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"Why do you have a token?"
Tokens enabled aligned incentives and co-ordination. However they've also been abused and become a point of contention after the run up the 2017 ICO boom.
The ADD token is utilised in the following ways:
- 1.Burn. A percentage of the ADD.xyz tokens collected from the network fees are burned. This will reward ADD holders as adoption grows.
- 2.Network Fees. ADD holders have control over the platform. ADD.xyz is a self-amending network where holders will decide on upgrades and potential fixes. Tokens have to be bonded in order to vote.
- 3.Bonding and Governance. Fees will be collected as a percentage of the smart contract payments executed. ADD tokens are burned as fees as the protocol is utilised.
- 4.Staking. A percentage of the fees collected will be paid out to token holders who have token staked in a non-custodial staking contract. No node is required to run.