The maximum supply of the NODL token is 21 billion, no additional tokens can be minted once the protocol reaches this number.
Nodle was originally built on another chain in 2018, where approximately 8.4 billion tokens were minted, it was then migrated to a native Nodle Chain in 2020. The rest of the tokens constituting the max supply will be minted according to the predictable mechanisms described in section “token issuance”.
Original stellar blockchain can be tracked here: https://stellar.expert/explorer/public/asset/NODL-GB2Y3AWXVROM2BHFQKQPTWKIOI3TZEBBD3LTKTVQTKEPXGOBE742NODL
Tokens can only be issued by the Nodle Chain itself which does so in order to incentivize network participants. As of today, these allocations are controlled by a centralized oracle operated by Nodle. However, future upgrades will further decentralize and reduce the trust of this process by:
- Providing clear safety mechanisms within the on-chain code to ensure that the oracle cannot over-issue tokens.
- Providing a clear transaparency and auditing mechanism to review the work of the oracle in computing rewards for each participant.
- Moving towards a federation model for our oracle which would allow third parties to participate in the oracle's work.
NODL token holders will be eligible to participate in governance proposals and vote on them as ownerhsip of the Nodle Chain is given back to the community.
The market capitalization or “market cap” of a crypto network is computed by multiplying the “token supply” and the “token market price”. As the token is not yet listed, and does not have a market price, there is no single market cap, fixed by an open market on an open exchange. Although market capitalization is thus not relevant at this stage, it is important to highlight the token supply and its dynamics in coming months and coming years.
Different projects and communities may take unique approaches to evaluate the token supply of a crypto network. In the case of Nodle, the consensus is to use the circulating supply. Circulating supply represents tokens that are free to be traded, exchanged or used on the network.
Non-circulating supply includes:
- Unmined tokens: Tokens yet to be issued by the chain
- Locked funds: Tokens purchased by investors under a contract locking the tokens for an agreed period of time and tokens that have been allocated by the Nodle company to key people, but are kept in escrow until they execute the vesting period contracted. While they are not circulating, the tokens cannot be used to participate in the Nodle economy, which means they don’t provide utility to the network. A utility token represents units of value being exchanged on the marketplace. Market capitalization should thus take circulating supply into consideration.