The token burn mechanism is effective in maintaining token scarcity and value, which enhances the long-term sustainability of the ELDA token.
Staking pools are well-designed, offering significant rewards and incentivizing long-term engagement, as evidenced by the rapid filling of the 30-day staking pool.
The decentralized governance model through ELDA DAO ensures transparency and community involvement, fostering trust and alignment with player interests.
The deflationary model and strategic burns have successfully removed over 10 million ELDA tokens, showcasing a well-planned approach to supply management.
The unlock schedule and supply strategy align with the game's economic model and development milestones, supporting its competitive positioning in the Web3 gaming space.
Introduction
Eldarune, a prominent Web3 gaming ecosystem, employs a deflationary token model to enhance the value and sustainability of its ELDA token.
The game’s economy is driven by strategic token burns, staking pools, and decentralized governance, ensuring long-term engagement and value for its community.
[1a][2a]This report will cover:
The token burn strategy and its impact on supply scarcity.
[1a]
The role of staking pools in maintaining token value and community engagement.
[2b]
The effectiveness of decentralized governance in aligning the tokenomics with community interests.
[2a]
Token Burn Mechanism
Eldarune employs a strategic burn mechanism to control the scarcity and maintain the value of ELDA tokens:
[1c]This mechanism is designed to ensure long-term sustainability by reducing the token supply as the game grows:
[1a]
A portion of ELDA tokens generated from in-game activities, such as purchases, upgrades, and competition entries, is permanently removed from circulation.
[1e]
Over 10 million ELDA tokens have been burned to date, contributing to the deflationary model and enhancing the token's long-term value proposition.
[1f]
The burn mechanism is integrated into the Journey game mode, where players risk losing NFTs for a chance to earn better rewards, further balancing the ecosystem.
[1g]
Staking Pools and Token Value
Staking is a central feature of Eldarune’s economic model, offering players the opportunity to earn rewards while supporting the ecosystem:
[2b]The staking system is designed to incentivize long-term holding and active participation:
[2b]
ELDA Runes NFTs provide staking boosts, increasing the Annual Percentage Yield (APY) based on the rarity of the NFTs held, ranging from 5% (Common) to 90% (Unique).
[3a]
A 30-day staking pool with a 100% APY was introduced, filling up with 5 million ELDA tokens within 24 hours, showcasing strong community engagement.
[4a]
The staking mechanism also includes a reward halving system, which has been temporarily postponed to compensate for maintenance downtime, ensuring fair compensation for users.
[3b]
Decentralized Governance
Eldarune’s decentralized governance model empowers the community to actively participate in decision-making processes:
[2a]The ELDA DAO ensures transparency and inclusivity, allowing token holders to influence the game’s direction and economic policies:
[5a]
Community members can propose ideas, vote on key decisions, and shape the future of the game, fostering a sense of ownership and engagement.
[5b]
The DAO mechanism is used for the development of key projects, such as Heroes of Eldarune, ensuring that community feedback is integrated into the game’s evolution.
[5c]
The transparency of the DAO mechanism ensures that all decisions and actions are recorded on the blockchain, building trust and accountability within the community.
[5d]
Conclusion
Eldarune’s token unlock schedule and supply management strategy demonstrate a well-planned and transparent approach, supported by a deflationary model and active community governance:
The game’s strategic token burn mechanism and staking pools contribute to its long-term sustainability and value proposition for players:
The token burn mechanism has successfully removed over 10 million ELDA tokens from circulation, enhancing scarcity and value.
[1f]
Staking pools, supported by ELDA Runes NFTs, incentivize long-term engagement and provide significant rewards, with APYs ranging up to 100%.
[4a]
The ELDA DAO ensures that the community has a direct voice in the game’s development, aligning tokenomics with player interests and fostering trust.
[5a]
