In order for a blockchain to properly work, it is vital to have a suitable token economy in place. Network participants should be incentivized to facilitate transactions and preserve the security of the protocol.
In our case, DUSK is the fuel of our Network, and businesses use DUSK to pay for these network services. As transaction fees alone are expectantly not sufficient enough to power the entire Dusk Network from the beginning, participants are additionally rewarded with newly minted DUSK.
Insights & Highlights is a supplementary document to the Dusk Network Economic Paper, providing additional exposition and context to the data contained therein. We highly recommend consulting this document for a proper understanding of the dynamics of the Dusk Network tokenomics.
The Economic Model Paper presents a host of data, including the emission schedule for block rewards, the allocation of development funds among predetermined segments, the expected block times, the Mainnet Staking requirements, and Mainnet Return on Investment (ROI) estimations. Above all, it contains a lot of math and details the network assumptions behind our tokenomics.
DUSK powers much of the functionality of Dusk Network and interplay between the chain and nodes. As the network operations and security relies on its participants, it is paramount for there to exist a detailed schedule and allocation plan to secure the longevity of the Dusk project for decades to come.