$SHARK Token & Tokenomics

The founders of Shark Protocol are advocates of decentralization and have designed $SHARK to maximize decentralization through its distribution and operations.

More than 70% of the tokens will be distributed to the following entities:

• 10% of the supply was initially used to raise liquidity in $OSMO and create a $SHARK-$OSMO pool through StreamSwap (a community based launchpad) and Osmosis.

• Another 10% was used to raise liquidity through the Migaloo Foundation and create the $SHARK-$WHALE pool on White Whale DEX.

• 10% of the supply will be distributed to various communities within the Cosmos Ecosystem via an airdrop in order to help decentralizing the ownership of the protocol and the token

• Players on Shark Protocol will be allocated 10% of the tokens over 5 years which is distributed via recurring missions

• $SHARK stakers and LP providers will get 17.5% of the tokens over 5 years as incentives

  • $SHARK staking serves as the mechanism that decentralizes Shark's operations, as there are numerous stakers involved. Without $SHARK staking, Shark Protocol would merely be a simple price prediction application. We will cover all the details in an upcoming section.

• Over-the-counter deals to form partnerships with different communities and projects. These tokens will primarily be used to increase liquidity and generate additional revenues for $SHARK stakers and players. This will use around 10% of the supply.

These are just a few elements of the tokenomics and all the details are presented below.

$SHARK Tokenomics

The tokenomics was first introduced in our Medium article.

The total supply of $SHARK is 100M tokens.

Liquidity [20%]:

• 10% for the initial liquidity bootstrapping event

• 5% matched with the Migaloo Foundation’s $WHALE liquidity

• 5% for $SHARK-$lsdSHARK liquidity

$SHARK Staking & LP Incentives [17.5%]:

• 17.5% over 5 years

Migaloo Foundation [10%]:

• 5% for initial liquidity

• 5% over 2 years

Airdrop [10%]:

• 3.5% initially

• 6.5% over 3 months

Emergency Fund [10%]:

• 10% will be used if unexpected events happen

• If nothing happens during the first 5 years, it will be distributed evenly between the $SHARK stakers and Marketing & Expenses

Marketing & Other Expenses [10%]:

• 5% during year 1

• 5% sporadically over the first 3 years

Team [10%]:

• Vested linearly over 2 years

Missions [10%]:

• Distributed linearly over 5 years

$RAC DAO Treasury [2.5%]:

• OTC and liquidity deals

• 2.5% during year 1