Pinknode Token Utility — Part 1
A token utility plays a critical part in any platform’s ecosystem, and this is no different for Pinknode. Our team has meticulously developed a token model that aligns the incentives of our users and community to Pinknode’s vision while providing long-term value for our token holders.
PNODE will become an essential piece of the jigsaw within the Polkadot ecosystem and provides the foundation for what the team seeks to achieve in the future. It enables the Pinknode community to extract and retain value within the platform, while being able to voice and enact their opinions through our governance feature.
As we slowly unlock the utility of PNODE, we would first like to provide a sneak preview of one of the many values that PNODE holders can expect going forward.
Polkadot’s Parachains & Collators
Parachains are supported by a network maintainer known as a collator. The role of the collator node is to store a full copy of the parachain, retain all necessary information of the parachain, and produce new blocks to pass to the Relay Chain validators for verification and inclusion.
The incentivization of a collator node is an implementation detail of the parachain. Parachains may have their own economies with their own native tokens and it may be the choice of the parachain to implement a staking token to incentivize collator.
The PNODE Token Utility #1 — Staking & Airdrops
Parachains are going live on Kusama and Polkadot, and as Pinknode begins to run collator nodes for different parachain projects, Pinknode’s community can potentially benefit from collator rewards in the form of parachain’s native staking tokens. PNODE holders who choose to stake their tokens will be rewarded with a portion of this bounty, via airdrops. This will incentivise PNODE holders while simultaneously giving our community additional value and yield.
As Pinknode onboard more projects in the future, there is no limit to the variety of airdrop tokens that could be rewarded to $PNODE stakers. This unlocks an immense value to our token, which grows together with our ecosystem and our community. However, the exact mechanics and rewards structure has yet to be determined, and more information will be released in the near future.
Just like our infrastructure superhigh way article, we see these nodes operating as toll gates. “Charging” a fee by securing and maintaining the integrity of the roads and highways, simultaneously increasing the efficiency within the infrastructure. The “fees” obtained translates into rewards gained from running the collators on these parachains, which is then passed on to our “infrastructure owners”, the PNODE holders.
Token Utilities to look forward to
Above is a snippet of one of our token utilities. As the team continues to BUIDL and achieve our roadmap milestones, PNODE holders can expect several additional utilities that include, but not limited to:
- Access: By staking PNODE, users and developers will be able to access its comprehensive API suite and other services
- Affordable alternative: A modest quantity of PNODE could be burnt at regular intervals for developments that require large scale Pinknode implementations. This could significantly reduce the financial burden from recurring costs
- Governance: In time to come, Pinknode may allow PNODE to serve as a governance token to influence the direction of the developments within its ecosystem
$PNODE Tokenmetrics and Distribution Model
- Total Supply: 200,000,000 $PNODE tokens
- Initial Circulating Supply: 16,776,190 $PNODE tokens (13.45%)
$PNODE Vesting Schedule
Foundation Reserve: 6 million locked, 12.5% quarterly over 2 years
Liquidity Fund: 8% unlocked, 6.33% month over 15 months
Partnerships & Grants: 2 million locked, 5% monthly
Team & Advisors: 9 million locked, 25% quarterly over 12 months
Ecosystem & Marketing: 3% unlocked, 8.08% monthly over 12 months
Seed: 20% unlocked, 13.33% monthly vesting over 6 months
Private Sale: 25% unlocked at TGE, 25% monthly over 3 months
Public Sale: 50% unlocked, 50% after 7 days
Pinknode is a Polkadot-only Infrastructure-as-a-Service project with the goal of accelerating adoption and empowering innovators to create on the most promising Web 3.0 meta protocol. By providing API endpoints through a streamlined onboarding process and maintaining secure, reliable and scalable node infrastructure, Pinknode helps innovators jumpstart development quickly and accelerates product life cycles.