Is there a destruction mechanism for Gods Unchained (GODS) coins?

Gods Unchained employs a token-burning mechanism called "The Forge" and an "Influence Pool" to regulate the supply and incentivize the ecosystem.

Dec 24, 2024 at 11:06 pm

Key Points:

• Gods Unchained (GODS) implements a token-burning mechanism called "The Forge" and an "Influence Pool."
• The Forge burns a portion of GODS tokens used in-game for card crafting and upgrades, reducing the token's supply.
• The Influence Pool rewards GODS stakers with a proportion of token fees generated within the game ecosystem.

Gods Unchained's GODS Coin Destruction Mechanism

1. "The Forge":

• The Forge is an NFT-burning mechanism that permanently removes GODS tokens from circulation.
• Players can use GODS tokens to upgrade their NFT cards or craft them into more powerful versions.
• A percentage of the GODS tokens used in these in-game transactions are burned, reducing the overall supply.

2. "Influence Pool":

• GODS stakers earn rewards from the Influence Pool, which is funded by a portion of the GODS fees generated in-game.
• Fees from card transactions, GODS-to-ETH swaps on the Immutable X marketplace, and tournament rewards contribute to the size of the Influence Pool.
• Participants in the Influence Pool receive GODS tokens from the burned tokens and a portion of the Influence Pool's earnings.

3. GODS Tokenomics:

• GODS tokens are the governance token of the Gods Unchained ecosystem, allowing holders to vote on platform developments.
• The maximum supply of GODS tokens is capped at 500 million.
• The burning mechanisms in place aim to reduce the supply of GODS, potentially increasing its value over time.

4. Benefits of Token Burning:

• Scarcity Enhancement: Burning tokens reduces the supply, increasing token value by encouraging scarcity.
• Community Building: The Influence Pool rewards community participation and governance, fostering a sense of ownership among GODS holders.
• Long-Term Sustainability: Reducing token supply helps maintain the viability of the GODS ecosystem by preventing excessive inflation.

FAQs:

• Is The Forge a permanent mechanism?
  Yes, The Forge is a permanent fixture in the Gods Unchained game, ensuring that GODS tokens are consistently removed from circulation.
• How does the Influence Pool benefit stakers?
  The Influence Pool rewards stakers with GODS tokens distributed from the accumulation of fees and the reduction of token supply through burning.
• What percentage of GODS tokens are burned through The Forge?
  The percentage of GODS tokens burned varies with each card crafting or upgrade action. The specific burning rate is determined by the card's rarity and upgrade level.
• Can GODS tokens be re-issued after burning?
  No, once GODS tokens are burned, they are permanently removed from the circulating supply and cannot be reintroduced into the ecosystem.