$LAYER Token Economics: Why is the value of #BuiltonSolayer co-created by users?

In many blockchain projects, the value of tokens is disconnected from user behavior—but @Solayer proves with the design of LAYER: tokens can become a "value bond" connecting all parties in the ecosystem. As the core of the #BuiltonSolayer ecosystem, every function of LAYER incentivizes users to participate and co-build the ecosystem.

The economic model of LAYER revolves around "contribution equals reward": holding LAYER allows participation in protocol governance, deciding key rules such as the admission threshold for AVS, reward distribution ratios, etc., giving users real voice; verification nodes must stake LAYER to qualify for providing security support for AVS, with higher stakes leading to greater reward weight; even ordinary users can receive LAYER rewards by using sSOL to participate in DeFi and share the #BuiltonSolayer ecosystem. This design allows every participant to benefit from the growth of the ecosystem.

Even more cleverly, LAYER has a dynamic balance mechanism. The protocol automatically adjusts the inflation rate and destruction ratio of LAYER based on TVL and transaction activity: when the ecosystem expands, moderate inflation incentivizes new participants to join; when a stable period is reached, the destruction mechanism enhances the token's scarcity. The recent price increase and surge in trading volume of $LAYER are the result of this mechanism at work.

@Solayer proves with LAYER: good token economics can create a positive cycle where "the more users, the higher the value" for the ecosystem. As every click and every transaction on #BuiltonSolayer injects value into LAYER, this user-created ecosystem will be even more promising in the future.