HUNT Token Burning System and End of Ecosystem Bounties
We have initiated the HUNT Token burning system today with aiming to connect the HUNT token value to the business model of the HUNT DApps. Also, we have decided to finish the ecosystem bounty program, shut down the Steemhunt Wallet, and burn all the left-over tokens and make no more token leakage into the market.
About HUNT Network
HUNT Network is a group of DApps for digital nomads all around the world. We are aiming to create a DApp world that empowers people who are in transition to the post-work and digital nomadic life by utilising the gamified blockchain and cryptocurrency mechanism.
Since our mission is to empower digital nomads all around the world by utilising the blockchain ecosystem, our DApps are leveraging a variety of blockchain backbones based on what the DApp aims for.
For example, Steemhunt is a daily ranking community for cool new products by tech early-adopters who can get crypto rewards for sharing the coolest/newest products and competing on a daily basis. To create a benefit for product hunters, we utilise Steem blockchain and STEEM token reward system.
Reviewhunt is an on-demand marketing task marketplace that enables individuals and businesses (called "Makers") to utilise crowdsourced workers to achieve their marketing missions. Reviewhunt is using the Ethereum network for the reward system.
HUNT Token and Burning System
HUNT token is an ERC20 based cryptocurrency that works as the key currency for HUNT DApp users to empower their digital lifestyle. It can be directly used in each DApp or utilized as a vehicle token for different purposes.
HUNT Burning MechanismIn order to expand the user base, HUNT DApps utilise a variety of different token systems such as BTC, ETH, STEEM and fiat currencies (USD & KRW) as well as HUNT. In order to promote HUNT utility and share revenue with HUNT token holders, all fee-based revenues that are not made via HUNT tokens on our DApps are converted to HUNT tokens, and they are burned on a quarterly basis. The burning model is different for each DApp.
This burning system is designed to benefit the HUNT holders when HUNT Dapps have more users or increases its revenue. In other words, we aim to connect the HUNT token value to the business model of the HUNT DApps.
Reviewhunt Burning Model
Reviewhunt is a two-sided platform between makers and hunters. Makers create a marketing quest that invites hunters to perform a set task for their marketing purpose in exchange for a reward.
Makers can make the payment via the following payment instruments with a set operation and conversion fees.
- BTC, ETH, Fiat currencies (USD and KRW) - 10% fees
- HUNT - no fees
Also, hunters can withdraw their USD Point-based rewards via the following transfer methods:
- Ethereum - 10% conversion fees
- HUNT - no fees
The 10% fee revenue from the non-HUNT payment methods from both makers and hunters will be converted to HUNT tokens and burned on a quarterly basis. When makers/hunters use more HUNT tokens to make their payment or withdraw rewards, the amount of HUNT tokens to be burned will decrease, which will benefit the HUNT token utility. On the other hand, if makers/hunters use non-HUNT payment methods it will reduce the token supply as more HUNT tokens will be burned.
First HUNT Burning Begins Today
The HUNT token burning begins today and will be performed on a quarterly basis. Today we burned the amount for the first quarter of 2020 which is from February 1 (ReviewHunt's launch date) - March 31, 2020. The total amount we burned is 1,311,205 HUNT. This is 1.26% of the total circulating supply. You can see the burning records here - https://etherscan.io/tx/0x142a1b5b51d9d77f74480b6c525cc354b07983dee7e9cb5cabb1eb88eacb6b76.
Ecosystem Bounties - 50% of the Total Issued Tokens
When we launched Steemhunt initially in March 2018, our main focus was to build the user base and amplify our community activities. So, we launched a unique way to distribute our tokens through an ecosystem of community building bounties. This bounty program was initiated on May 22nd, 2018 with a plan to distribute up to 50% of the total tokens issued and was set to be continued until the HUNT main token system was launched. As of May 27, 2020, the bounty has distributed 36% of the total allocated, while 64% of the bounties are still on stand-by (which is about 160 mil tokens).
Today, we have set the new mechanism for the HUNT token model - HUNT Network and Token Burning System. As more of the DApps on HUNT Network gain a revenue stream, it is designed to increase the value of HUNT token. In order to achieve this goal, we have decided to finish the ecosystem bounty program, burn all the left-over tokens and make no more token leakage into the market.
Bounty Program and Closure of Steemhunt Wallet
Up until today, the bounty tokens were distributed via the Steemhunt Wallet with a daily withdrawal limit of 10,000 HUNT. The bounty program is finished today and the Steemhunt Wallet will also be shut down on June 11, 2020, at 2:00 pm KST.
- May 27, 2020 - All HUNT bounty programs via Steemhunt will be closed.
- May 28, 2020, at 2:00 pm KST - The daily limit of Steemhunt Wallet will be removed. Non-blacklisted users will be able to withdraw the tokens without the limit.
- June 11, 2020, at 2:00 pm KST - Steemhunt Wallet will be shut down
- June 12, 2020 - All left-over tokens will be burned (please read the section below for more details) and the burning records will be announced.
Burning of all Left-over Tokens
After we shut down the Steemhunt Wallet operation, we will burn all the left-over tokens in the following categories:
- Stand-by ecosystem bounties: About 160 mil tokens (32% of the total issued tokens, about $320,000 market value as of today)
- Left-over tokens that are not withdrawn from the Steemhunt Wallet by the shut-down time.
The burning records and details will be announced on June 12, 2020 via the HUNT website.
If you have a token on the Steemhunt Wallet and you are not a blacklisted user, you MUST withdraw all the tokens to your external wallet before the deadline - June 11, 2020, at 2:00 pm KST. After this date, all the left-over tokens that are not withdrawn will be burned, so you WON’T be able to claim the tokens.
Go to Steemhunt Wallet (Login required) - https://steemhunt.com/wallet