OUTDATED -- REASONING

The guiding ideas behind the tokenomics.

This page outlines the original vision for how The New Elites token ecosystem.

However, the project's scope has downsized to a single season.

This information is intended for historical purposes only.

STARTING WITH A SINGLE TOKEN

Season 1 goes live with $IORO as the only token, in an effort to kick-start TNE’s micro-economy. This initial period is do-or-die to position the token as a player in the IOTA DeFi ecosystem, as TNE is set to receive support for the $IORO token from IOTA’s ecosystem growth team.

On the condition that Season 1 sells out, TNE qualifies to receive an allotment of $IOTA tokens, for the sole purpose of creating a DEX liquidity pool for the $IORO token.

If TNE succeeds in selling out the Season 1 collection, the project team hands over 28% of the $IORO tokens (along with the entire $IOTA reserve from the growth team) to an IOTA DEX. The DEX creates an $IOTA/$IORO liquidity pool. This liquidity pool issues enough depth to overcome potential sell pressure that may result from the Season 1 NFT holder allocation, which is 20% of the total $IORO supply. In the unlikely scenario where season one NFT holders sell all of their tokens, the price of the token would drop by less than 50%.

DUAL TOKENS FOR $IORO STABILITY

Moving to the dual token system gives the $IORO token stability, as using the $IORO token as the sole point generation tool for all seasons causes compounding inflation.

Though $IORO’s core function changes with the introduction of $eco-bound tokens, the intention is to create a situation where the $IORO token continues to have the capacity to attain game benefits for the long run. The team sets to maintain $IORO’s edge by creating a TNE market where players can swap their $IORO for the eco-bound token and/or future game assets.

Introducing methods to exchange $IORO for in-game advantages creates the potential for deflation and greater token distribution. The target state is a micro-economy driven by game utility, where players can expand their success strategy to include trading their game assets.

Ultimately, eliminating the source of inflation and introducing additional token usefulness within the TNE ecosystem increases the chances the $IORO token maintains a healthy outlook.

$IORO DISTRIBUTION TO SEASON 1 ELITES

Holders of the Season 1 NFT are $IORO’s main recipients, receiving 30% of the token in the first and second seasons. This means the Season 1 Elites are going to receive the lion's share of the project's 'main' token.

The project team intends to create $IORO farms on DEXs to encourage holder staking, adding to the options a player has for using their $IORO tokens.

Season 3* and beyond introduces a TNE marketplace, where players who hold $IORO must decide if they want to use them to; * purchase exclusive perks, * swap for $eco-bound tokens, * stake them on a DEX for yield, or * trade them for $IOTA. *Additional seasons are intended but not guaranteed.