Chi Protocol
  • Background
    • Chi Protocol
    • The World of LSTs
    • The Stablecoin Landscape
    • Governance Token with LST Yield
    • Size of the Opportunity
  • Overview
    • Introduction to Chi Protocol
    • What is USC and How Does USC Work?
    • Yield Generation Mechanism for Staked USC
    • How is USC Stability Achieved?
    • LST Yield Parameters and Collateral Composition
    • Dual Stability Mechanism: Minting and Redeeming USC
  • CHI & VECHI
    • Understanding CHI & veCHI
    • Staking CHI and LST Yield
    • Governance and Boosted LST Yields with veCHI
  • Tokenomics
    • CHI Tokenomics
    • CHI Token Utilities
  • Supplement
    • Frequently Asked Questions
    • Audits
    • Roadmap
  • Documentation
    • Technical Resources
    • Deployed Contracts
    • Community Resources
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  • Tokenomics
  • Token Allocation
  1. Tokenomics

CHI Tokenomics

CHI Initial Supply and Governance

PreviousGovernance and Boosted LST Yields with veCHINextCHI Token Utilities

Last updated 1 year ago

Tokenomics

Chi Protocol is an open-source DAO (Decentralised Autonomous Organisation) project. Chi is managed by people worldwide who hold its governance token, CHI. Through a governance system, holders with locked CHI can influence the direction of the protocol.

CHI is the native token powering Chi Protocol. Its utility comprises all core network functionalities, such as staking, governance, mint, and collateral composition. CHI is an ERC-20 governance token.

CHI holders manage the Chi Protocol and its financial risks, ensuring stability, transparency, and efficiency. The voting weight of CHI is proportional to the amount a voter stakes and the duration for which the CHI is locked in the staking contract. In other words, the greater the amount and the longer the duration of CHI tokens locked in the contract, the more significant the voter’s weighting power.

Token Allocation

At launch, CHI had an initial supply of 100,000,000 tokens, distributed as follows:

Allocation
Percentage
Unlock
Vesting

Mining Rewards

40%

100%

Dynamic issuance based on users' time preferences

Treasury

25%

0%

A 1-year cliff, then linearly vesting over 2 years

Initial Contributors

12.5%

0%

A 1-year cliff, then linearly vesting over the subsequent 2 years

Team & Advisors

11.5%

0%

A 1-year cliff, then linearly vesting over the subsequent 2 years

Chi DAO

8%

100%

Dynamic cliff and vesting based on contracts

Airdrop

2%

100%

To be decided

LP Reserve

1%

100%

Fully unlocked at the time of the Token Generation Event (TGE) as the initial CHI liquidity pool