> ## Documentation Index
> Fetch the complete documentation index at: https://docs.kash.bot/llms.txt
> Use this file to discover all available pages before exploring further.

# Tokenomics

> The Planned $KASH Token Economy

<Warning>
  **Kash has not launched a token.** $KASH is planned but does not exist yet — there is no contract address, presale, or airdrop. Everything on this page describes a proposed design and is **subject to change** before any launch. Beware of scams claiming to be $KASH; official announcements come only through [official Kash channels](/getting-started/ecosystem/socials). This page is not an offer or solicitation of any kind.
</Warning>

<Note>
  \$KASH is the planned native token of the Kash ecosystem, designed around automated buybacks, community incentives, and decentralized governance participation.
</Note>

<img style={{ borderRadius: '0.5rem' }} className="block dark:hidden" src="https://mintcdn.com/kash/ccJqSmLmwHitLEdQ/assets/cover/cover.svg?fit=max&auto=format&n=ccJqSmLmwHitLEdQ&q=85&s=bd474b91f522088935255f33b33ddd96" alt="Hero Light" width="1500" height="500" data-path="assets/cover/cover.svg" />

<img style={{ borderRadius: '0.5rem' }} className="hidden dark:block" src="https://mintcdn.com/kash/ccJqSmLmwHitLEdQ/assets/cover/cover.svg?fit=max&auto=format&n=ccJqSmLmwHitLEdQ&q=85&s=bd474b91f522088935255f33b33ddd96" alt="Hero Dark" width="1500" height="500" data-path="assets/cover/cover.svg" />

# Proposed Token Distribution

<Note>
  The planned supply would be allocated with a community-first approach: 65% to community, 25% to team/advisors, 10% to investors.
</Note>

### Community Allocations (65% - Governance Controlled)

| **Category**                 | **% of Supply** | **Available at TGE** | **Lock-Up (months)** | **Monthly Vesting** | **Purpose**                                            |
| ---------------------------- | --------------- | -------------------- | -------------------- | ------------------- | ------------------------------------------------------ |
| **Community Incentives**     | 25.00%          | 0.00%                | 0                    | 36                  | Ecosystem growth, liquidity incentives                 |
| **DAO Treasury**             | 28.00%          | 5.00%                | 9                    | 36                  | Protocol development, security audits, buyback funding |
| **Marketing & Partnerships** | 4.00%           | 50.00%               | 0                    | 36                  | User acquisition, KOL partnerships                     |
| **CEX Listings & Liquidity** | 4.00%           | 50.00%               | 0                    | 12                  | Exchange listings, market making                       |
| **Strategic Partnerships**   | 4.00%           | 0.00%                | 0                    | 36                  | Technology integrations, corporate collaborations      |

### Team & Advisor Allocations (25% - Fixed)

| **Category**            | **% of Supply** | **Available at TGE** | **Lock-Up (months)** | **Monthly Vesting** | **Purpose**                              |
| ----------------------- | --------------- | -------------------- | -------------------- | ------------------- | ---------------------------------------- |
| **Team & Contributors** | 20.00%          | 0.00%                | 9                    | 36                  | Core team, early contributors            |
| **Advisors**            | 5.00%           | 0.00%                | 9                    | 24                  | Expert guidance, partnership development |

### Investor Allocations (10% - Fixed)

| **Category**          | **% of Supply** | **Available at TGE** | **Lock-Up (months)** | **Monthly Vesting** | **Purpose**                                                                         |
| --------------------- | --------------- | -------------------- | -------------------- | ------------------- | ----------------------------------------------------------------------------------- |
| **Private Investors** | 10.00%          | 0-5%                 | 12                   | 18-24               | Investors across multiple rounds (proposed allocation — no token sale has occurred) |

<Warning>
  Under the proposed design, community allocations (65%) could be re-bucketed or adjusted through DAO governance, while team and investor allocations (35%) would remain fixed. All figures above are provisional until a token launch is officially announced.
</Warning>

***

# Planned Token Utility

<Tabs>
  <Tab title="Core Functions">
    **Primary Intended Uses**

    **Prediction Currency:**

    * Planned alternative to USDC for placing predictions
    * Would be automatically swapped to USDC when predicting with \$KASH

    **Governance Rights:**

    * Vote on protocol upgrades and changes
    * Influence fee structures and parameters
    * Direct community fund allocation decisions

    **Staking:**

    * Stake for enhanced governance weight
    * Longer locks would grant greater voting power
  </Tab>

  <Tab title="Community Growth">
    **\$KASH in the Ecosystem (Planned)**

    **Governance Voting:**

    * \$KASH holders would vote on protocol upgrades, fee structures, and treasury allocation
    * Voting weight would increase with staking duration

    **Staking:**

    * Flexible lock durations from 30 days to 365 days

    **Community Incentives Allocation:**

    * 25% of total supply would be allocated to Community Incentives
    * Programs would be announced via official channels and governed by DAO decisions
  </Tab>

  <Tab title="Staking & Governance">
    **Proposed Lock Periods and Governance Weight**

    | Lock Duration | Governance Weight | Additional Benefits       |
    | ------------- | ----------------- | ------------------------- |
    | 30 days       | 1.2x multiplier   | Basic governance rights   |
    | 90 days       | 1.5x multiplier   | Priority support access   |
    | 180 days      | 2.0x multiplier   | Beta feature access       |
    | 365 days      | 3.0x multiplier   | Maximum governance weight |

    **Proposed Participation Thresholds:**

    * Minimum 1,000 \$KASH for basic voting
    * 10,000 \$KASH for proposal submission
    * 100,000 \$KASH for major protocol changes
  </Tab>
</Tabs>

***

# Proposed Buyback Mechanism

<AccordionGroup>
  <Accordion title="Automated Buyback System">
    **Planned Monthly Treasury Operations**

    **Intended Revenue Sources:**

    * **Protocol trading fees:** Primary revenue from prediction market trades
    * **Treasury yield:** Interest earned on idle treasury USDC
    * **Strategic partnerships:** Revenue sharing from ecosystem integrations

    **Proposed Monthly Buyback Process:**

    1. Treasury accumulates USDC from platform fees
    2. Smart contract calculates optimal buyback amount
    3. Automated purchase from a USDC/KASH liquidity pool
    4. Bought tokens distributed for community incentives

    **Proposed Buyback Formula:**

    ```
    Bₘ = min((0.005 × S / V̄) × Vₘᵉᵐᵃ, 0.01 × S)

    Where:
    - Vₘᵉᵐᵃ = γVₘ + (1-γ)Vₘ₋₁ᵉᵐᵃ (exponential moving average)
    - γ = 0.3 (smoothing factor, variable based on market metrics)
    - V̄ = 1/12 × Σ(Vₘ₋ᵢᵉᵐᵃ) for i=1 to 12 (12-month average)
    - S = total supply of $KASH tokens
    ```

    **Proposed Constraints:**

    * Maximum 1% of supply bought back per month
    * Targets \~0.5% of supply in the liquidity pool
    * Formula engineered to yield around a 0.5% buyback rate
  </Accordion>

  <Accordion title="Treasury Architecture">
    **Proposed Treasury Design**

    **Treasury Flow Diagram:**

    ```mermaid theme={null}
    graph TD
        A["Platform Fees"] --> B["Treasury Core Module"]
        B --> C["Asset Manager Module"]
        C --> D["Yield Strategies"]
        D --> E["Yield Returns"]
        E --> B
        B --> F["Smart Burn Module"]
        F --> G["Monthly $KASH Buybacks"]
        G --> H["Community Rewards Module"]
        B --> I["Bond Depository Module"]

        style A fill:#e1f5fe
        style B fill:#fff3e0
        style F fill:#f3e5f5
        style G fill:#e8f5e8
        style H fill:#fff8e1
    ```

    **Planned Module Interactions:**

    * **Treasury Core Module:** Central hub storing USDC, \$KASH, LP tokens, and sub-fund balances
    * **Asset Manager Module:** Would deploy idle USDC to conservative yield strategies
    * **Smart Burn Module:** Would calculate and execute monthly \$KASH buybacks from accumulated fees
    * **Bond Depository Module:** Would enable LPs to buy \$KASH at a discount for liquidity bootstrapping
    * **Community Rewards Module:** Would distribute bought-back tokens for community incentives

    **Planned Governance Controls:**

    * **Parameter adjustment:** Community would be able to modify buyback formulas and allocation percentages
    * **Yield strategy:** Governance would approve yield protocols and risk parameters
    * **Emergency powers:** Multisig could pause operations in extreme circumstances
    * **Transparency:** All treasury operations would be publicly auditable on-chain
  </Accordion>

  <Accordion title="Economic Alignment">
    **Intended Protocol Economics**

    **Revenue Model:**

    * Protocol fees on trading volume (see [Market Mechanics](/getting-started/features/market-mechanics) for the current live fee schedule)
    * Yield on treasury deposits
    * Transparent fee distribution

    **Intended Community Benefits:**

    * Community incentives would drive engagement
    * Governance participation would increase utility

    **Growth Mechanics:**

    * Higher trading volume → larger buybacks

    **Risk Management:**

    * Maximum 1% monthly buyback limit
    * Controlled token release schedules
    * Emergency pause mechanisms
    * Community governance oversight
  </Accordion>
</AccordionGroup>

<Tip>
  The proposed $KASH tokenomics prioritize community ownership and sustainable growth. Follow [official channels](/getting-started/ecosystem/socials) for any future token announcements — and treat any unannounced "$KASH" token as a scam.
</Tip>

<CardGroup cols={2}>
  <Card title="Rewards" icon="coins" href="/getting-started/ecosystem/incentives-and-rewards">
    See the live rewards programs
  </Card>

  <Card title="Governance" icon="landmark" href="/getting-started/ecosystem/governance">
    Current and planned governance
  </Card>
</CardGroup>