Community Rewards

Total RATE Supply: 1,000,000

Team: 10%

Treasury: 7%

Community Rewards: 78%

Community Treasury: 5%

Community rewards start immediately upon launch. RATE, the lender-of-last-resort token for TAI, will be distributed to participants of the system through the following mechanisms:

• Liquidity Rewards

  1. Provide TAI/ETH liquidity in the TAI App.

     Behind the scenes, this is done through a bunni contract that manages the liquidity range on the Uniswap V3 TAI/ETH pool.

  Mint Rewards

  1. Mint TAI from any supported collateral. That's it!

Community Rewards Allocation

total Rewards Per Month = LP Rewards + mint Rewards

LP Rewards = x * total Rewards Per Month

mint Rewards = y * total Rewards Per Month

Where: x + y = 1

x and y will be dynamic, based on market conditions.

Community Rewards Schedule

Liquidity and mint rewards will be distributed according to this supply function:

import math
start = 780000 # 78%
c = 20
lam = 1/120

def starting_supply(month):
    # amount at begining of `month` month after launch
    return start * (c*math.e)**(lam * -month)

Given this supply function:

32.94% of the community rewards will be distributed in the first 1 year.

86.44% of the community rewards will be distributed in the first 5 years.

98.16% of the community rewards will be distributed in the first 10 years.

99.97% of the community rewards will be distributed in the first 20 years.

Team Rewards

As show above, team rewards will be vested linearly for the first 36 months.