After seeing this chart, people have been asking me what @Celo's token economics looks like.
Like any native asset, CELO can be used to pay for gas on the chain, which creates buying demand for the asset. Of course, users can also pay in USDT, USDC, or cUSD and when people do so, these assets get converted under the hood into CELO using a DEX, creating more buying pressure.
CELO is also a staking asset, so you can earn a reward by locking it for 3 days. We've found that 3 days is long enough to reduce selling pressure, but short enough that locking it doesn't feel overly onerous or risky.
Finally, unlike some other prominent projects, our labs entity, @cLabs, is a non-profit non-stock company so there is no fiduciary duty for cLabs (or the Celo Foundation for that matter) to generate revenue at the expense of protocol revenue.
Everything we do is in service of the long term success of the network and the CELO asset.
1.12K
13
The content on this page is provided by third parties. Unless otherwise stated, OKX is not the author of the cited article(s) and does not claim any copyright in the materials. The content is provided for informational purposes only and does not represent the views of OKX. It is not intended to be an endorsement of any kind and should not be considered investment advice or a solicitation to buy or sell digital assets. To the extent generative AI is utilized to provide summaries or other information, such AI generated content may be inaccurate or inconsistent. Please read the linked article for more details and information. OKX is not responsible for content hosted on third party sites. Digital asset holdings, including stablecoins and NFTs, involve a high degree of risk and can fluctuate greatly. You should carefully consider whether trading or holding digital assets is suitable for you in light of your financial condition.