What is the issuance and circulation of SolarX (SXCH) coins?

SolarX (SXCH) coins, the native token of the Solar Network, have a total supply of 10 billion, with a controlled issuance schedule determined by private sale, public sale, team allocation, ecosystem development, and a reserve.

Dec 03, 2024 at 04:13 pm

What is the Issuance and Circulation of SolarX (SXCH) Coins?

SolarX (SXCH) is a cryptocurrency created by the team behind the Solar Network, a blockchain-based platform that aims to offer a decentralized and low-cost alternative to traditional financial systems. SXCH serves as the native token of the Solar Network and is used to power various operations within the ecosystem, including transaction fees, staking rewards, and governance voting.

Issuance Schedule of SXCH Coins

The issuance of SXCH coins follows a predetermined schedule designed to ensure a controlled and gradual release of tokens into the market. The total supply of SXCH coins is capped at 10 billion, with the initial distribution occurring during the project's launch. The issuance schedule for SXCH coins is as follows:

• Private Sale (20%): 2 billion SXCH coins were sold during the private sale to early investors and strategic partners.
• Public Sale (30%): 3 billion SXCH coins were sold to the public through a series of token sales.
• Team Allocation (10%): 1 billion SXCH coins were allocated to the SolarX team to support ongoing development and operations.
• Ecosystem Development (20%): 2 billion SXCH coins were reserved for ecosystem development, including partnerships, grants, and community initiatives.
• Reserve (20%): 2 billion SXCH coins were set aside as a reserve to support the long-term stability and growth of the SolarX Network.

Circulation of SXCH Coins

The circulating supply of SXCH coins refers to the number of tokens that are currently in the market and available for trading or use. The circulating supply of SXCH coins is calculated by subtracting the number of tokens held in reserves or by the team from the total supply.

The circulating supply of SXCH coins has been steadily increasing since the project's launch as new tokens are mined and released into the market. The current circulating supply of SXCH coins is approximately 6.5 billion, with the remaining tokens still held in reserves or by the team.

Mechanisms Affecting SXCH Circulation

The issuance and circulation of SXCH coins are influenced by several key mechanisms, including:

• Block Rewards: Block rewards are the SXCH coins that are distributed to miners for validating transactions and adding new blocks to the blockchain. The block reward amount is gradually reduced over time to control the issuance of new tokens.
• Staking: Staking refers to the process of holding SXCH coins in a special wallet to support the network's security and consensus. Staking rewards are distributed to holders in proportion to their stake, further contributing to the circulation of SXCH coins.
• Burning: The SolarX team occasionally burns a portion of the SXCH coins from the supply to reduce the total supply and potentially increase the value of the remaining tokens. Burning events are typically conducted to manage inflation and maintain the long-term health of the ecosystem.