Appendix
Details of tokenomics
Total Supply and Issuance
Dynamic Supply: A dynamic supply model will be adopted. This approach is beneficial as it allows flexibility to adjust the supply based on the evolving needs of the platform and the addition of new projects.
Asset Backing and Valuation
Diversified Asset Pool: The value of HGT will be linked to an asset pool comprising carbon credits, green bonds, and other green assets. The proportion of carbon credits versus green bonds is not fixed, allowing for strategic adjustments to maximise the asset pool’s value.
Inclusion of Other Green Assets: Additional investments in renewable energy projects, shares in eco-friendly companies, or participation in environmental impact funds will be considered.
Distribution and Allocation
Initial Distribution: The launch of HGT will involve a private sale, followed by a public sale. Post-launch, additional tokens will be distributed to project partners.
Future Supply Adjustments: As more projects join Honua, the supply of HGT will be adjusted to accommodate these new initiatives while maintaining the token's value and scarcity.
Revenue Sharing and Returns
Revenue Distribution: Revenue generated from the asset pool will be distributed to HGT holders proportionally based on their token holdings compared to the total supply. This approach incentivises long-term holding and investment in the platform.
Governance and Voting Rights
Governance Mechanism: HGT holders will have voting rights on critical decisions, including project funding and token-related governance, fostering a democratic and community-driven platform.
Liquidity and Exchange Listings
Exchange Listings: Plan to list HGT on major Solana-based exchanges to ensure accessibility and visibility.
Liquidity Strategy: The liquidity of HGT will be primarily driven by the market demand from individuals and organisations investing in HGT. Funds from token sales will be used to purchase green assets, creating a virtuous cycle of investment and asset growth.
Regulatory Compliance
Focus on Developed Markets: Initially focus on the EU and USA, ensuring compliance with their financial and environmental regulations.
Community Engagement and Incentives
Incentive Programs: HGT holders will be rewarded with a mix of staking rewards, access to premium features on Honua, and unique eco-friendly experiences offered by commercial partners. These incentives add value to holding HGT and align with the platform's sustainability ethos.
Additional Considerations
Transparent Reporting: Regular reports on the performance and impact of the green assets and projects funded will be provided, enhancing trust and engagement with HGT holders.
Risk Management: The risks associated with the dynamic supply and diversified asset pool will be carefully managed, including regular audits and adjustments based on market conditions.
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