Tokenomics

Revised tokenomics for healthy ecosystem growth and an incentivized stakeholder community

With the launch of ATOM W3S imminent and a packed 2024 roadmap, we are excited to announce that we have made considerable changes to the tokenomics that underpin ATOM token.

This update is in an effort to satisfy both the future demands of our rapidly expanding ecosystem of infrastructure products and dApps, and also to ensure that our various stakeholders are appropriately rewarded for their support and participation in the Network.

Current ATOM Network Tokenomics

After the successful launch of the ATOM Network Mainnet back in May 2024, a 9% inflation rate was applied to the ATOM Network token, which came into effect from March 2025 due to block time production.

Whilst this number is not dissimilar to various other popular networks in the industry, we understand that high inflation rates can lead to economic instability within the network. By gradually reducing token inflation, we aim to create a more stable economic environment for our users, stakeholders, and the overall ATOM community.

ATOM Network Tokenomics

The revised mechanics behind the ATOM token highlight a proactive measure to ensure that our tokenomics remain adaptive to the evolving needs of the network and its participants, fostering a sustainable and balanced token economy.

ATOM tokens serve various functions within the network, including staking for security, rewarding node managers, and facilitating transactions. A controlled inflation reduction optimizes the utility of the token, ensuring it remains a valuable and versatile asset within the ATOM ecosystem.

Moreover, by reducing inflation, ATOM aims to enhance security and ensure a resilient infrastructure that can withstand potential security challenges.

A Commitment to Minimal Inflation

With 4 large infrastructure pillars in active development, Treasury tokens will be used in part to incentivize growth, adoption and expansion of our products:

  • ATOM W3S

  • ATOM W3AI

  • ATOM W3IPFS

  • ATOM W3Stream

Catalyzing growth of the ATOM Network developer and partner ecosystems will mean further utilization of the ATOM token. ATOM tokens will function as means of payment within dApps built on the ATOM Network, resulting in a flourishing and healthy network of dApps, developers and users plus a token with considerable utility.

We have worked hard in an effort to ensure a healthy future for the ATOM Network token; implementing changes such as programmatic token burns based on network usage and regular token burns in several areas.

Conclusion

The ATOM token serves an integral function within the ATOM Network ecosystem.

ATOM Network's success relies in part on a healthy and balanced token economy. Implementing regular token burns, in addition to reducing inflation, safeguards against potential issues associated with token oversupply. These measures contribute to sustaining a secure and sustainable ecosystem.

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