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Pre-migration documentation. This site reflects the pre-migration state of the protocol. It’s mostly current, but a few edges may not match ZERA at launch. We’re finalizing the new, detailed ZERA docs now. Thanks for your patience.

$ZERA Tokenomics & Economics

Mathematical foundations of our deflationary tokenomics and value accrual mechanisms

DeflationaryBurn MechanicsValue AccrualMathematical
Development Status

Burn mechanism not yet launched.

  • In development: burn contracts and parameters
  • Subject to change: rates and percentages pending review
  • Regulatory assessment in progress
  • Community feedback may refine parameters
Executive Summary

$ZERA uses a transparent, formula‑driven deflationary design where protocol activity drives token burns across supported assets (stablecoins, BTC, SOL, etc.). This aims to create adoption‑driven scarcity and value accrual. This mechanism is currently in development.

Token Metrics (Simulated Data)

⚠️ Burn mechanism not yet launched - showing simulated projections

📊 Supply Dynamics Modeling

What This Chart Shows: This visualization models the mathematical relationship between protocol volume, automatic token burns, and resulting supply dynamics. It demonstrates how deflationary mechanics could impact token scarcity over time.

Key Metrics:

  • Remaining Supply: Total tokens left after cumulative burns
  • Burned Tokens: Total $ZERA tokens removed from circulation
  • Price Elasticity: Mathematical sensitivity of price to supply changes
  • Protocol Volume: Cumulative USDC value processed through the protocol

⚠️ Development Status: Burn mechanism not yet launched. These are economic models, not operational data.

Remaining Supply
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$ZERA Tokens
Total Burned
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Protocol Volume
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Cumulative USDC
Price Elasticity
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ε = βV/(S₀ - βV)
ZERA Deflationary Supply Dynamics
Real-time token burn impact on supply and price elasticity. Burn rate: 1.00%

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Price Elasticity Evolution
How price sensitivity increases as protocol volume grows and supply decreases

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Economic Insights

Deflationary Mechanics

  • Automatic Burn: Every $1 of protocol volume automatically burns $0.010 worth of $ZERA
  • Supply Reduction: 17.00% of total supply already burned
  • Price Elasticity: Current elasticity of 2.05 indicates high sensitivity
  • Network Effects: Larger user base improves privacy for all participants

Value Accrual Model

  • Automatic Burns: No manual intervention required
  • Volume Scaling: Higher adoption accelerates deflationary pressure
  • Predictable Mechanics: Mathematical transparency enables informed investment
  • Long-term Incentives: Burns reward patient capital over speculative trading
Core Deflationary Mechanics

Burn Formula

The fundamental equation governing $ZERA token burns:

ΔS = β × V
Where:
  • ΔS = Tokens burned per transaction
  • β = Burn percentage (rates TBD, subject to change)
  • V = Transaction volume in USDC/SOL value

Supply Dynamics

The total supply decreases over time based on cumulative protocol volume:

S(t) = S₀ - β × V(t)
Where:
  • S(t) = Remaining supply at time t
  • S₀ = Initial supply (1 billion tokens)
  • V(t) = Cumulative protocol volume up to time t

Price Impact Model

Token price responds to supply changes and demand dynamics:

P(t) = D(t) / S(t)
Where:
  • P(t) = Token price at time t
  • D(t) = Demand for tokens at time t
  • S(t) = Remaining supply at time t
Planned Burn Integrations

Automatic Burn on Privacy Activation

// Automatic burn on every privacy activation
function activatePrivacy(usdcAmount) {
const burnAmount = calculateBurnAmount(usdcAmount)
burn(burnAmount) // automatic
enablePrivacy(usdcAmount)
}

Volume‑Responsive Burns

// Burn rate scales with volume (planned)
burnAmount = beta * txVolume
totalSupply -= burnAmount // automatic

Cross‑Chain Burn Aggregation (Future)

// Aggregate burns across networks
function aggregateBurns() {
const total = solanaBurns + ethereumBurns + polygonBurns
updateGlobalSupply(total)
}

Key Concepts to Explore

Token Overview

Role of $ZERA in the protocol and ecosystem

Regulatory Compliance

Compliance considerations and frameworks

Integration & Usage

How to integrate $ZERA into applications

Investment Framework

Analytical framework for evaluating $ZERA