Bifrost Native Coin (BNC) is the core token behind the Bifrost protocol. Coordination between governance token holders and protocol stakeholders is critical to successful decentralized governance, and BNC is the vehicle that facilitates this coordination. BNC or veBNC can be used to participate in Bifrost's OpenGov voting.
Total Supply: 80,000,000 BNC with no inflation.
BNC allocation has different proportions of vesting, as shown below:
40,000,000 BNC were allocated to the Ecosystem Fund.
3,000,000 BNC were allocated for the Kusama Crowdloan, incentivized BNC as reward for Kusama parachain Crwodloan and auction.
11,000,000 BNC were allocated for the Polkadot Crowdloan, incentivized BNC as reward for Polkadot parachain Crwodloan and auction.
18,000,000 BNC were allocated for the vToken & veBNC Incentive. The release of ecosystem distirbution depends on (release in each cycle = TBA blocks about one month):
Please note, vToken/ veBNC Incentive is activated releasing by the following events, “vToken/ veBNC Incentive Distribution” will explain how they are distributed in the following.
- New vToken minting
- Total volume of staked vToken
- veBNC minted volume
In order to prevent the release amount from being too concentrated in a period of time, set a hard cap on the release amount of each cycle.
The capped releasing volume in each cycle: TBA BNC
When the basic release amount + dynamic release amount > release hard cap, release according to the hard cap amount.
Specific release calculation and estimation reference table:
The released vToken / veBNC Incentive will be distributed mainly in the following three forms:
- vToken LP Farming
- vToken Single Token Farming
- veBNC Boost Farming
The incentives for these main scenarios are distributed through the Farming pallet, and the distribution process is as follows:
- 1.Secondary distribution of the total release incentives in the current cycle:
- TBA% vToken LP Farming Incentive
- TBA% vToken Single Token Farming Incentive
- TBA% veBNC Boost Farming Incentive
- 2.Users can use veBNC to vote for the designated Farming Pool, and the veBNC Boost Farming incentive part will distribute incentives based on the voting percentage of each Pool.
- 3.The system conducts an incentive statistics and transfer before the start of the next cycle, which base on: the total amount of incentives in the next cycle / 216,000 blocks Calculate the reward release speed of the Farming Pool in the next cycle, and implement related settings through governance.
4,000,000 BNC were allocated for the Collator Incentive. Parachain collators maintain parachains by aggregating parachain transactions into parachain block candidates and producing state transition proofs (Proof-of-Validity, PoV) for validators. When the reserved BNC incentives are drained, the subsequent incentive will be allocated by governance, from the Treasury income.
4,000,000 BNC were allocated for the Slash Insurance Fund. When a Slash occurs, the protocol income in the Treasury will be used for compensation first, and the Slash Insurance Fund will be used when the Treasury income is insufficient.
16,000,000 BNC were allocated for the initial development team. The allocation for the initial development team was started linerly unlocking for 2 years since 180 days (half of a year) after TGE (circulation day).
1,600,000 BNC were allocated for Mint Drop. "Mint Drop" is a series of campaigns launched by Bifrost to stimulate vToken minting. The BNC incentives for Mint Drop have no vesting.
8,000,000 BNC were allocated for the Treasury. BNC in the treasury can be spent on any relevant use cases of Bifrost ecosystem construction through governance, including but not limited to: Grant, Hackathon, Integration, Marketing Campaign and etc.