Many of you probably heard about the Fee Monetization program, but what exactly does it mean for Atlantis and the broader Sonic community?
In this brief article, we’ll break it down for you, from how it works to why it’s such a game-changer.
We’ll also share how we plan to make the most of it, ensuring that every reward flows right back to our community.
What’s Sonic's Fee Monetization?
FeeM is a new fee-redistribution model designed to directly reward developers for creating apps that people actually use. When a user interacts with a FeeM-participating app, 90% of the transaction fees go straight to the developers, while the remaining 10% supports the network validators.
The goal of this setup is to motivate developers to build quality applications and represents a practical way to align the interests of both developers and their community.
It is a smart system that makes sure value stays within the ecosystem, benefiting everyone involved, and Atlantis plans to take full advantage of it.
Sonic Points, Gems and future Airdrop
Sonic has planned a massive airdrop that plans to distribute 190,500,000 S tokens to incentivize users of both Opera and the Sonic chain. The airdrop will be distributed using Sonic Points, Sonic Gems, and Game Gems. But what are they?
Let’s deep dive.
Sonic Points are a way for users to earn rewards as part of the ~200 million S airdrop.
There are a few ways users can earn Sonic Points:
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Passively : just by simply holding specific tokens in your wallet that qualify for the airdrop.
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Actively: by depositing certain assets as liquidity on various DeFi protocols, such as Atlantis.
The table below lists the official whitelisted assets that qualify for Sonic Points, along with their respective multipliers, applicable for both active and passive participation.
Sonic Gems, on the other hand, are developer-focused airdrop points that can be redeemed for liquid S tokens. These Gems will be distributed based on several factors:
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App Category: Applications are categorized (e.g., DEXs, lending platforms) and assigned weights accordingly.
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Sonic Exclusivity: Apps exclusive to Sonic receive higher weights.
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Reward Distribution Effectiveness: Apps that effectively distribute rewards to users are favored, encouraging transparency.
For example, if an app distributes 100% of its claimed S to its users in the first season, it will receive a weight corresponding to 1 in the next season, while if it distributes only 50% it would obtain it a weight of 0.5
But the main factor influencing the distribution of Gems to protocols is the Point Score, which is determined by calculating the total amount of Sonic Points that an app has generated for its users.
All of the above makes sure that Gems are allocated to apps that contribute significantly to the Sonic ecosystem's health and growth.
Atlantis: leveraging both FeeM and Sonic Gems
Atlantis, as a Sonic-native protocol, is already well-positioned to capitalize on the FeeM program and Sonic Gems.
Our unique end-to-end model allows us capture value from every user interaction, converting them into rewards for our community.
Atlantis collects a variety of fees across both the DEX and Launchpad, all of which are automatically sent to the treasury and redistributed through our reward mechanisms.
Once live on Mainnet, we will submit the FeeM application, granting us a solid share of the transaction fees, allowing us to redistribute 100% of it back to our community.
Gems collected by our protocol will be distributed through a mint of an official token representing our share of Gems.
More details will be unveiled soon, as we are approaching our mainnet launch. ⌛
Stay tuned! 🔱
Learn more about the Sonic airdrop in the official documentation: