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Crypto Daily
2025-02-03 18:55:38

TAN’s Inflation Protection Model Keeps Blockchain Economies Sustainable

In the rapidly evolving world of blockchain, maintaining economic stability while encouraging network growth is no easy task. Many projects struggle with balancing token supply and demand, leading to inflationary pressures that erode value over time. TAN, however, has introduced a robust Inflation Protection Model designed to sustain its economy, protect investor value, and foster long-term growth. At the heart of TAN’s strategy are four key pillars that work in harmony to ensure economic sustainability and network resilience. 1. Minting Supply Through Block Per Reward Mechanism TAN’s unique Block Per Reward Proof of Stake (BPoS) mechanism allows for a controlled and predictable minting of new tokens. Unlike traditional systems that flood the market with tokens or rely on fixed staking rewards, TAN mints its supply based on actual block creation. Predictable Supply Over Time: The total token supply is designed to be minted over 80 years, ensuring gradual and sustainable growth. Incentivized Participation: Validators are rewarded for their contribution to network security, fostering active engagement without compromising the token’s value. Decentralized Minting Process: By tying minting to block rewards, TAN ensures that new tokens are distributed fairly and transparently, aligning with the network’s decentralized ethos. 2. Halving Rewards to Create Scarcity Similar to Bitcoin’s halving model, TAN reduces block rewards at predetermined intervals, approximately every four years. This systematic reduction creates a sense of scarcity, preserving the value of existing tokens and encouraging long-term holding. Scheduled Halvings: Predictable reward reductions help maintain scarcity while giving validators time to adjust their strategies. Encouraging Long-Term Commitment: Halving incentivizes participants to stay engaged with the network, knowing that their early involvement yields greater rewards. 3. Complete Transaction Fee Burning In contrast to networks that only burn a portion of transaction fees, TAN implements a complete transaction fee burning mechanism. This deflationary approach removes tokens from circulation with every transaction, reducing overall supply and counteracting inflation. Deflationary Pressure: Continuous burning of transaction fees ensures that the token supply decreases over time, supporting price stability. Enhanced Token Value: As demand increases and supply decreases, the value of $TAN is naturally supported by market forces. 4. Burn Subsidy for Ecosystem Incentives To further strengthen its inflation protection model, TAN introduces a burn subsidy system. This approach balances token burning with incentives for network growth and ecosystem development. Ecosystem Growth: A portion of the burned tokens is subsidized back into the ecosystem to fund development, partnerships, and user rewards. Sustainable Incentives: The burn subsidy ensures that while the supply is deflationary, there are sufficient resources to foster innovation and user engagement. Why TAN’s Model Matters TAN’s Inflation Protection Model goes beyond traditional tokenomics by integrating mechanisms that not only prevent inflation but also promote healthy network growth. By combining controlled minting, halving, complete transaction fee burning, and a strategic burn subsidy, TAN ensures that its blockchain economy remains sustainable and resilient. For investors, developers, and users, this means a more stable and valuable ecosystem—one where participation is rewarded, and the long-term vision is protected. Join TAN’s Growing Ecosystem With its innovative approach to inflation protection, TAN is setting a new standard for blockchain sustainability. Whether you’re a validator, developer, or blockchain enthusiast, TAN offers a secure, scalable, and economically sound platform for the future. Get involved today and be part of the blockchain revolution that values sustainability as much as innovation. Get Involved with TAN Devnet TAN has launched its Devnet activities to engage the community in a hands-on blockchain experience. Join the TAN Devnet by visiting blockbuilders.tan.live. Connect your wallet, claim free TAN tokens, and participate in on-chain activities like burning TAN to earn rewards. With 50 million TAN allocated for rewards and 100% unlocked at TGE, it's the perfect opportunity to engage with TAN’s ecosystem while contributing to its growth. Also a unique opportunity to explore TAN’s high-performance blockchain while earning rewards with zero investment. Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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