Solana Name Service has released the SNS token with a total supply of 10 billion, aimed at decentralizing governance and empowering the user community.
Solana Name Service (SNS), the leading decentralized naming protocol on the Solana blockchain, has officially announced the launch of the SNS governance token aimed at transforming the governance model and future direction of the project in favor of the user community. The SNS token, with a total supply of 10 billion units, is designed to empower holders of .sol domains in important matters such as protocol upgrades, incentive allocations, and developmental priorities.
The token distribution structure of SNS is designed with a clear priority for the community and the long-term development of the project, with 40% allocated for current users holding .sol domains, Solana communities, and partners, prioritizing rewards for early users. 20% is reserved for future community incentive programs. 26.25% is dedicated to ecosystem development through projects and collaborations. 8.75% belongs to the core contributing team, locked for 4 years, and 5% is allocated for liquidity pools.
Source: Solana Name Service on X Simplifying the blockchain experience with digital identity
SNS has established its position in the Solana ecosystem by transforming complex wallet addresses into readable domains like 'username.sol'. These domains serve as digital identities, simplifying transactions, hosting decentralized websites, and easily integrating with Web3 applications. Additionally, support for subdomains expands applications for community structures, decentralized organizations, and management of decentralized physical assets.
This protocol emphasizes several key competitive advantages: permanent domain ownership, low transaction fees due to Solana's infrastructure, and seamless integration with the ecosystem. As of now, over 270,000 .sol domains have been registered, with 150 projects integrating SNS to enhance user experience in blockchain.
According to the project's whitepaper, the governance framework of the SNS token will allow holders to vote on proposals related to budget allocation and technical improvements. SNS aims to build a self-sustaining ecosystem, where participants are incentivized through rewards based on their level of usage and contributions.
The next steps in the SNS roadmap include the phased release of tokens for eligible users and the announcement of detailed guidelines for community governance participation. The implementation of the SNS token marks a significant transition of the project towards a fully decentralized model, prioritizing long-term sustainability and user-led innovation.
