Distribution

Objective of Token Distribution

The primary goal of NEIQW’s token distribution is to cultivate robust protocol engagement, characterized by high utilization of borrowing capacities balanced with an expanding lending pool. NQW holders are empowered to propose and determine the most effective strategies for the protocol's advancement. The distribution strategy focuses on Liquidity and Community Incentives to ensure optimal market utilization and broad governance participation. This strategy may be adjusted over time through community governance as the protocol matures and in response to evolving market dynamics.

Community Engagement

• Community Allocation: 45% of the total supply is dedicated to community initiatives.

• Liquidity and Community Incentives: This includes incentives for liquidity providers to foster a high Total Value Locked (TVL) and active utilization of the platform.

Team Allocation

• Team Tokens: 10% of the total, allocated to the team. These tokens are vested over four years with quarterly releases, following a 12-month cliff subsequent to the public listing.

Treasury Funds

• Treasury Allocation: 15% NQW tokens reserved for the Treasury to support strategic partnerships and ensure protocol sustainability. The Treasury tokens vest quarterly over four years, starting with a 9-month cliff post-public listing.

Exchange Liquidity

• Exchange Reserves: 5% of the tokens are earmarked for bolstering liquidity on both decentralized exchanges (DEXs) such as Pangolin and centralized exchanges (CEXs).

Liquidity Mining and Community Programs

• Liquidity Mining: Constituting 45% of the total token supply, liquidity mining aims to enhance TVL and the platform's utilization rate. This is achieved by rewarding activities across the borrowing and lending pools.

• Initial Liquidity Mining Initiative (LMI-0): Targets the Borrowing Pool, Lending Pool, and Liquidity Providers for an initial period of 90 days.

Governance-driven Adjustments

• Adaptability: The Liquidity Mining program's specifics, including rewards allocation, are flexible and subject to adjustments based on real-time market conditions and governance decisions.

This comprehensive approach ensures a fair distribution of NQW tokens, aligning incentives across the NEIQW ecosystem while promoting active participation and governance by the community.