Decentralized Binary Options Platform BIOPset: Token Distribution + Rewards System Explained
One of the most critical elements to the success of nearly any cryptocurrency or DeFi endeavor is in how it approaches tokenomics.
It’s useful to think of tokenomics as the monetary policy of the crypto world.
It can impact user adoption, token valuation and more.
In much the same way a country’s monetary policy impacts the usage, value and more of its currency.
In this post, we’ll discuss the token distribution and (launch period) rewards system for BIOPset, the world’s first decentralized binary options trading platform offering instant access and no holds on speculator funds.
(It’s underlying asset is Ethereum, or ETH)
Besides being a first of its kind, BIOPset was recently featured on Hot New Crypto’s top 20 list.
Let’s take a look at the token distribution and rewards.
BIOPset Token Distribution
Before getting the breakdown, it’s important to mention the major purpose of holding the BIOPset token — to participate in protocol governance.
Approximately 125 billion standard ERC-20 tokens will be issued, the majority of which is slated for early adopters.
60% in fact.
These will be distributed via BIOPset’s transaction mining mechanism.
Essentially, every user interaction within the BIOPset platform leads to receiving a certain amount of BIOP token rewards.
Here is the first important breakdown:
- Bonding Curve Offering — 32% of the BIOPset tokens
- Transaction Mining Rewards — 60% of BIOPset tokens
- Developer Fund — 8% of BIOPset tokens
If you are unfamiliar with the term Bonding Curve Offering, it is a mathematical formula which establishes the relationship between a token’s price and its supply.
It’s both automated and customizable.
More and more DeFi project developers are leveraging the Bonding Curve Offering to both achieve efficient distribution of their token and establish sound incentives for a project’s earliest adopters.
BIOPset has elected to use the BCO with these advantages in mind.
Moreover, as BIOPset’s v3 launches, earliest adopters of v1 and v2 can be assured that their tokens are easily exchanged for v3 tokens.
Now, here are the Token Specifications for BIOPset:
- Token Ticker — BIOP
- Token Type — ERC-20
- Token Supply — 125,000,176,512
The next important question:
What type of participation is possible on the BIOPset platform?
BIOPset Participants: Traders, Writers, Interventionists, & Governors
The BIOPset approach to decentralized options trading features four key participants, or players.
The Trader. The Writer. The Interventionist. & The Governor.
The Trader speculates on whether the price of Ethereum will go up or down. They buy the binary options.
The Writer passively sells binary options, as apart of a pool composed of a multitude of sellers. They are the Liquidity Providers of BIOPset.
The Interventionist acts on behalf of options traders by exercising an ITM option (or, In-the-money) or on behalf of liquidity providers by expiring an OTM option (or, Out-of-the-money).
(NOTE: an interventionist earns a fee for performing the last mile action needed, without needing to expose any funds of their own)
The Governor is responsible — along with other Governors — for parameter-tuning to ensure yield equity for Liquidity Providers as well as for the long-term success of the platform.
These four roles power the BIOPset decentralized options trading platform.
To learn about the compensation possibilities for these roles, go here.
In addition, however, these participants gain rewards in the form of BIOP tokens for every interaction they make with the platform.
BIOPset Transaction Rewards
Here is a breakdown of the launch period transaction rewards for each role:
- Writing (over 2 ETH) — 480 BIOP
- Writing (under 2 ETH) — 240 BIOP
- Trading (any amount) — 160 BIOP
- Intervening — 8 BIOP
These reward levels represent 4X the amount of standard rewards.
The standard transaction rewards for each role are as follows:
- Writing (over 2 ETH) — 120 BIOP
- Writing (under 2 ETH) — 60 BIOP
- Trading (any amount) — 40 BIOP
- Intervening — 2 BIOP
The BIOPset approach to decentralized binary options trading is novel, trustless, requires no KYC, and as mentioned, offers instant access and no holds for speculator funds.
And there are opportunities to participate at any level.
Head here to get started with binary options on the BIOPset platform.
To follow along with its development, follow BIOPset on Twitter.
You may also join BIOPset’s growing Discord channel here, should you have any questions and want the very latest updates.
NOTE: This post is not to be taken as investment advice, and there is significant risk in participating on the BIOPset platform and with options trading in general. Moreover, be sure to perform your own due diligence and ensure that options trading is allowed wherever you reside in the world.