How will STAX token supply be managed?

The total proposed supply of STAX tokens will be capped at 100,000,000 – though we do not intend for the cap limit to be reached. It will be up to the governance group, made up of STAX token holders, to determine if distribution should ever reach this cap.

In terms of the initial breakdown of STAX tokens:

25 million STAX tokens will be allocated to Founders, stock options, advisors, and investors, all as part of the process of bringing StarsX to life.

5 million tokens will go to a Fundraising fund. We intend for this fund to support operations and growth.

5 million tokens will go to the StarsX ecosystem fund which will be used to attract and provide incentive to strategic partners who can help the system to grow and thrive in the market. These tokens will be used as part of the growth strategy of StarsX and should be used carefully.

STAX tokens will never be sold to retail investors, with the remaining 65 million tokens intended for distribution to users of the platform in the coming months and years.

The model for StarsX sees a release and distribution of around 145,000 STAX tokens to users every week. In year One, this represents a supply inflation of 30% from the initial 25 million tokens allocated. The goal is to use this supply inflation to kickstart the distribution of governance rights through STAX tokens, so that we can continue to develop the platform with the support or users.

Operating under the same rate on a consistent basis, it is likely to take around 8 and a half year to distribute the remaining 65 million STX tokens left behind after the initial hand out. Once this time period is over, the 100,000,000 cap will have been reached. However, it is up to the governance and StarsX community to determine whether or not distribution should stop before this number is reached.