Economic Sustainability
TLOCK Economic Sustainability & Tokenomics Simulation
Executive Summary
This document provides a technical simulation and deduction of the relationship between user growth, Average Revenue Per User (ARPU), ad fill rates, and token issuance. The analysis addresses concerns regarding the long-term sustainability of the Reward Pool and the effectiveness of the Dynamic Halving Mechanism.
1. Corrected Token Issuance Logic (1M DAU Scenario)
A critical detail in the TLOCK ecosystem is the Reputation Multiplier, which significantly throttles early-stage token inflation.
Initial Emission Constraints (Level 1 Users)
Base Reward Rate (Level 1): 2^(1-1) / 100 = 1%
Daily Activity (Per User):
5 Comments (bearing rewards)
20 Likes (bearing rewards)
Daily Issuance Per User (Level 1):
Comments: 5 comments * 1 TOK = 5 TOK
Likes: 20 likes * 0.01 TOK = 0.2 TOK
Total: 5.2 TOK per user/day
Aggregated Issuance (1 Million DAU)
In a scenario with 1,000,000 daily active users (assuming they are primarily Level 1 or early Level 2):
Raw Level 1 Emission: 1,000,000 users * 5.2 = 5,200,000 TOK/day
Weighted Average (Accounting for Growth): Even as users progress to Levels 2 and 3 (2% and 4% rates), the daily issuance is expected to fluctuate between 10M to 15M TOK.
Conclusion: This is significantly lower than the theoretical maximum, providing a massive safety buffer for the 100 Billion TOK Reward Pool.
2. Sustainability Analysis: The 50B TOK Buffer
The system triggers its first Dynamic Halving when the pool drops to 50% (50 Billion TOK). We analyzed how long the platform can maintain a "No-Halving" state under a 1M DAU load.
Mining Duration without Revenue
Buffer Amount: 50,000,000,000 TOK
Est. Daily Emission: 15,000,000 TOK (Weighted average)
Sustainability: 50B / 15M ≈ 3,333 days
Conclusion: TLOCK can operate for over 9 years at 1 million DAU without a single halving event or a single dollar of ad revenue.
3. Economic Matrix & ARPU Scenarios
To maintain the Reward Pool indefinitely without depleting the principal, advertising revenue must replenish the pool. The following metrics and matrix illustrate the ARPU requirements across different stages of the token's market value.
Simulation Presets & Assumptions
To provide a clear context for the metrics, the following baseline assumptions are used:
Daily Active Users (DAU): 1,000,000
Daily Token Issuance: ~15,000,000 TOK (Weighted average accounting for Reputation Level progression)
Estimated Circulating Supply: ~50,000,000,000 TOK
Reward Pool Halving Buffer: 50,000,000,000 TOK (Threshold before the first halving event)
Sustainability Matrix
Early-Stage
$0.0001
$5,000,000
$1,500
$0.0015
$0.045
$0.54
Medium-Stage
$0.001
$50,000,000
$15,000
$0.015
$0.45
$5.47
Mature-Stage
$0.01
$500,000,000
$150,000
$0.15
$4.50
$54.75
Insights on Commercial Viability
Early-Stage: The 50B TOK buffer is the primary survival driver. The ARPU requirement is negligible ($0.54/year).
Medium-Stage: At $0.015/day, the revenue goal is highly realistic for a social platform utilizing millisecond on-chain search for precision ad targeting.
Mature-Stage: While $0.15/day is higher, the platform's mature reputation system and deep data insights justify premium ad pricing, comparable to established Web2 giants.
4. The "Safety Airbag": Dynamic Halving Mechanism
The system is protected by an automatic, reversible halving mechanism that acts as a circuit breaker during periods of hyper-growth.
Exponential Growth Protection: If DAU surges to 10M+, the 50B buffer might deplete faster.
Immediate Throttle: Upon hitting the threshold, rewards are slashed by 50% for all users instantly.
Revenue Recovery: Advertising revenue flows into the pool. Once the balance rises back above the threshold, the halving is reversed, restoring higher incentives.
Cooling Period: A 14-day cooling window prevents rapid oscillations, ensuring economic stability.
5. Conclusion
The simulation demonstrates that TLOCK’s economic model is exceptionally robust. The combination of Reputation-Gated Issuance (keeping early inflation low) and the 50B Token Buffer provides a nearly decade-long runway at the 1M user scale. The barrier to entry for commercial sustainability (ARPU) is low, and the system possesses autonomous tools to survive extreme volatility.
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