What is the LAI Token?

The LAI token is the native token of the LayerAI blockchain. Its primary function is to act as a gas token, enabling transactions and activities across the LayerAI network. Every transaction on the network, from transferring assets to interacting with decentralized applications (dApps), requires LAI tokens, ensuring consistent demand for the asset. This transactional utility provides the basis for LayerAI’s economic framework and facilitates efficient network activity.

Beyond its role in powering transactions, the LAI token is designed as a versatile and multi-functional asset within the LayerAI ecosystem, integrating to it a number of economic incentives, enhancing its usability and value. For instance, LAI serves as a medium of exchange in the Layer Marketplace, where users can buy and sell tokenized data assets such as Data Capsule NFTs. This transactional utility directly connects users, data contributors, and AI developers, creating a dynamic ecosystem centered on monetization and exchange of user-generated data.

Token Utility

Within the LayerAI ecosystem, LAI tokens are essential for a number of functions. Primarily, they act as the gas fee for processing transactions on the network, ensuring efficient and secure operations. This requirement establishes a consistent demand for LAI, as every transaction necessitates its use.

Beyond transaction fees, LAI tokens offer holders access to ecosystem products and services. For instance, staking LAI can unlock discounts across different platforms within LayerAI, particularly the LAI Data Market. This feature incentivizes users to hold and stake tokens, fostering deeper engagement with the ecosystem.

LAI also facilitates liquidity within the LayerAI environment. As the native asset, it enables seamless transactions between data miners and buyers, eliminating the need to convert between different currencies. This liquidity streamlines operations and reduces associated costs, enhancing the overall efficiency of the data economy LayerAI aims to build.

Staking Benefits and Network Validation Roles

Staking LAI tokens offers several advantages to participants. By locking up their tokens, stakers can receive Data Capsule NFTs, which are essential for earning reward tokens through data contributions to the ecosystem. This mechanism incentivizes active participation and data sharing within LayerAI.

Stakers also gain governance rights, allowing them to influence decisions regarding the ecosystem treasury. This involvement ensures that those invested in the platform have a voice in its financial and developmental directions, promoting a community-driven approach to growth.

Tokenomics

The total supply of LAI tokens is capped at 3 billion. The distribution plan allocates:

• 25% to the treasury;
• 20% to liquidity, staking, and market making;
• 20% to public and backers;
• 16% to the team;
• 10% to the development reserve;
• 9% to partners and advisors.

This allocation strategy aims to balance the needs of network security, development, and community incentives. By dedicating a significant portion to the treasury and liquidity, LayerAI ensures the platform’s sustainability and capacity to support various initiatives and rewards.

The emission schedule and lock-up periods are designed to control the release of tokens into circulation, mitigating inflationary pressures and promoting long-term value appreciation. This approach aligns the interests of early investors, team members, and the broader community, fostering a collaborative environment for the platform’s growth.

Highlights

• LAI serves as the native asset and gas token for LayerAI’s blockchain.
• Staking LAI provides access to Data Capsule NFTs and governance participation.
• The total supply of LAI is capped at 3 billion tokens.
• Token distribution includes allocations for the treasury, liquidity, public backers, team, development reserve, and partners.
• Emission schedules and lock-up periods are implemented to maintain token value and align stakeholder interests.