Economics

We are committed to a sustainable and transparent tokenomics model that prioritizes long-term value creation and community engagement. Our approach to supply and inflation management is designed to foster stability and growth, ensuring that every participant in the Sentinel ecosystem can contribute and benefit equitably.

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Target Monthly Inflation Rate

The Sentinel coin ($DVPN) inflation will follow a structured approach, organized into epochs lasting 6 months each. Following each epoch, the inflation rate will diminish by 6%, akin to a halving mechanism. Commencing with a genesis rate of 49% (equivalent to a monthly rate of 4.0833% during the first epoch), this model persists until blockchain validation rewards attain a 13% annualized inflation. Subsequently, a constant decay model, implemented on a per-block basis, will govern inflation. This decay model progressively reduces inflation to approach zero, ultimately aligning with the Sentinel chain's maximum hard cap of 48 billion coins.

In our two Medium blogs here and here we have delved more extensively into this topic. If you wish to explore it further, we invite you to read those articles for a more comprehensive understanding.