The foundational premise of Autonomi asserts that larger network sizes correlate with enhanced performance and heightened security. However, the dynamic pricing mechanism, while effective in providing a supply-and-demand-based incentive structure that augments rewards as demand rises, operates retrospectively. In essence, rewards only increase once new demand has emerged. This retrospective nature can potentially delay network growth due to market inefficiencies. The time lag between increased prices and the subsequent generation of additional resource supply could impede network expansion and adversely affect user experience.
The emission of the remaining token supply, comprising 70% of the maximum supply, will serve as a forward-looking incentive mechanism, ensuring consistent and dependable rewards for participants. Specifically, 70% of the remaining supply (49% of the total supply) will be distributed to the nodes participating in data storage as storage emissions. The remaining 30% (21% of the total supply) will be reserved for the potential future utility of the network nodes.
The storage reward emission rate the day after the genesis is defined by the following formula:
Where:
is the maximum token supply, and
50% of the storage emissions will be distributed over a period of 9 years, while 90% will be distributed in approximately 30 years. The yearly inflation rate will start at approximately 10% in the first year and decrease gradually each subsequent year. It is anticipated that the significance of the emission-based reward will diminish over time, with node incentives eventually relying fully on data payment as the network matures.