We’ve been getting many questions about the role of Gala tokens in Zeepin Chain.
ZPTs are fairly straightforward — they’ll be used for asset exchange, as well as working with the core applications. Gala still remains a mystery for many new Zeepiners, though.
Since we’re closer than ever to mainnet launch, more people want to know about the economics at play in the various dApps as they join this growing community. The dual token system also isn’t something everyone is familiar with, so some confusion is understandable.
This is why we decided to explain the role of GALA tokens in detail, outline their use cases as well as answer most common questions about our token economics.
What do Gala tokens do, exactly?
It’s often assumed that Gala is some sort of secondary token to ZPT and plays a minor supportive role in the ecosystem. That’s not really the case. At least, not in the sense of one being superior to the other. Both are native coins for the Zeepin Chain.
They’re complimentary, for sure — but neither takes a first or second place.
Gala is a utility token that has a wide variety of uses in the ecosystem. All ZPT holders will receive certain amounts of them on a regular basis in order to power their Smart Contracts and transactions. The closest equivalent is NEO and its use of GAS, but Zeepin token economy has some foundational differences. Use cases for GALA are highly diverse as well.
Some of such use cases that we can talk about right now:
- Zeepin Smart Contract deployment.
- Network consumption fees, enabling transactions.
- CryptoGalaxy universe exploration, purchasing planets, and so on.
- Internal uses in fueling current and future Decentralized Applications (dApps).
- GalaCloud interactions — payments for use of Blockchain cloud storage, as well as hard drive mining rewards, transactions, etc.
GALA is crucial for Zeepin Chain day-to-day operation and we’re actively working on new applications for both of the main forms of currency. This is especially important at a time when many projects fail due to lack of real world applications for their tokens and daily use of their technology.
At Zeepin, we understand the need to provide clear value for all assets in the new economy, especially considering they’ll further be used by millions of creators and entrepreneurs around the globe to power their businesses. We closely follow industry trends to provide such value.
Making sense of coin/token value
Let’s delve into such trends in order to understand the thought process behind ZPT and GALA.
Cryptocurrency market is highly volatile and speculative, but over time long-term investors always win out with emerging technology. To illustrate this, in 2011 Bitcoin first hit parity with USD and could be exchanged at a rate of 1 BTC for USD.
Then just 6 years later, in 2017 it hit the all-time high at $19,783.
Where do the massive gains for BTC between 2011 and 2017 come from? Can they be replicated?
At the time of this article being published, Bitcoin trades at around $6400.
We’re far from the all-time high, but with all the drama of the current bear market, we have to remember that in general, cryptocurrency adoption rates are still going up.
More people are joining the market, becoming familiar with the technology and its uses. Sure, some of the short-term traders exit and don’t come back after losing out, but the long-term trend is undeniable. So the perceived value of Blockchain solutions is bound to increase.
Just having innovative technology in 2018 isn’t enough, which is why the market is weeding out the projects that have no real world uses. We pose that only projects with real, thought out token economies and flexible uses can make it through the current storm on the market and lead the way in the future. Similarly to what happened with Bitcoin over the described 6 years.
This is the thought process behind making the Zeepin economy accessible and easy to use for any entrepreneur, small business owner, freelancer, and consumer in the creative industries. More details on how the chain works can be found here.
Going into the future, value of any coin or token will come exclusively from its adoption rate and use cases. This is why we focus on these two aspects of our project and make sure that ZPT and Gala are clearly understood by all Zeepiners.
With this in mind, let’s go back to Gala and some feedback we’ve been receiving:
Concerns about Gala token supply.
There will be a total of 100 billion Gala released over the course of 18 years.
This seems like quite a lot and Zeepiners are rightly voicing concerns about the feasibility of this as well as potential for inflation, exchange flooding, and similar. However, it should be understood that Gala is first and foremost a utility token.
It’s supposed to be ubiquitous and used for community rewards and network consumption.
Since these tokens are used for day-to-day operations and actively power the entire system, there will always be demand for Gala. Moreover, this demand will keep increasing over time as new use cases for the token are developed with Zeepin dApps, games, and so on.
Gala supply will be gradually unlocked following the economic model outlined in our Whitepaper. It will take years for all tokens to go into circulation, and the ecosystem is going to grow and improve while this process is in motion.
Zeepin Chain token economics are heavily tied to current trends in technology and Blockchain adoption, which is why we believe the value of the ecosystem overall will drive the value of each individual form of currency inside. The same also holds true for all dApps on the chain and any assets encoded in the GalaCloud distributed storage system.
Which will be one of major uses for GALA starting 2019 — it’s a Blockchain-based cloud storage system that solves the issue of data ownership by giving creators full control over all their assets.
The system will be based on interconnected GalaBoxes that will encrypt and store information that will later be dispatched throughout the network by GalaHub servers.
Currently we give GalaBoxes away for free to all ZPT holders willing to put their tokens into storage for a period of 18 months. You can learn more about the crowdfunding campaign and get your own GalaBox here.
All successful transactions within GalaCloud will distribute rewards in Gala tokens to the owners of GalaBoxes and operators of the GalaHubs. Participating in this campaign serves as a good way to learn about the interplay between the main Zeepin coins and find out how the new economy for the creative industries is going to look like.
Zeepin Chain mainnet goes live on August 31, information about the token mapping process can be found here.
Because of the upcoming launch, many Zeepiners want a better understanding of our token economics and specifically the role of Gala tokens in Zeepin Chain.
Gala is a utility token with many uses throughout the ecosystem, including but not limited to Smart Contract deployment, dApp functionality, network day-to-day use fees, as well as various uses in the CryptoGalaxy game.
We believe that adoption rates and use cases are going to drive the value of all Blockchain products going forward, which is why we specifically built our token economy around ease and multiplicity of use. Gala tokens will be released gradually — despite their high volume, demand will increase over time through various use cases and added value propositions.
The easiest way to get first-hand experience with Gala is to participate in the GalaCloud campaign and get a free GalaBox or sign up to be a GalaHub operator. More information on how to do this and what GalaCloud is can be found here.
We hope that this article answered most of your questions about Gala and its role in our upcoming mainnet. August has been a very exciting month for Zeepin, and we want to thank our community for all the warm support our latest announcements received.
We enjoy answering your questions, Zeepiners. You taught us a lot, and we look forward to learning more from you every day.
News Channel: https://t.me/ZeepinNews