🪙Token Economics
Helion AI token Ecosystem
Purpose of HLN utility token
The HLN token is the native token of the Helion AI platform. HLN token is a part of the ecosystem, intended to:
Reward participation
Fund innovation
Fuel collaboration
Become deflationary (buy and burn mechanism)
In more detail, the HLN token fulfills the following functions:
Ecosystem Transactions: When executing AI agents, or creating custom agents, HLN tokens streamline activities across the platform.
Creator Incentives: They earn royalty fees from developing custom AI agents or improving existing agents. When users execute AI agents on the platform creators of the agent will earn a fee.
Contributor Incentives: Everyone who contributes to the broader Helion AI ecosystem - whether through developing new AI agents or improving existing ones - will be rewarded.
Total Supply
The total supply of HLN tokens at Genesis is 500 million. Over time, the supply will increase if more tokens are minted and decrease if tokens are burned.
There will be an upcoming Helion AI DAO launched on the Internet Computer Service Neuron System and no date has been announced. The SNS is configured to generate 1.5% of the total supply annually to pay voting rewards to participating neurons. Voting rewards accumulate in participating neurons as maturity.
At the point a neuron’s maturity is disbursed it is burned and the corresponding value of HLN tokens will be minted by the SNS ledger to an account.
The only way the SNS can burn tokens is by proposal.
Token Emission
At Genesis, the SNS will have a reserve of ICP from the SNS swap and 160 Million HLN tokens.
The SNS will have various outgoings. It will use ICP to pay the Helion AI dApp hosting costs (cycles), 3rd parties for services, and the Helion AI team. It will use HLN tokens to reward users and for community bounties and provide liquidity on decentralized exchanges.
HLN tokens are deflationary by design, as rewards generated in HLN tokens from the HLN DAO liquidity pools (LPs) are regularly burned (removed from circulation) and/or distributed to the HLN DAO governance members. HLN DAO proposals can change this ratio from 100% burned to 100% distributed. This burn/distribution process is a core part of the DAO's approach to managing the ecosystem because it avoids the issuance of new HLN tokens.
Rewards earned in ICP (Internet Computer Protocol) coins from the HLN DAO LP's are staked in an 8-year neuron which is controlled by the DAO. This staking process helps the DAO participate in ICP's governance and earn additional rewards that support the DAO's activities.
As the staked ICP tokens generate returns, these are distributed back to the HLN SNS DAO community as governance rewards. These governance rewards can then be spent on buying back HLN tokens and/or on the distribution to HLN DAO governance members. This approach closes the reverse liquidity loop as buying back HLN tokens again generates rewards in HLN DAO LPs.
The reverse liquidity loop model is designed to minimize token inflation, helping to maintain the integrity of DAO votes and retain DAO self-sustainability.
The following diagram depicts a projection of the total supply of HLN over time. For example, if we assume this projection that the reward rate will remain at a constant 0.5% and that the burn rate will start at 0.5%, increasing by a factor of 0 each year, until it overtakes the reward rate.
Token allocation at SNS Genesis
Initial token allocation
The SNS will be initialized with 500 million tokens allocated. Below are the initial token distribution HLN, lock up, and release schedule.
Decentralization SNS swap
100
20%
0
0%
12
Team
100
0%
12
0%
36
Advisors
20
3%
7
3%
36
Pre-seed
50
8%
7
8%
36
Seed
50
0%
0
0%
24
Airdrop
20
100%
0
8%
0
Reserve
160
-
-
-
-
Initial SNS Configuration
The SNS will initially be configured with the values shown in the tables below which can all subsequently be changed by proposal.
Number of HLN tokens that a rejected proposal costs the proposer.
0.1 HLN
Minimum number of HLN tokens that can be staked in a neuron
0.01 HLN
The initial voting period of a proposal
4 days
The maximum total voting period extension
2 days
Min Dissolve Delay to Vote
30 days
Max Dissolve Delay
182 days
Max Age for Age Bonus
1 year
Max Age Bonus
50 %
Reward Rate
50 %
Max Dissolve Delay Bonus
100 %
Last updated