How much is the circulation of Cartesi (CTSI) coins?

Cartesi's finite token supply of 1b CTSI, with a current circulating supply of ~47%, ensures long-term value and stability for the decentralized scaling solution.

Dec 10, 2024 at 12:14 pm

Circulating Supply of Cartesi (CTSI) Coins

Cartesi (CTSI) is a decentralized layer-2 scaling solution for the Ethereum blockchain that enables developers to build scalable, high-performance dApps without sacrificing security or decentralization. One of the key aspects of CTSI's design is its tokenomics, which includes a limited and controlled circulating supply of coins.

1. CTSI Tokenomics

CTSI tokens play a vital role in the Cartesi ecosystem, serving multiple functions:

• Gas fees: CTSI is the primary token used for paying transaction fees on the Cartesi network.
• Staking rewards: CTSI holders can stake their tokens to support the network's security and earn rewards in the form of additional CTSI.
• Governance: CTSI holders have voting rights, allowing them to participate in the decision-making process for the Cartesi protocol's future development.

2. Limited Token Supply

To ensure the stability and long-term value of CTSI, the token has a limited supply of 1,000,000,000 coins. This finite supply helps prevent inflation and excessive fluctuations in the coin's price.

3. Circulation Supply

The circulating supply of CTSI coins refers to the number of CTSI tokens that are currently in circulation and available for trading or use within the Cartesi ecosystem. As of September 2023, the circulating supply of CTSI is approximately 472 million coins, which represents around 47% of the total supply.

4. factors influencing Circulation Supply

Several factors can influence the circulating supply of CTSI coins:

• Token issuance: New CTSI tokens are minted and added to the circulating supply through staking rewards.
• Token burns: CTSI tokens can be burned periodically to reduce the circulating supply and control inflation.
• Hodling and long-term investment: A significant portion of the CTSI supply is held by long-term investors who do not actively trade the tokens, effectively reducing the circulating supply.

5. Impact of Circulation Supply on the Market

The circulating supply of CTSI has a significant impact on the market dynamics of the coin. A higher circulating supply generally leads to increased liquidity and trading volume, while a limited supply can create scarcity and drive up prices.

The controlled circulation supply of CTSI ensures that the token's value is supported by its utility and the growth of the Cartesi ecosystem. It provides long-term stability and helps prevent excessive price volatility.