Chain Wars Essence (CWE)
We believe a healthy ecosystem is the fundament of a succesful blockchain game. That's why we spent a lot of time structuring our visions and ideas and rethinking our strategies before publishing them.
We went through a few phases designing our tokenomics model. First, we looked at other projects which are aimed towards similar goals as our own. We identified a lot of trouble originating from an unhealthy token model. A common problem is an ever-increasing circulation supply which leads to an unhealthy ecosystem. It is very hard, if not impossible, to overcome this problem. Lots of projects have bled out over this particular issue. In many cases, the cause of increasing circulation supply (with the corresponding price inflation) was a lack of utility in the token. Unlike many of these projects did, we think it is necessary for a token to have more utility than to collect your rewards.
We have two major solutions against the problems we encountered. The first solution is giving lots of utility for CWE. Currently, CWE enables you to use Governance & Tier System, NFT's, Loot Boxes, Season Pass and Tournaments. Govenance & Tier System incentivizes players to hold CWE for more impact on the game and to amplify their Play to Earn experience. Season Pass & Tournament Pass qualifies players to compete in Competitive Mode and our Tournaments. And last but not least, CWE enables users to trade on the NFT Marketplace (as currency) and buy Lootboxes.
For the second solution, we've created a unique recycling loop concerning the inflow and outflow of circulation supply. With this loop we aim to maintain a suiting circulation supply for the amount of activity on the market. To maintain sustainability we have designed the usecases and allocations of the token so that this infinite circulation loop arises. It is mostly a community effort, but can be monitored and if needed, corrected by staff as well.
So, how is this loop established? For all rewards, funds are generated by purchases and trades. This creates a constant in- and outflow from both market and treasury. Within treasury there are 3 pools:
- Reward Pool funded by the NFT Marketplace
- Season Prize Pool funded by sold Season Passes and Lootboxes
- Tournament Prize Pool funded by Sold Tournament Tickets
Treasury will kick off with 25% of the total supply. On the other hand, the market will kick off with 10% of the total supply (released CWE in seed sale). Expected is that these proportions will slowly move towards eachother. The ideal scenario would be if they stay that way for as long as possible. Reaility is that the platform might be used other than intended. We try to think up front as much as we can so we can act quick if solutions are needed.
For example, people might not use certain features on the platform as much as wished. In that case, the first action is to research the cause of this and improve. It is not expected to be necessary often, but the last resort is injections from reserves that can be made to maintain the balance of the ecosystem. There is plenty of space to do this because of the big share of reserves held. The main reason for this big share is other than that. Chain Wars aims to be able to evolve with a growing community in terms of supply and needs reserves for having possibilities to introduce new chains in the future.
Chain Wars Essence (CWE) is the bridge between community and game. It allows players to codirect the flow of the game. Meanwhile it's a requirement for playing the game.
Governance rules the game. Chain Wars makes governance a high priority because we aspire to create a user driven universe with an unique ecosystem that's powered by the player. We want to decentralize governance to a large extend. This is a process that must be approached with patience. Governance will be structured by the Tier System. Higher tiers have more voting power.
So, what's the point of Governance in Chain Wars? All establishing models for the game will be tweaked as the circumstances of the game will change and evolve. For this tweaking, Chain Wars aspires a democratic system running in the background to make fair and square decisions and assert our visions of player participation and right of say. Currently, these models are;
- Token Models
- Reward Models
- Treasury Management