The Verox ecosystem is powered by VRX, an ERC-20 token that acts as the fuel of the Verox ecosystem. The code for the VRX token has been audited by solidity.finance and received a passing score. View the audit results here.
Tokenomics refers to the economics of tokens. There are over 4,000 cryptocurrencies currently, so what determines the price for a token?
When designing Verox, great care was put into the study of Tokenomics, with the goal of designing the Token Allocation to achieve the maximum return for investors.
The first aspect of Tokenomics is the use case. The use case for VRX is to act as the fuel for the Verox Ecosystem. All users who use the VeroxAI App, and the Verox DEX will have to acquire VRX to use the services of AI-powered trading signals, DEX trading, voting within Verox ecosystem, and more.
In addition, new tokens listings fees on Verox DEX will be paid with VRX tokens only. On top of the demand to acquire VRX to use Verox services, holders of VRX can earn rewards of 18% APY via staking. Staking helps to benefit the overall network.
The projected demand for VRX is high - the Verox project is massive in scope, and has a very talented team behind it. The ability to use artificial intelligence and machine learning for trading is in very high demand, and Verox makes it easy to gain access to this data. Both professional and beginner traders will benefit from Verox.
Liquidity refers to how easily an asset can be bought and sold on the open market. Without liquidity, no market can exist. For new projects, liquidity is especially important.
The Verox team has committed to providing liquidity for VRX, and has locked liquidity into a smart-contract on TrustSwap. TrustSwap is the leading decentralized liquidity-locking solution in the DeFi market.
Even with a great use case and high demand, if the Token Allocation is designed poorly, the price of the asset will remain low. This effect can be seen across a number of cryptocurrency projects, with projects that have good token allocation reaching higher prices.
The number of coins available, whether the token is inflationary or deflationary, locked liquidity, and more all play a role in how the market prices an asset. The Verox team has taken great care to design the token allocation in a way that brings the maximum benefit to investors and users of Verox.
Pie chart showing the original token allocation for Verox.
The original token allocation specified a maximum of 50k tokens to be distributed based on the chart above. Through token-burning, the maximum tokens has been lowered to 47.5k tokens.
- 70% of VRX tokens allocated to the presale. This works out to 35,000 VRX tokens
- 23% of VRX tokens allocated to Staking & Liquidity. This works out to 11,500 VRX tokens.
- 2.9% of VRX tokens allocated for Core activities reserve. This works out to 1,450 VRX tokens (burned)
- 2% of VRX tokens allocated for Marketing. This works out to 1,000 VRX tokens
- 2% of VRX tokens allocated for Team tokens. This works out to 1,000 VRX tokens (burned)
- 0.1% of VRX tokens allocated for Airdrop. This works out to 50 VRX tokens.
After the presale, the Verox team decided to burn 2,500 VRX tokens. This lowers the number of tokens available, making VRX even more rare and valuable. The current maximum amount of VRX tokens is 47.5k VRX.
In order to use the features of VeroxAI app, users will have to acquire and pay with VRX token. This results in a demand for VRX, increasing it's value.
Another important factor in the value of a token, is the number of tokens available. The lower the amount of tokens, the more valuable each token becomes.
Verox has committed to burning 5% of all VRX payments processed through VeroxAI. The burning of tokens will happen every quarter, until 2,500 VRX are burned.