What is the issuance and circulation of Status(SNT) coins?

The initial distribution of Status (SNT) tokens included 30% allocated to founders, 30% to early investors, and 20% to community sale participants.

Dec 10, 2024 at 07:12 pm

Status (SNT): Issuance and Circulation

Overview

Status is a decentralized messaging platform built on the Ethereum blockchain. Its native token, SNT, powers the platform's ecosystem, enabling users to interact with each other, purchase premium features, and support the network's development. This article delves into the issuance and circulation dynamics of Status (SNT) coins, providing a comprehensive understanding of its tokenomics.

Issuance

1. Genesis Block Distribution:

Upon the launch of the Status Network in June 2017, a total of 600 million SNT tokens were created and distributed through a genesis block. These tokens were allocated as follows:

• Founders: 30% (180 million SNT)
• Early Investors: 30% (180 million SNT)
• Community Sale Participants: 20% (120 million SNT)
• Reserve: 20% (120 million SNT)

2. Subsequent Token Generation Events:

Following the genesis block distribution, additional SNT tokens were issued through subsequent token generation events, including private placements and public sales.

Circulation

1. Circulating Supply:

The circulating supply of SNT refers to the number of tokens that are currently in circulation and available for trading. As of January 2023, the circulating supply of SNT is approximately 3.4 billion tokens.

2. Locked Tokens:

A portion of the SNT tokens issued during the genesis block distribution was locked for various periods. These tokens are gradually released over time and contribute to the overall supply in circulation.

3. Token Burn:

Status Network has implemented token burn mechanisms to reduce the circulating supply. A percentage of the transaction fees generated on the platform is used to purchase and burn SNT tokens.

Token Use Cases

SNT tokens serve several essential functions within the Status ecosystem:

1. Network Fees:

SNT tokens are used to pay for network transaction fees. This includes sending messages, creating channels, and accessing premium features.

2. Messenger Subscriptions:

Users can purchase premium subscriptions using SNT tokens, granting access to exclusive features, enhanced privacy, and additional storage capacity.

3. Governance and Voting:

SNT token holders have governance rights and can participate in voting on proposals that affect the protocol's development and direction.

Token Distribution

1. Allocation to Contributors:

A significant portion of the SNT tokens allocated during the genesis block were distributed to contributors who participated in the project's early development.

2. Exchange Listings:

SNT tokens are listed on various cryptocurrency exchanges, enabling users to buy, sell, and trade tokens.

3. Decentralized Applications:

SNT tokens can be integrated into decentralized applications (dApps) built on the Status Network. Developers can use tokens within their applications for a variety of purposes, such as creating incentives, rewarding users, and facilitating transactions.