Demand – who will want the Subsocial token?
Participants within the Subsocial ecosystem will need to acquire Subsocial tokens in order to interact with the platform. The following list outlines typical groups of people who will want tokens:
- Users will be required to use tokens to perform transactions, or to burn tokens to generate energy to perform transactions
- Developers of applications that wish to improve the UX of their application by paying the token fees for their users
- Content creators can use tokens to get their content promoted
- Users staking towards their favorite content and application creators to help curate the network and get rewarded
- People who want to participate in governance need tokens (this is to shape the development of the Subsocial ecosystem in a decentralized way)
- Users who want to get access to special content (private spaces)
- Collators need tokens to run a collator node for the Subsocial parachain
- Users who wish to purchase social tokens may need Subsocial tokens
Supply – who will be rewarded by the network?
There are certain participants within the network, known as collators, who produce blocks for the network, therefore these participants will be rewarded with Subsocial tokens. Creators of new content and applications on the network may also be rewarded via Creator Staking. Both of these, along with the treasury, will be rewarded via inflation, which is currently 1.58%.
We have also considered whether the following actors within our ecosystem should be rewarded with native Subsocial tokens, but may put the emphasis on these actors creating their own tokens on Subsocial. This means that spaces within Subsocial will choose how to reward the following:
- Content creators
Subsocial tokens have a number of different uses that we outline below. The main use for tokens will be burning them to create energy to perform actions on the network. Please note that some of these features are still in development.
- Performing transactions
- Creating energy
- Creator Staking
- Content monetization
- Selling or renting out your spaces or posts
- Deploying smart contracts
- Minting social tokens
- Voting in governance
See the Lightpaper for greater details.