KLAYswap
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  • Introduction
  • Protocol Overview
  • Core Concept
  • KLAYswap Advantages
  • Risk & Security
  • Privacy Policy
  • Audit
  • TOKENOMICS
    • KSP
      • KSP TOKENOMICS
      • Automation of KSP distribution rate
        • Voting policy on passing governance
        • KSP distribution ratio reflection policy
      • KSP Allocation
  • PRODUCT
    • SWAP
    • Single-side Deposit
      • Detailed policy of Single Deposit
    • Pair Deposit
    • V3 Pair Deposit
      • V2 to V3 Migration
        • V2 to V3 Migration Guide
        • V2 to V3 Migration Policy
      • V3 Pair Deposit
        • V3 Deposit Guide
        • V3 pair Deposit Policy
      • V3 to V3 Migration
        • V3 to V3 Migration Guide
        • V3 to V3 Migration Policy
      • V3 Pair Withdraw
        • V3 Withdraw Guide
        • V3 Withdraw Policy
    • Plus Deposit
      • Detailed policy of Plus Deposit
    • Long/Short Position Deposit
      • Open and Close Long/Short Positions
        • Open Short Positions
        • Open Long Positions
        • Remove Long Position
        • Remove Short Position
      • Position Deposit Details Policy
    • KSP Staking & Voting
      • Staking, Pool Voting Policy
    • Governance
      • Governance Voting Policy
    • Drops
    • Ecopot
    • Pool Airdrop
    • APR & APY
      • TVL
      • Pool
      • Staking
    • Interest rate
  • DEVELOPERS
    • Contract
      • Factory
      • Exchange
      • PoolVoting
      • VotingKSP
      • Treasury
      • Distribution
      • Governor
      • SinglePool
      • SinglePool Factory
      • PlusPool
      • PlusPool Factory
      • Store
      • Utils
      • Single/Plus Utils
      • Helper
      • EcoPotVoting
      • EcoPot
      • V3
        • V3Factory
        • V3Pool
        • NonfungiblePositionManager
        • NonfungibleTokenPositionDescriptor
        • V3SwapRouter
        • V3Migrator
        • V3Estimator
        • PositionMigrator
        • V3Treasury
        • V3AirdropOperator
        • UniversalRouter
    • Airdrop
      • Set Airdrop Operator
      • Start Airdrop
    • EcoPot
      • Set EcoPot
      • Start EcoPot
  • HOW-TO GUIDES
    • KLAYswap Guide
    • How to add liquidity on KLAYswap
    • [Burrito Wallet] How to deposit assets using mobile devices?
    • How to create a liquidity pool on KLAYswap
    • How to stake and vote on KLAYswap
    • How to deposit assets
      • Deposit Klaytn-based assets
      • Deposit Ethereum-based assets
      • Deposit XRP
    • FAQ
  • KLAYswap
  • Orbit Bridge
  • KLAYswap git
  • Orbit Bridge git
  • KLAYswap audit report
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On this page
  • KSP mining quantity
  • KSP inflation distribution ratio
  • Value maximization through KSP deflation
  • The effect of reducing distribution through halving
  • The effect of reducing distribution through Buyback & Burn

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  1. TOKENOMICS
  2. KSP

KSP TOKENOMICS

PreviousKSPNextAutomation of KSP distribution rate

Last updated 1 year ago

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KSP is a reward given to ecosystem participants and serves as a strong incentive to secure more liquidity in the klay swap protocol. It provides meaningful liquidity-based transactions and more financial opportunities through token economy structures that enable efficient distribution and value maximization of limited KSP resources.‌​

KSP mining quantity

‌

The total daily mining quantity of KSP is 86,400 KSP, which is distributed excluding the developer commission for the first two years, and halving is applied every two years. Please refer to for detailed mining plans.‌

​​Items

Quantities

Distribution by block

1 KSP

Developer commission (15%)

0.15 KSP

KSP mining per day​

86,400 KSP

​

*** Commission excluded: 73,440 KSP

​‌

KSP inflation distribution ratio

‌‌

KSP inflation is distributed to single, pair (existing/plus), and KSP stakers who are the key contributors to the KLAYswap ecosystem. Distribution ratios can be adjusted through governance voting.‌

Initial (Pre-Halving)

Distribution target

Distribution ratio by block(%)

Distribution per block

Daily distribution (86,400 blocks)

Single depositors

5%

0.05 KSP

4,320 KSP

Pair depositors(Existing, Plus)

45%

0.45 KSP

38,880 KSP

KSP staking

50%

0.5 KSP

43,200 KSP

Total

100%

1KSP

86,400 KSP

​

* **Except commision

0.85 KSP

73,440 KSP

​

Currently (First Halving Applied)

Distribution target

Distribution ratio by block(%)

Distribution per block

Daily distribution (86,400 blocks)

Single depositors

3%

0.015 KSP

1,296 KSP

Pair depositors(Existing, Plus)

35%

0.175 KSP

16,120 KSP

KSP staking

62%

0.31 KSP

26,784 KSP

Total

100%

0.5KSP

43,200 KSP

​‌

Value maximization through KSP deflation

The KLAYswap protocol has a flexible token economy structure that can maximize the value of KSP by controlling KSP distribution through a deflation model. This not only offers high level of APR for liquidity providers such as pool depositors and KSP stakers, but also builds a more robust and sustainable ecosystem where the scarcity value of KSP gradually increases as more users participate.‌

The effect of reducing distribution through halving

The halving of each two-year cycle slows down KSP inflation by reducing the number of KSPs distributed per block. Please check for KSP Allocation for detailed inflation plans.

The effect of reducing distribution through Buyback & Burn

  • KSP incineration using bi-back funds: 50% of transaction fees generated from all pools are raised as KSP buy-back funds and used for KSP incineration.

  • Incineration of KSP pool registration fee: A certain amount of KSP is used to create new pairs in KLAYswap, and the cost gets incinerated.

KSP Allocation
KSP Allocation