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Disclaimer: This article explores the tokenomics of the Kroma and is provided only for informational purposes. Itâs important to note that we are the creators of Kroma and have a vested interest in its success. Please be aware that this article does not constitute financial or investment advice, and readers are encouraged to conduct independent research and seek professional advice before making any decisions related to Kroma. Additionally, readers should recognize the cryptocurrency marketâs volatility, understand that Kroma evolves, and be responsible for compliance with applicable regulations. We disclaim any liability for losses arising from the use or reliance on the information in this article.
TL;DR
We are introducing significant changes to our tokenomics, including increasing the total supply of KRO tokens from 50 million to 1 billion, merging the WEMIX Community Fund and Community Airdrop Fund, and postponing the Token Generation Event (TGE) to Mid Q3. These changes are designed to simplify our structure and better serve our community.
Motivation
With the decision to discontinue the zero-start tokenomics, we took the opportunity to reassess our overall tokenomics. Our original tokenomics was overly complicated, prompting us to redesign it from scratch. While the details of each fund are still in progress, we believe in maintaining consistent communication with our community. Thus, we are sharing these high-level changes even as we continue to finalize the specifics.
Token Allocation at a Glance
Key Changes
Adjusting Total Supply from 50M to 1B
Previously, the maximum supply of KRO tokens was set at 50 million, generated at a decaying rate starting from 1 KRO per block. With the elimination of the zero-start tokenomics and the decaying model, we no longer need to adhere to this cap. Consequently, we have increased the total supply to 1 billion tokens.
This change will also affect the KRO rewards for KGH NFT holders. Adjusted rewards will soon be visible on the Kroma Guardian House website.
Including WEMIX Foundation Allocation to Investors, Increasing the Ecosystem Fund
The WEMIX Foundation has been a pivotal supporter and investor. We see no benefit in separating the WEMIX Foundationâs allocation from the Investorsâ allocation. Therefore, we have combined these allocations. While originally, the combined allocation for the WEMIX Foundation and Investors was set at 30%, we decided to reduce this by 5%, redirecting it to the Ecosystem Fund. This increases the Ecosystem Fundâs allocation from 38% to 43%, providing more resources to reward ecosystem contributors.
Allocating WEMIX Community Fund to Community Airdrop Fund
Many of you have noticed the 10% increase in the Community Airdrop Fund mentioned in our last article. This increase results from merging the WEMIX Community Fund and the Community Airdrop Fund, creating a unified Community Airdrop Fund with 17% of the total supply.
We remain committed to the WEMIX communityâââusers of WEMIX on Kroma will receive KRO airdrops based on their WEMIX Community Point (WCP) at TGE. However, splitting the allocation strictly between the WEMIX community and the Kroma community limits our capabilities to reward actual contributors to the Kroma ecosystem. By combining these funds, we can more effectively reward the actual contributors to the Kroma ecosystem.
Rescheduling TGE to Mid Q3
Given these extensive changes, we must reschedule the TGE to Mid Q3 to ensure meticulous and thorough implementation. We understand this is a significant decision and ask for your understanding, as it is made with the communityâs best interests in mind. The exact date of the TGE will be announced promptly once the schedule for the required tasks is clarified.
For KGH NFT holders, we acknowledge the delay in distributing $KRO rewards from June. To compensate, we are preparing additional benefits for them, with details to be announced within the next two weeks.
Last but not least, the specific details regarding airdrop eligibility and allocation will be disclosed in June.
Conclusion
These significant changes in our tokenomics reflect our commitment to creating a simpler, more effective system that better serves our community and ecosystem. We appreciate your patience and continued support as we implement these changes. Stay tuned for more information, and thank you for being an essential part of the Kroma journey.
About Kroma
As Asiaâs leading game-centric Layer 2 solution, Kroma is the first OP Stack rollup with an active fault proof system utilizing zkEVM. Kroma will transition to a universal ZK Rollup once the generation of ZK proofs becomes more cost-efficient and fasterâââusing our original modular ZK backend library, Tachyon.
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Redefining Kroma Tokenomics: High-Level Updates was originally published in Kroma on Medium, where people are continuing the conversation by highlighting and responding to this story.
Disclaimer
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