S（S）代币经济学

The native token of the Sonic network, formerly Fantom (FTM), is S. The token economics of S are designed to facilitate network security, incentivize ecosystem growth, and manage supply dynamics through a combination of inflation, burning, and vesting mechanisms. The total supply of S mirrors the maximum supply of FTM, and a 1:1 conversion mechanism was established for FTM holders.

Issuance Mechanism and Supply

The initial total token supply of S is 3.18 billion, which is equivalent to the maximum token supply of the predecessor token, FTM.

Inflationary Emissions

The S token incorporates several inflationary mechanisms designed to fund network operations and validator rewards:

1. Validator Block Rewards (Initial Phase): Upon Sonic's launch, the remaining inflationary FTM block rewards from Fantom Opera were migrated to Sonic. This incentivizes Sonic validators for four years at a rate of approximately 70.07 million S per year, which is about 2.21% of the initial total token supply annually.
2. Validator Block Rewards (Perpetual Phase): After the initial four-year period, S will begin perpetual inflationary emissions to fund block rewards. The target inflation rate for these emissions is 1.75% of the total token supply per year, provided that 50.00% of the total token supply is staked.
3. Operational Funding: Six months after Sonic’s launch, S began inflationary emissions directed to Sonic Labs for operational funding, including managing network growth, business development partnerships, and community expansion. This inflation rate is 1.50% of the initial total token supply (approximately 47.63 million S) and is scheduled to last for six years. Any unused tokens from this allocation are burned at the end of the year.
4. Airdrop Minting: Six months after Sonic’s launch, 190.50 million S (6.00% of the initial total token supply) were minted for an airdrop program targeting historic Fantom Opera users and new Sonic users.

Allocation Mechanism

The token allocation for the Sonic SVM token supply, as of January 8, 2025, emphasizes community and ecosystem development.

Note: The total supply in this allocation table (2.4 billion) differs from the initial total token supply of 3.18 billion, suggesting this table may represent a specific subset of the total supply, such as the SONIC SVM token supply.

Historically, the predecessor token FTM had allocations for Founders & Team (~238.13 million FTM or 7.50% of max supply) and Advisors/Contributors (381 million FTM or 12.00% of max supply), which were fully vested as of December 4, 2024.

Usage and Incentive Mechanism

The S token serves multiple core functions within the Sonic network:

1. Medium of Exchange

• Transaction Fees: S is used to settle network transaction fees.
• General Transactions: S can be used to transact throughout the network, such as purchasing non-fungible tokens (NFTs) or providing liquidity for lending protocols.

2. Staking and Validation

Sonic operates on a Delegated Proof-of-Stake (DPoS) consensus mechanism.

• Validator Operation: Any user meeting hardware requirements and staking a minimum of 50,000 S can operate a validator node to secure the network and earn block rewards.
• Delegation: Tokenholders can delegate S to an existing validator to help secure the network and share in the validator's block rewards, minus the validator's chosen commission rate.
• Block Rewards: Validators earn rewards comprising token emissions and transaction fees. Each validator receives its chosen commission rate and a pro-rata share of the remaining rewards based on its self-staked tokens versus its total stake.

3. Ecosystem Incentives

Sonic employs several programs to incentivize developers and users:

• Fee Monetization Program (FeeM): This distinguishing feature allows developers to earn up to 90% of the gas fees generated by their applications, providing a sustainable income stream for builders. The remaining 10% goes to Sonic validators.
• Sonic Labs Innovator Fund: Up to 200 million S was allocated to this fund to accelerate partner migration, provide strategic grants to applications, and secure top-tier infrastructure providers.
• Airdrop Programs: Initiatives like Sonic Arcade and Sonic Boom (which offers "Gems," redeemable for S) are designed to reward early adopters, developers, and loyal users, stimulating activity and encouraging long-term holding.

4. Governance

Tokenholders who stake S are able to participate in the governance of Sonic.

Locking Mechanism and Unlocking Time

FTM to S Migration

The migration from FTM to S was approved via Governance Vote 1.

• Conversion Rate: FTM is convertible to S at a 1:1 ratio.
• Conversion Window: The conversion was available for six months after Sonic’s launch (planned for December 2024).
• Bidirectional Swaps: For the first 90 days after launch, a bridge enabled bidirectional swaps between FTM and S. After this period, the process transitioned to a one-way swap of FTM to S.

Airdrop Vesting and Burn Mechanism

The airdrop of 190.50 million S tokens, which occurred six months after Sonic's launch, utilizes a unique vesting and burn mechanism to encourage long-term holding:

• Initial Unlock: On the first day of the airdrop, 25% of a user’s S token allocation is immediately liquid and redeemable.
• Vesting Schedule: The remaining 75% vests linearly over nine months (270 days) as ERC-1155 NFT positions.
• Burn Penalty: Users can claim the remaining tokens before the nine-month vesting period ends, but they will incur a burn penalty on the unvested portion. This deflationary design aims to minimize immediate selling pressure.

Staking Lock-up

For liquid staking protocols on Sonic, the maximum lock-up period for S token staking is 14 days, simplifying the liquid staking experience.

Overall Vesting

The overall vesting schedule for the SONIC token supply is projected to reach full vesting by 2029. While some allocations like "Ecosystem" and "HyperGrid Rewards" do not have predefined vesting schedules, the progressive rollout of the token supply over several years is intended to manage supply dynamics and maintain network stability.