Over the past few months we have been happy to begin slowly introducing you all to the Kondux ecosystem, and the technologies that will be underpinning it, such as our kNFTs, our 3D NFT Marketplace, and our state of the art custom built 3D Viewport.
Today, we are pleased to finally announce how our native token $KNDX will tie into all the above. Boasting over 16 smart contracts, 2 tokens, NFTs and kNFTS, that all need to be able to interact with each other, this goes well beyond a simple staking platform, and like everything else we do, has been built from the ground up with 2 major factors in mind — Community and Quality.
For many of you who have been involved with Kondux for some time, you will have realized by now our dedication to our loyal community members, whether through free kNFTs from the OG Whitelist, or discounted Founders Passes. We appreciate each and every one of you, and know you are all just as big a part of Kondux as we are. Our Tokenomix are designed in such a way to both reward our community, as well as encourage participation in our ecosystem
*DISCLAIMER: Details of the Kondux Staking and Rewards are subject to change.
At Kondux we take great care and pride in everything we do. In a competitive environment such as ours, we know only the highest quality will suffice. Our Tokenomix design is no different. Though it may appear on the surface to be incredibly complex (and it certainly is on the backend!) we hope this article can go a long way towards making things easier to understand.
INTRO TO $EMISSION TOKEN
We recognized the need to have an emission token, with flexible supply, purely to be spent in game. This new token will have no negative effects on the value of the $KNDX token itself, $KNDX will always be the number 1 token in our ecosystem. There will be no token sale of $EMISSION TOKEN and the only way to earn this will be by participating in our ecosystem.
*For the sake of this article we are calling the secondary token $EMISSION TOKEN but the actual token name will be different.*
You will also have the option to stake your kNFTs. When staking your kNFT this will also require a small payment of $KNDX, some of which will be burnt, some of which will go to the rewards pool. Staking kNFTs gives you an opportunity to earn additional NFTs, composed of in-game assets, and power boosts. Some of these items will be so rare that the only place you will be able to get them is via staking kNFTs. They will provide immense value to those who are playing our game, but for those who aren’t, they will also be sellable on our marketplace!
NFTs are also traded on the marketplace (Kondux or 3rd party), and every trade collects tax fees/royalties. That money goes to the treasury and to a liquidity pool that will ultimately be used to give rewards to stakers.
Our simple staking mechanism means holders of $KNDX will be able to stake their tokens, and capture a share of these fees, with the ability to earn both $EMISSION TOKEN, $KNDX and $ETH in the future.
If a user unstakes before the grace period of the NFT, the user must also return the NFT (burn, actually) along with the return of $EMISSION TOKEN tokens (also, burn those $EMISSION TOKEN).
APY is based on the variables of users staking, amount staked, and emissions over time. The percentages below are JUST EXAMPLES.
- 90 days 5% $EMISSION TOKEN reward
- 180 days 7.5% $EMISSION TOKEN reward
- 365 Days 10% $EMISSION TOKEN reward
What are the rewards for staking $KNDX?
- Stakers receive $EMISSION TOKEN ($ETH in future phase).
What does “time lock” mean for token staking?
- Unable to transfer tokens
- Have a grace period
What are the durations and rules for staking $KNDX?
- $EMISSION TOKEN are soul-bound to owner and lock time (cannot transfer)
- The longer the locking time, higher the rate received
- This offers unique rewards to those who staked $KNDX for long periods.
- kNFTs bought with $EMISSION TOKEN are difficult to obtain and more valuable
I have $KNDX staked. Can I stake more of it?
- Yes, but first you need to unstake your assets. It would be difficult and inefficient to keep track of multiple stakes for a single user. This provision encourages higher amounts for longer durations.
What are the uses for $EMISSION TOKEN?
- Used for “renting” minor assets, such as cosmetic accessories, season or event gears, etc
- If an asset is rented for a minimum specific time, it will be soulbound to the token owner account
What are the rewards for staking my kNFT?
- Unique kNFT items will be rewarded acting as rare items or powerups for P2E gaming
- $EMISSION TOKEN rewards (%TBD)
What happens if I unstake my kNFT?
- If an owner unstakes before the grace period expires, the kNFT along with the $EMISSION TOKEN reward will be burned.
How long is the grace period?
In this article we have mainly touched on rewards coming from our marketplace, but this is really just the tip of the iceberg. With our custom 3D browser based viewport, there is the possibility to sell ad space and monetize that way. We are also considering a subscription based model to be able to utilize special features in our Viewport, with subscriptions being paid in $KNDX and being distributed between the teams treasury and stakers.
Our ultimate goal is to bring more brands and other projects into Web 3. There are a few ways we can monetise this, whether as an upfront fee for projects launching their own kNFT collections, or a profit split, this can be a great source of income for the project and the community. Once our kNFTs are launched as our Proof of Concept, we will begin to aggressively chase down and target brands and projects who may benefit from using our technology.