Unveiling Lanify’s Burning Mechanism: A Dive into Deflationary Strategies

In our latest development milestone, Lanify introduces the Burning Mechanism. In this Medium article, we delve into the utility and vision behind this crucial tool.

Inflation & Deflation

As many of you are aware, each time a user exchanges their unused internet bandwidth for LAN tokens, new tokens are injected into circulation upon claiming rewards, resulting in an inflation schedule. It’s important to note that no new tokens are minted. To counteract this inflation, we’ve devised the burning mechanism, which ultimately serves as a deflationary tool.

How The Burning Works

Currently, claiming rewards are capped at 25% of the total amount once every 5 days. Users who opt not to utilize the burn function can access their rewards within this framework. However, those seeking to increase their claiming rewards and shorten the timeframe must initiate a burning process with their mined tokens. It’s essential to have the specified amount of mined tokens beforehand; purchasing LAN tokens from the open market for burning is not permitted.

Three Burning Options

Users are presented with three burning options, each requiring a different amount of LAN tokens and offering additional benefits:

1. Burn 3 days amount of rewards: Users can collect 50% of their total mined rewards once every 4 days.

2. Burn 5 days amount of rewards: Users can collect 75% of their total mined rewards once every 3 days.

3. Burn 10 days amount of rewards: Users can collect 100% of their total mined rewards at their discretion.

Conclusion

With the introduction of the burning mechanism, LAN transforms into a deflationary token. Every user now has the freedom to choose between free and burned options according to their preferences.

Embrace the burn and let’s ignite the journey together! 🔥

Lanify Team.