Sonic White Paper Interpretation: Ecosystem Incentives, Technical Features, and New Token Economy

Author: Chen Mo Source: @cmdefi

$FTM -> $S Ecological incentives, technical features, and new token economy

TL;DR

1. Large subsidies in the early stage may generate high-yield mining opportunities

2. The airdrop area is large, which means sunshine but not necessarily big money

3. Fee tokenization is Real Yield for entrepreneurs and may bring about a flywheel effect

4. Tokens have the burden of additional issuance. The key to whether they can be digested lies in whether there are applications that can retain users after the subsidies

Ecological incentives

1. Large incentive subsidies (200 million tokens): Sonic Labs We will learn from PayPal's success and achieve user acquisition through a large amount of upfront growth expenditure.

2. Airdrop (190 million): Incentives for users and developers

- 30 winning projects in the Sonic Boom program

- Users who participated in the Play to earn program in the Sonic Arcade program

- Users who migrated from Fantom to Sonic (previously mentioned LST holders, LP liquidity providers, users who have generated transactions, etc.)

3. Fee monetization: Developers can get a portion of the transaction fees generated from their applications (up to 90%)

Technical features

1. High performance: advocate "sub-second finalization, immediate and irreversible transactions". Unlike other blockchains, Sonic does not follow the "longest chain rule" and achieves final confirmation within a single block to achieve high performance.

2. Decentralized bridge: The operation of the official cross-chain bridge Sonic Gateway depends on the validator node network of the Sonic network. While ensuring the operation of the network, the validator node also monitors the asset transfer status between Ethereum and Sonic through the "heartbeat mechanism". Therefore, this cross-chain bridge ensures synchronization with the decentralization of the Sonic network.

3. Real-time data pruning technology: During the operation of the blockchain, unnecessary historical data is automatically deleted, thereby reducing storage requirements and improving data management efficiency.

4. Two-layer database structure: LiveDB and ArchiveDB.

  - LiveDB: Contains only the status information of the current block and provides real-time access to the latest data. The validator node only needs to maintain this part of the data to ensure efficient storage and fast data retrieval.

  - ArchiveDB: stores the status information of all historical blocks, used to satisfy requests for historical data. Archive Nodes can access this part of the data to process query requests that need to be traced back.

Token Economy

1. Circulation:

Used for gas fees and validator staking, at the launch of Sonic, the circulating supply is approximately 2.883 billion S tokens, which is consistent with the circulating supply of FTM.

2. Additional issuance:

  - It is planned to issue 6% of S tokens within 6 months after the launch of Sonic for airdrops to reward Fantom and Sonic users and developers.

  - The Sonic network will issue 1.5% of S tokens (approximately 4762,500 tokens) each year over the next 6 years to support the growth and development of the network.

3. Destruction:

  - For transactions submitted in non-fee monetized applications, 50% of transaction fees will be burned.

  - Users who claim the airdrop in advance will lose a portion of the S tokens, which will be burned.

  - Unused S tokens will be burned each year.