Insight Tokenomics

1 Tokenomics Overview

Total Supply: 24 Billion

Token Symbol: XCOIN

Underlying Technology Platform: SPL (Solana)

Token Allocation:

• 75% NebX Airdrop: Users earn XCOIN rewards through the NebX project and can claim their tokens by binding with Insight.

• 11% Marketing and Liquidity Provision: Dedicated to supporting both decentralized and centralized exchanges, ensuring robust liquidity for smoother trading experience, reducing slippage on DEXs, and enhancing $XCOIN visibility through marketing initiatives on CEXs to drive broader adoption and usage.

• 10% Mining Incentives: Including Trade-to-Earn and Strategy-to-Earn mechanisms to incentivize platform trading activities and boost trading volume. The first phase of mining incentives allocates 10% of tokens as rewards, with continuous token buybacks to replenish the incentive pool during platform development.

• 4% Community Incentives: Allocated to enhance community engagement, encourage user participation in platform development and governance, and increase interactions and activities within the ecosystem.

2 Incentive Mechanisms

2.1 Trade-to-Earn

Incentive Recipients: All users who participate in transactions. Users who complete valid transactions on the platform are eligible for token rewards.

Incentive Calculation:

$$R = \begin{cases} R_0 \times \alpha^n \times (V \times r \times f \times t) & \text{if } V \geq V_{\text{min}} \\ 0 & \text{if } V < V_{\text{min}} \end{cases}$$

• Parameter Definitions:

  • V：Amount of the user's single transaction.

  • Vmin：Minimum transaction amount threshold required to receive rewards.

  • R0：Initial reward per transaction.

  • α：Decay coefficient, the proportion by which rewards decrease each decay period.

  • T：Reward halving period, decreasing after reaching a certain volume of transactions.

  • n：Number of decay periods passed since the start of mining activity.

  • r：Base reward ratio.

  • f：Transaction frequency factor.

  • t：Transaction type factor.

Reward Distribution: Rewards are calculated immediately after each transaction is confirmed, accumulating in the user's account. Users can withdraw rewards to their crypto wallets at any time via the platform.

Monitoring and Adjustments:

• Data Monitoring: Continuously monitor transaction data and reward distributions to ensure fairness and effectiveness of the reward mechanism.

• Reward Strategy Adjustments: Regularly evaluate decay coefficient α, minimum transaction amount Vmin, and other relevant parameters. Initiatives for reward strategy adjustments will be put to a vote by users with governance rights, and approved proposals will be implemented and announced in the community.

2.2 Strategy-to-Earn

Incentive Recipients: All users involved in creating strategies and generating follow-trade transactions. A portion of the transaction fees generated by strategies created by users and followed by others on the platform is distributed to the creators as token incentives.

Incentive Calculation:

$$R = R_0 \times \alpha^n \times (F \times s \times u \times g)$$

• Parameter Definitions:

  • F： Total fees generated by the strategy.

  • R0：Initial reward per strategy unit.

  • α：Decay coefficient, the proportion by which rewards decrease each decay period, consistent with the parameters in "Trade-to-Earn".

  • T：Reward halving period, decaying once a certain transaction volume is reached, consistent with the parameters in "Trade-to-Earn".

  • n：Number of decay periods passed since the start of strategy mining activity, consistent with the parameters in "Trade-to-Earn".

  • s： Base strategy reward ratio.

  • u：User follow-investment activity factor.

  • g：Strategy success rate factor.

Reward Distribution: Rewards are calculated immediately after each strategy transaction is confirmed and accumulated in the creator's account. Users can withdraw rewards to their crypto wallets at any time via the platform.

Monitoring and Adjustments:

• Data Monitoring: Continuously monitor the creation, publication, execution, and the associated transaction data and reward distributions to ensure the fairness and effectiveness of the strategy and mining mechanism.

• Strategy Reward Adjustments: Regularly assess related parameters and initiate proposals for strategy reward adjustments. Users with governance rights can vote on these proposals, and approved proposals will be implemented and announced in the community.

2.3 Airdrop

Airdrop Plan: Total allocation ratio is 75%. Prior to the launch of the project, users can earn XCOIN incentives through the NebX project.

Incentive Recipients: Aimed at X account users, including content contributors and active users within the platform.

Incentive Mechanism:

• Airdrop Claiming: Users complete information verification on the official NebX platform (including X accounts and other platforms).

• Incentive Calculation: The number of airdrop tokens is determined based on the activity and value of X accounts through the platform model, allowing users to earn more airdrop rewards by completing incentive tasks.

• Airdrop Method: After the project is launched, users can bind and claim tokens through Insight.

3 Revenue Distribution and Token Circulation

Platform Revenue Calculation Rule:

$$E=R_{Transaction Fees}+R_{LLM Revenue}+R_{Subscription Revenue}-C_{Platform Expenditures}$$

• Transaction Fees: Fees charged by the platform for transactions.

• LLM Revenue: Revenue generated from using LLM services.

• Subscription Revenue: Revenue from strategy subscriptions and product subscriptions.

• Platform Expenditures: Includes strategy fee sharing, platform maintenance costs, basic operational costs, etc.

Buyback and Burn:

• The platform will use all profits for the redistribution of earnings and the deflationary destruction of tokens.

• Within the platform's earnings, AIP tokens are directly transferred to the profit distribution wallet, while other tokens are converted to AIP tokens via a limit buy order before being transferred to the profit distribution wallet.

• 20% of the earnings are destroyed through a smart contract.

• 80% of the earnings are distributed to token holders based on their holdings, with the calculation rules as follows:

  • Daily average holdings calculation, calculating user i's daily average token holdings avg_Hi over the entire quarter:

  $\overline{H_i} = \frac{\sum_{d=1}^{D} H_i(d)}{D}$

  • Revenue distribution, if a user's daily average holdings reach the threshold value θ, they are eligible for earnings. The distribution ratio of earnings is based on their daily average holdings relative to the total daily average holdings of all qualified users:

  $S_i = \frac{\overline{H_i}}{\sum_{j \in \text{qualified}} \overline{H_j}} \quad \text{if } \overline{H_i} \geq \theta$

  • The actual distribution of earnings for user i is:

  $Pi=R×Si$

  • Parameter explanation:

    • Hi(d): The number of tokens held by user i on day d.

    • D: Total number of days, for example, about 90 days in a quarter.

    • θ: Eligibility threshold, the daily average holdings must exceed this value to qualify for earnings distribution.

    • R: Total earnings generated by the platform in that quarter.

    • qualified: The set of users whose daily average holdings are greater than or equal to θ.

4 Platform Governance

Token holders participate in platform governance through proposals and voting to adjust and decide on platform rules.

4.1 Voting Weight Calculation

$$W_i = \overline{Q_i} \times T_i$$

Wi : the voting weight of user i.

avg_Qi : the average number of tokens held over the last 180 days.

Ti : the number of days tokens were held in the last 180 days, with a maximum of 180.

4.2 Proposal and Decision-Making

• Proposal Submission: Any token holder can submit proposals regarding the future development of the platform, functional improvements, or policy adjustments. Proposals must detail the changes, expected effects, and implementation steps.

• Proposal Review: Submitted proposals undergo an initial review to ensure they meet basic format and content requirements.

• Community Discussion: Proposals are discussed openly in the platform's forums or through dedicated channels, allowing community members to ask questions, express support or opposition, and provide feedback.

• Voting Procedure: After the discussion period, all eligible token holders may vote on the proposal.

• Decision Criteria: A proposal is passed if it receives more than 1/3 of valid votes and 2/3 of support votes.