Staking provides rewards in return for delegating to validators who support the security and operations of a blockchain network. To learn more about delegating your stake to validators for securing the network, read the documentation.
Onomy is governed by the Onomy DAO, providing NOM holders with the opportunity to guide the decision-making process through NOM-weighed votes. Read more about governance here.
A DAO (Decentralized Autonomous Organization) is an organization represented by rules encoded as a transparent computer program, controlled by the organization members, and not influenced by a central governing body. As the rules are embedded into the code, no managers are needed, thus removing any bureaucracy or hierarchy hurdles. There is new functionality integrated into the governance module of the Cosmos SDK. A DAO Wallet has been created to hold the entire protocol treasury of funds, further decentralizing management and enabling NOM token holders to participate meaningfully in not only the direction of Onomy — but its use of funds as well. In doing so, the Onomy Network has a decentralized and “on-chain” Foundation governed by NOM holders.
Buy & Burn from AMM Earnings
AMM earnings are used in two ways. Firstly, to pay the respective portion of AMM earnings to liquidity providers. Second, to programmatically purchase NOM and then burn the purchased NOM from the supply. This is done with no management by any central party, nor the DAO.
This functionality is incentivized by providing a programmatic reward to any user who executes the buy and burn function — thus decentralizing this action and creating a competitive market amongst users to execute the function to receive the reward.
$NOM Markets and Availability
$NOM is obtainable by swapping $ETH for bNOM via the Onomy Bonding Curve, then bridging to the Onomy Network for mainnet $NOM, with the $bNOM being burned.
$NOM can then be used for all of its utility described, and users may bridge $NOM to various blockchains integrated into the Arc Bridge Hub.
$NOM is also available on KuCoin and Bitfinex.
The Onomy Network has a genesis supply of 100M NOM, distributed as such:
- 45% in on-chain Treasury managed by DAO
- 20% Ecosystem to support market makers, validators, exchange listings, incentives, and more
- 20% to Early Backers and Partners
- 15% Team and Advisory
Backer, team, and advisor tokens are vested for 24–36 months, with a 12 month cliff, whereas DAO tokens are only usable following successful DAO governance votes, with the system programmatically funding proposals when approved, with no central key management by any Onomy contributor.
The $NOM supply will increase from inflationary rewards and bridges from the bonding curve.
P.S. Are you a NOMad coming from that very specific website we won’t name so you won’t CTRL + F for the password? Congrats! The password is SecretNomadSociety .