Now $WAXP has reached another stage of the token economy, where WAX has gone with #WAXBlockchain at @DAO Labs and principles of #SocialMining to strengthen sustainability. This development marks the move to choose purposefully to grow inflationary to utility backed deflationary.
The PowerUp model that removes the necessity to stake in order to take advantage of CPU or NET resources has resulted in a profound decrease in the number of new $WAX tokens being minted. The amount of burning is higher than ever before, and instead of adding more supply and feed the operating mechanics with tokens, more tokens are burned and network activity is traded with scarcity. This is in contrast to numerous Layer-1 ecosystems which must rely on continuous emission as a way of preserving involvement.
The deflationary nature of $WAXP is also evident as less and less tokens are put into circulation. The use of token burning capabilities built into this framework allows preserving values without jeopardizing accessibility. Notably, such alterations are not abstract, but are grounded in real-time behavior of network and are continuously developed by developers and users in real-time.
These transitions are detailed by contributors and participants of #SocialMining in the #WAXHub on DAO Labs, providing essential feedback and creating a base of knowledge regarding the utility of tokens. Such an approach based on community leads to the idea that innovation must be based on transparency, usability, and long-lasting relevance.
