Economic Model & Incentive Structure
Economic Sustainability
The sustainability of Aurica’s economic model hinges on a balance between token supply and demand, the utility of the $AURI token, and the strategic management of the Treasury:
Token Supply Management: A fixed supply of $AURI tokens ensures scarcity and helps prevent inflation. The token bonding process also manages the supply by locking tokens for a vesting period.
Treasury Asset Accumulation: The Treasury accumulates RWAs through the bonding process, providing a stable foundation of value for the ecosystem.
Investment in Green Projects: A portion of the Treasury funds is allocated to green projects, ensuring a cycle of reinvestment that promotes growth and sustainability.
Reward Mechanisms
Aurica’s economic model is designed to incentivize participation and investment within the ecosystem through a variety of reward mechanisms:
Staking Rewards: Users who stake Green Project NFTs receive fractionalized carbon credits as rewards, creating a tangible link between their investment and environmental impact.
Governance Incentives: Holders of veAURI are incentivized to participate in governance through voting power and a bonus multiplier system for carbon credit earnings, which increases with the amount of $AURI staked.
Raffles and Contests: Regularly held raffles for carbon credits and other rewards provide a fun and engaging way for users to increase their holdings and participate in the ecosystem.
Risk Management and Mitigation
Aurica takes a proactive approach to risk management, implementing measures to mitigate potential financial and operational risks:
Diversified Asset Portfolio: The Treasury maintains a diversified portfolio of assets, including stablecoins, $AURI, and carbon credits, to protect against market volatility.
Smart Contract Audits: Regular audits of smart contracts are conducted to ensure security and the integrity of the staking and bonding mechanisms.
Regulatory Compliance: Ongoing monitoring and compliance with global regulations reduce the risk of operational interruptions.
Community Governance: Decentralized decision-making through the governance model allows for collective risk assessment and mitigation.
Aurica's economic model and incentive structure are crafted to ensure a sustainable, engaging, and growth-oriented platform. By aligning rewards with participation and governance, Aurica fosters an active community invested in the platform's success and its environmental mission. The focus on risk management and the strategic use of the Treasury's assets further solidify the economic foundation, supporting Aurica's vision of making sustainable investment accessible to all.
Last updated