Sonic Labs posted on X that it is improving Sonic through upgraded token economics, determined by 4 governance proposals on Fantom, including approximately 200 million S airdrops.
At launch, the circulating supply of S was approximately 2.88 billion, with an initial total supply of 3.175 billion, allowing for migration at a 1:1 ratio;
Six months after launch, the network will utilize a unique 9-month linear burn mechanism to mint 6% of the total initial supply to be used in an extended airdrop campaign to reward users/developers;
Additionally, six months after launch, the network will begin minting 1.5% of the initial total supply annually for 6 years to fund growth, with unused S destroyed annually to ensure efficient use;
Starting four years after launch, the network will mint 1.75% annually to reward validators in perpetuity.
All unused ecological growth tokens will be accounted for and destroyed annually.
S's maximum expansion is capped at 15% by 2031 (excluding block rate rewards), and multiple burning mechanisms are expected to significantly reduce expansion during this period.