Tax Structure
The foundation of GOCHI’s economic model is the 8% transaction tax applied to all $TOKEN token purchases and sales:5% to Rewards
Directly funds the SOL rewards distributed to active players through the hourly reward system.
2% to Liquidity
Automatically enhances market stability by adding to liquidity pools, reducing slippage and price impact.
1% to Development
Supports ongoing platform improvements, marketing initiatives, and operational costs.
This tax structure creates a self-sustaining ecosystem where player activities directly fund rewards, while ensuring sufficient resources for platform growth and market stability.
Sustainability Mechanics
Several mechanisms work together to ensure GOCHI’s economic sustainability:Volume-Based Rewards
Volume-Based Rewards
The reward system scales automatically with trading volume:This ensures that rewards remain proportional to ecosystem activity without requiring external funding or unsustainable emission rates.
Token Utility & Sinks
Token Utility & Sinks
$TOKEN token has meaningful utility beyond speculation:
- Holding Multiplier: Creates demand for accumulating and holding tokens
- Pet Creation: Tokens used for creation are burned, decreasing supply
- Premium Features: Provides ongoing utility for token spending
Anti-Whale Measures
Anti-Whale Measures
While the holding multiplier benefits larger holders, several measures prevent excessive advantage:
- Power function (0.7 exponent) creates diminishing returns
- 8.0× maximum multiplier creates a reasonable ceiling
- Care quality remains essential even for whales
Volume Requirements
The sustainability of GOCHI’s reward system depends on maintaining healthy trading volume:Daily Volume | Daily Rewards | Monthly Rewards | Sustainability Assessment |
---|---|---|---|
$1M | $50,000 | $1.5M | Minimal viable operation |
$5M | $250,000 | $7.5M | Target healthy ecosystem |
$10M+ | $500,000+ | $15M+ | Thriving ecosystem |
For long-term sustainability, minimum daily volume should be at least 20× the daily reward distribution. This ensures sufficient funding for rewards while maintaining market liquidity and development resources.
Economic Phases
GOCHI’s economy is designed to evolve through several phases:1
Launch Phase (Months 1-3)
- Initial token distribution through points conversion
- High early trading volume and volatility
- Generous initial rewards to drive adoption
- Focus on building user base and engagement
2
Growth Phase (Months 4-9)
- Stabilizing token price with increasing utility
- Expanding player base with more distributed token holdings
- Normalized reward distribution as player base grows
- Introduction of additional utility features
3
Maturity Phase (Month 10+)
- Stable, sustainable economy with predictable rewards
- Balanced token distribution across player segments
- Deep liquidity and reduced price volatility
- Community governance beginning to play larger role
Token Velocity Management
Managing token velocity (how quickly tokens change hands) is crucial for long-term economic health:Velocity Reduction
- Holding multiplier incentivizes keeping tokens rather than trading
- Pet creation burns create permanent supply reduction
- Vesting schedules for team and advisor tokens prevent early selling
Healthy Circulation
- Premium features encourage some token utilization
- Trading activity generates tax revenue for rewards
- Balanced approach allows for both holding and utility
Risk Management
Market Volatility Protection
Market Volatility Protection
During periods of extreme market volatility:
- Treasury reserves can temporarily supplement reward pool
- Dynamic adjustment of reward calculation ensures fairness
- Incentive programs can boost activity during low-volume periods
Player Base Fluctuations
Player Base Fluctuations
As player counts vary:
- Per-player rewards adjust automatically through the reward formula
- Early adopter advantages create natural retention
- Progressive holding multipliers benefit long-term community members
GOCHI’s economic model differs from many blockchain games by rewarding in SOL rather than the native token. This reduces sell pressure on $TOKEN while providing immediate, tangible value to players in an established cryptocurrency.