The new Aptos Blockchain reveals its tokenomics

by Arthur · October 18, 2022

Layer-1 blockchain Aptos (APT) finally launched its mainnet and released its tokenomics overview.

1/ Creating a network for the people requires a tokenomics designed with community and justice at the center.

The overview of the tokenomics is available here: https://t.co/KeU7RXANkd

— Aptos (@AptosLabs) 18 October 2022

After four years of development, the proof-of-stake (PoS) blockchain was established with millions invested by venture capital firms. It has previously claimed to be able to process 160,000 transactions per second (TPS).

Former Meta employees Mo Shaikh and Avery Ching, who worked on the defunct Diem blockchain project, launched Aptos Labs.

Also read: Former Meta Employees Raise $150M for New Crypto Venture

The initial total supply of Aptos tokens (APT) on the mainnet was 1 billion tokens. APT will have 8 digits of precision as part of the fraction where the minimal unit is called an Octa.

This pool of tokens is designated for ecosystem related items such as grants, incentives and other community growth initiatives. Some of these tokens have already been allocated to projects that build on the Aptos protocol and will be awarded upon completion of certain milestones.

A majority of these tokens (410,217,359,767) are held by the Aptos Foundation, and a smaller portion (100,000,000) are held by Aptos Labs. These tokens are expected to be distributed over a ten-year period.

125,000,000 APT available initially to support ecosystem projects, grants and other community growth initiatives now and in the future for the Community category.

5,000,000 APT available initially to support Aptos Foundation initiatives for the Foundation category.

1/120 of the remaining community and foundation tokens are expected to unlock every month for the next 10 years.

All investors and current core contributors are subject to a four-year lock-up plan, excluding stake rewards if applicable.

Token holders who stake their tokens to a validator operator to secure the network and achieve consensus can receive stake rewards, and it is shared between validator operators and stakers and is not subject to restrictions on distribution.

The maximum reward rate starts at 7% per annum and is evaluated at each epoch, and the rate decreases by 1.5% per annum to a lower limit of 3.25% per annum (expected to last over 50 years).

While some Twitter users have reported being unable to send transactions, others have noted that Apto’s Discord was shut down for a few hours after the mainnet launch and have speculated that the team was trying to shut down discussion around potential launch issues.

According to Aptos’ blockchain explorer, the network is currently witnessing around 4 TPS.