Tentative TruStory Tokenomics

DISCLAIMER: ALL TOKENOMICS ARE SUBJECT TO CHANGE. THE CONTENT OF THIS DOCUMENT IS TENTATIVE AND WE ARE LOOKING FOR FEEDBACK

TruStory’s token operates on a proof-of-stake blockchain network.

In a proof-of-stake network, entities known as validators run the software that powers TruStory. These validators collectively secure the network.

New tokens are minted on each block, a portion of which are rewarded to validators.

Users earn TRU for creating and curating content in the TruStory apps.

Initial allocations

The TruStory blockchain will start with an initial allocation of 20 million TRU:

Genesis accounts = 5,000,000 TRU

These are the early contributors and stakeholders in TruStory. These include the creators and community members. These accounts can also fund validator accounts.

User growth pool = 5,000,000 TRU

This pool will fund new user accounts of the TruStory app (mobile and web).

User reward pool = 5,000,000 TRU

This pool will fund interest rewards for users staking tokens on the platform.

Community pool = 5,000,000 TRU

This pool will fund growing the TruStory ecosystem. Governance over the allocation of these funds is intended to be distributed, where TRU token holders vote on community and development initiatives.

Inflation rate

TruStory will launch with an initial annual inflation rate fixed at 70%. Eventually, a governance vote will be able to change the rate of inflation.

Inflation funds will flow into 4 different pools.

Pool Allocations

Validator allocation = 25%

Community allocation = 25%

User growth allocation = 25%

User reward allocation = 25%

Pool allocation percentages are parameters that, in the future, can be modified by a governance vote.

User Incentives

Users earn rewards for participating in the TruStory web and mobile apps.

Rewards

Creating an account = 300 TRU

Creating an argument = 7 day deposit of 10 TRU with 105% annual interest rate

Up voting an argument = 7 day deposit of 20 TRU with 105% annual interest rate (split 70/30 between argument creator and curator)

User reward parameters, like all allocation parameters, can eventually be modified by a decentralized governance vote.

Validator Incentives

Validators are like miners in a proof-of-stake network. They are in charge of proposing blocks for the blockchain and providing security for the network. They earn rewards in two ways: by charging commission on transactions and proposing blocks.

TRU holders can decide to “delegate” their tokens to validators. Delegating entails handing over the right to make decisions such as governance votes to a validator. Delegators retain ownership of their tokens and earn rewards in TRU.

Validator rewards depend on how much each validator has staked, and how many validators are in the network.