OGX (Original) GTON Exchange
The use-cases served by the DEX are long and short trading of synthetic assets, which will use an implementation of the Pathway protocol, a launchpad for new projects in the ecosystem, plus a special tokenomic mechanics where profit for LP providers is distributed not as the farming rewards, but through the buy-back & burn mechanism of the main Relay Token.
At the core of the exchange token functionality is its focus on the issuance and trading of synthetic assets linked to RWA (real world assets), such as gold, silver, oil, exchange or crypto-indices, ETFs, or stocks and even other cryptocurrencies. The principle for holding the peg is as follows: two pairs of assets are issued for long and short (described here), whereas the peg itself is supported by the Pathway protocol (research article).
One of the key features of the DEX tokenomics is that the Relay Token (MoE), which also serves as the governance token of the exchange, is burned during each swap operation (0.3% fee), thus reducing the circulating supply.
OGXT Relay Token
The tokenomics of Ethereum, after the adoption of EIP-1559, is designed to cause Ethereum to become deflationary through fee burning, as activity on the blockchain increases. This is quite simple and effective, as the value of the network grows with the growth of network usage. At the same time, the staking yield stays predictable and can be expressed in terms of APR (annual percentage rate). For example, if the APR is 10% but the Annual Burn Rate (ABR) is higher than 10%, the native token becomes deflationary.
The previous tokenomics of the legacy GTON token would not allow for such mechanics to be implemented because the supply of the token is limited to 21 mln tokens, and there was no possibility of minting more of it in the future.
The GTON Labs team is conducting a token swap of GTON to OGXT to implement an ABR-APR tokenomics in it:
- 0.3% trading fees conversion to OGXT and burn
- Staking APR 10%
- 100 mln total supply during initial token release (4.761 OGXT for 1 GTON)
- Max supply limited by ABR-APR ratio
- Same proportional token distribution as GTON
The utility of the OGXT token is inherited from the utility of the GTON token:
- Governance of OGX and all related products and services
- Collateral for GTON Dollar
- Fixed APR staking
- Relay token
- Value capture via Annual Burning Rate (burning fees)
That is, in fact, the same token with improved tokenomics for a native value capture and a focus on a real use-case as a Relay token in the token ecosystem.
OG Exchange Token Use Cases
Summing up, the list of use-cases for the exchange token is:
- Mirrored assets
- Integrated launchpad
- Leverage trading (derivatives)
- Multichain support
- Cross-chain swap