Token Deflation & Burning Mechanism
To maintain the value of the platform token JU and enhance its scarcity to incentivize users to hold the token, the platform will implement the following deflationary and burning mechanisms:
Buyback and Burn: When 20% of JU’s total supply circulates in the market, JuCoin will use 20% of its quarterly profits to buy back JU tokens and permanently destroy them until the remaining total supply reaches 50%, at which point no further burning will take place.
Transaction Fee Burn: When users pay fees using JU tokens, a portion or all of the fee will be burned. This applies to transaction fees, staking management fees, lending, investment products, Red-Envelopes, and other scenarios.
Deflation and Burning Schedule
Fixed Period Burns: Based on quarterly profits, tokens will be bought back and burned, with the process being made public.
Dynamic Burns: The burn frequency will be adjusted dynamically according to market demand, trading volume, or platform profits.
Event-Based Burns: Tokens may also be burned during specific events, such as anniversaries.
Last updated