Official PACT Tokenomics v0.01 Release

Attention PACT community! :raised_hands: :purple_heart:

Today marks a major stride forward for the Consortium, the community, and users worldwide. We are proud to propose the official PACT v0.01 Tokenomics report for the $PACT token, now being solely part of the PACT Foundation. See the official Tokenomics report attached to this post.

There will be a 9-day grace period for the community to provide feedback and foster discussion on how to improve the Tokenomics report. The PACT team will update the report accordingly and bring it to an official DAO proposal on 10 February 2025 at :arrow_heading_down:

https://snapshot.box/#/s:pactfoundation.eth

PACT Tokenomics v0.01 (2).pdf (443.2 KB)

1 Like

(post deleted by author)

Love the value accrual through buy-backs, including using revenue sources from loan origination fees (0.15%-0.25%) and loan proposal fees ($0.10-$0.25).

A few suggestions:

  1. 50% of the supply is going to development partners (25%) and the foundation (25%), leaving less for the community and ecosystem incentives. 5% for community rewards is on the low end for recent launches, Iā€™d recommend re-directing some of the 50% to bring up this 5%.
  2. Recommend publishing the vesting schedule (e.g. 4-year vesting with 1-year cliff) to ensure long-term commitment.
  3. Scale vePACT accrual dynamically based on lock duration to align longer-term interests (e.g., 6 months: 5% boost, 12 months: 8%, 24 months: 12%).
  4. Reduce quorum to 10-15% in early adoption to encourage community participation without governance stagnation.
  5. Convert 1 or 2 of the PACT Grants & Compliance Committees into DAO-managed multi-sigs. Give vePACT holders delegation rights to trusted community members.

Disclaimer: Verda Ventures invested in PACT tokens.