LIQ Token Economics
Overview
LIQ is the governance and incentive token of the iAERO ecosystem, designed with a deflationary emission schedule and multiple value accrual mechanisms.
Token Specifications
Token Name: Liquid
Symbol: LIQ
Max Supply: 100,000,000 LIQ
Decimals: 18
Token Type: ERC20 with Permit
Supply Distribution
Total Supply: 100,000,000 LIQ ├── Community Emissions: 30,000,000 (40%) ├── Treasury Vesting: 10,000,000 (10%) ├── Team Vesting: 10,000,000 (10%) ├── Investor Vesting: 30,000,000 (20%) └── Remaining: 20,000,000 (20%) - Protocol reserves
Emission Schedule
Community Emissions (60M LIQ)
LIQ follows a halving schedule for community emissions:
Initial Rate: 1 LIQ per 1 iAERO minted
Halving Interval: Every 5,000,000 LIQ minted
Treasury Take: 20% of all user emissions
Halving Timeline
Start
0
1.0x
1.0 LIQ
Halving 1
5,000,000
0.5x
0.5 LIQ
Halving 2
10,000,000
0.25x
0.25 LIQ
Halving 3
15,000,000
0.125x
0.125 LIQ
Halving 4
20,000,000
0.0625x
0.0625 LIQ
...
...
...
...
Vesting Schedule (20M LIQ)
20% of supply is linearly vested over 3 years:
Treasury: 10,000,000 LIQ (3 years linear)
Team: 10,000,000 LIQ (3 years linear)
Daily Release: ~9,132 LIQ per day per stream
Vesting Contract: LIQLinearVester.sol
Value Accrual Mechanisms
1. Staking Rewards (80% of Protocol Revenue)
LIQ stakers receive the majority of protocol rewards:
Protocol Revenue Flow: ├── 80% → LIQ Stakers (via TreasuryDistributor) └── 20% → Treasury Operations
2. Governance Rights
LIQ holders control:
Voting on protocol parameters
Treasury allocation
Strategic partnerships
Protocol upgrades
3. Deflationary Pressure
Capped Supply: Hard cap at 100M
Halving Emissions: Decreasing inflation over time
Burn Mechanism: Users can burn LIQ tokens
Staking LIQ
Stake LIQ to earn protocol revenues:
Contract: StakingDistributor (for LIQ staking)
Rewards: 80% of treasury's 10% protocol fee share
Tokens: AERO, USDC, ETH, and other bribes
Compounding: Auto-compound by restaking rewards
Treasury Management
The protocol treasury receives:
20% of all LIQ emissions
10% of all protocol fees
Vested allocation (10M over 3 years)
Treasury funds are used for:
Protocol development
Liquidity provision
Strategic partnerships
Security audits
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