The $CPD IDO is almost upon us, and it’s a good moment to talk about token distribution: how many $CPD are allocated for different sale stages and for various groups of users, token burning events, vesting, and more.
We’ve already discussed the advantages of CoinsPaid’s token, $CPD: the discounts of up to 50% on service fee, staking rewards, and so forth. This time, we’ll describe our token allocation model: the CoinsPaid team and advisors put in a lot of effort to ensure that the tokenomics is sustainable in the long term and benefits the whole community.
The total possible emission is 800 million $CPD, but you don’t have to worry about oversupply: only 24 million CPD will be available at the TGE (token generation event). These will go towards market making and the liquidity pool.
As for the distribution of the total supply (800M CPD), it will look as follows:
As you can see, the share of $CPD to be sold is actually quite small: 21% for the private and public sale. That’s why the best strategy is to register for the IDO Waitlist ASAP to buy the tokens at the best price of just $0.02 per CPD.
The Incentive program is where the real bulk of $CPD is (248 million tokens). The incentives comprise staking, cashback, and other rewards. We will distribute these tokens gradually over 1.5 years so as not to destabilize the market supply.
Here is the same allocation structure, but with token numbers:
Another thing to point out are the lockup and vesting periods. The lockup, or cliff, is the period during which a user cannot dispose of their CPD. The lockup is the longest for the team (a year), followed by partners (5 months), advisors, and private sale investors. If you buy $CPD at the IDO, there will be no lockup (though there is a vesting period).
After the lockup period comes the vesting period, when CPDs are released to the owner in a linear fashion with each Ethereum block. For example, a Private Stage I participant will be able to claim their CPD with every new Ethereum block over a period of 10 months to dispose of as they please — stake, sell, use to pay CoinsPaid service fees, etc. For the public sale, the vesting period is 4 months.
The long-term stability of $CPD is our prime concern, and the whole lockup and vesting system is carefully balanced so that the tokens don’t flood the market but flow in a steady trickle.
Another measure we’ll implement is regularly burning batches of CPD tokens: these burning events will take place monthly once all the tokens are in circulation.