$AMB and $BOND
Last updated
Last updated
The $AMB token is the native currency of the AirDAO ecosystem, powering the AirDAO blockchain. This Layer-1 network is designed to be fast, powerful, and ultra-secure, facilitating a wide range of transactions and governance activities within its ecosystem. $AMB is a:
Medium of Exchange: $AMB serves as the primary medium of exchange within the AirDAO ecosystem. It is used to pay for the gas fees necessary to execute on-chain transactions, ensuring the smooth operation of the network. This role is fundamental as it allows users to interact with the various ecosystem offerings like Kosmos Bond Marketplace and Astra DEX.
Store of Value: $AMB was built with a robust token economy that is designed to maintain the value of $AMB for the foreseeable future. Token mechanisms like hard supply caps and deflationary triggers make $AMB a great place to store FIAT.
Utility token for Staking and Rewards: $AMB is also used to secure the network through staking in validator nodes. Users can earn rewards for participating in $AMB staking on various different dApps in the ecosystem.
Governance Token: $AMB plays a crucial role in AirDAO's governance model. Users can lock their $AMB tokens to obtain vote-escrowed $AMB tokens, which grant voting power on proposals within the DAO. Additionally, users who lock their $AMB for governance purposes can earn a share of AirDAO's revenue, distributed quarterly.
AirDAO has a hard cap of 6.5 billion $AMB tokens. It is important to note that 50% of $AMB tokens will be community owned, to ensure governance remains with the community. The token is spread across multiple avenues to support the ecosystem's growth over the next decade. The current distribution is as follows:
Current Total: Approximately 1.5 billion $AMB tokens are currently in circulation or staked in the network.
Community Rewards: 1.8 billion $AMB tokens are allocated for community rewards, deployed automatically via smart contracts over a decade or more to validation providers and users of AirDAO's products.
Team Incentives: 0.85 billion $AMB tokens are reserved for team incentives, with a multi-year vesting schedule to align the team’s interests with the ecosystem’s objectives.
Investors: 1.5 billion $AMB tokens are allocated for investors, subject to a multi-year vesting schedule to ensure long-term sustainability.
Ecosystem Funding: 0.85 billion $AMB tokens are allocated to the Ecosystem Fund, managed by the AirDAO council. These funds are used to incentivize development within the ecosystem and are locked indefinitely until the DAO decides on their usage.
Below is a breakdown of the token supply:
AirDAO is committed to maintaining the long-term stability and value of the $AMB token through deflationary mechanisms. When users buy $AMB they can be sure they are buying an asset that will maintain its value for years to come. Some ways AirDAO will protect token value include burning a portion of the transaction fees and other strategic token burns, reducing the total supply over time and increasing the value of the remaining tokens. The value of $AMB will only ever increase as the supply is burned over time.
$BOND is a bonded version of $AMB that pays out at a later date, offering users an opportunity to earn higher rewards in exchange for reduced liquidity. Users can trade, sell, or hold $BOND tokens just like any other cryptocurrency. $BOND is tradable pre-expiry on the Kosmos Marketplace but not redeemable through AirDAO for $AMB until their expiry date. Once redeemed, $AMB can be traded for other digital assets, including other AirDAO ecosystem tokens or tokens from other projects entirely. This token is a compelling option for those willing to wait for larger returns, making it a great reward for long-term investors within the AirDAO ecosystem.
Gas refers to the unit that measures the amount of computational effort required to execute specific operations on the AirDAO network.
Since each AirDAO transaction requires computational resources to execute, those resources must be paid for to ensure AirDAO is not vulnerable to spam and cannot get stuck in infinite computational loops. Payment for computation is made in the form of a gas fee.
The gas fee is the amount of gas used to perform an operation, multiplied by the cost per unit of gas. This fee is paid regardless of whether a transaction succeeds or fails. On AirDAO, the native cryptocurrency $AMB is used to pay these gas fees, ensuring the network remains secure and efficient.
You can set the amount of gas you are willing to pay when you submit a transaction on AirDAO. By offering a certain amount of gas, you are bidding for your transaction to be included in the next block. If you offer too little, validators are less likely to choose your transaction for inclusion, meaning your transaction may execute late or not at all. If you offer too much, you might waste some $AMB. So, how can you tell how much to pay?
The total gas you pay is divided into two components: the base fee and the priority fee (tip).
The base fee is set by the protocol—you have to pay at least this amount for your transaction to be considered valid. The priority fee is a tip that you add to the base fee to make your transaction attractive to validators so that they choose it for inclusion in the next block.
A transaction that only pays the base fee is technically valid but unlikely to be included because it offers no incentive to the validators to choose it over any other transaction. The 'correct' priority fee is determined by the network usage at the time you send your transaction—if there is a lot of demand, you might have to set your priority fee higher, but when there is less demand, you can pay less.
