What is the issuance price and issuance volume of Tornado Cash (TORN) coins?

The issuance price of Tornado Cash (TORN) was initially set at $0.088 during the October 2020 ICO, with a total issuance volume capped at 10 million TORN coins.

Dec 01, 2024 at 04:15 am

Tornado Cash (TORN): A Comprehensive Overview of Issuance Price and Issuance Volume

Introduction

Tornado Cash (TORN) is an Ethereum-based privacy protocol that allows users to anonymize their cryptocurrency transactions. It utilizes zero-knowledge proofs to break the on-chain link between sender and receiver addresses, making it difficult for third parties to track and trace the flow of funds. This privacy-enhancing feature has garnered significant attention and adoption within the cryptocurrency community.

Issuance Price

The issuance price of TORN coins was set at $0.088 during the initial coin offering (ICO) held in October 2020. A total of 10,000,000 TORN coins were issued during the ICO, with 8,000,000 TORN coins available for purchase by the public. The remaining 2,000,000 TORN coins were allocated to the Tornado Cash development team.

Issuance Volume

The total issuance volume of TORN coins is capped at 10,000,000 TORN. This means that no new TORN coins can be created beyond this limit, ensuring the scarcity and value of the token. The issuance volume is strategically designed to maintain a balance between liquidity and price stability.

Impact on TORN's Value

The issuance price and issuance volume of TORN coins have a significant impact on its value. The initial issuance price established the baseline value of the token, while the limited issuance volume creates scarcity and supports price appreciation over the long term.

Additional Considerations

1. Token Distribution

After the ICO, the TORN coin distribution was as follows:

• Public (ICO): 80% (8,000,000 TORN)
• Development team: 20% (2,000,000 TORN)

2. Token Lockup

A portion of the development team's TORN allocation was subject to a lockup period to ensure long-term commitment to the project.

3. Token Burn Mechanism

Tornado Cash implements a token burn mechanism that destroys a small percentage of TORN coins with each transaction. This reduces the overall supply of TORN coins, potentially increasing its value.

4. Community Governance

TORN coin holders have governance rights and participate in decision-making processes related to the Tornado Cash protocol. This includes voting on proposed changes, feature updates, and resource allocation.

5. Future Developments

The Tornado Cash team is continuously working on improving and enhancing the protocol, which may impact the issuance price and issuance volume of TORN coins.