Tokenomics de NEAR (NEAR)

NEAR Protocol’s token economics are designed to balance network security, incentivize participation, and support ecosystem growth. Below is a comprehensive analysis of its issuance, allocation, usage, incentive, locking, and unlocking mechanisms, with detailed explanations and a summary table for clarity.

Issuance Mechanism

• Initial Supply: NEAR launched with an initial supply of 1 billion NEAR tokens at its Token Generation Event (TGE) in April 2020.
• Inflation: The protocol has a fixed annual inflation rate of approximately 5%. As of December 2024, this has resulted in a total supply of about 1.23 billion NEAR.
• Distribution of New Issuance:
  • 90% of new tokens (4.5% of total supply per year) are distributed as staking rewards to validators and delegators.
  • 10% (0.5% of total supply per year) goes to the protocol treasury.
• Fee Burning: 70% of transaction fees are burned, and 30% are rebated to the smart contracts involved in the transaction. This burning mechanism can make NEAR deflationary at high network usage.

Allocation Mechanism

• Genesis Allocations: At launch, NEAR tokens were allocated as follows:
  • Community Grants and Programs: 172 million NEAR (~17.2%)
  • Operations Grants: 114 million NEAR (~11.4%)
  • Foundation Endowment: 100 million NEAR (~10%)
  • Early Ecosystem: 117 million NEAR (~11.7%)
  • Public Sale (CoinList, August 2020): ~120 million NEAR (~12%)
  • Private Rounds: ~84.27 million NEAR (~8.43%)
• Ecosystem Funding: In October 2021, NEAR announced an $800 million ecosystem fund, with allocations to DeFi, grants, startups, and regional hubs.
• Treasury and Grants: The NEAR Community Treasury, launched in March 2023, supports grassroots initiatives and is governed by a multi-sig with plans for on-chain voting.

Usage and Incentive Mechanism

• Staking: NEAR uses a Thresholded Proof of Stake (TPoS) consensus. Validators and delegators stake NEAR to secure the network and earn rewards.
  • The minimum stake (seat price) is dynamically set; as of December 2024, it was 11,110 NEAR.
  • Staking rewards are distributed per epoch (about twice daily).
• Smart Contract Incentives: Developers earn 30% of transaction fees generated by their contracts.
• Transaction Fees: NEAR is used to pay for transaction processing, smart contract deployment, and storage.
• Governance (Future): A proposal (as of late 2024) would allow users to lock NEAR for veNEAR, a non-transferable, vote-escrowed token granting governance power and additional rewards.

Locking Mechanism

• Staking Lock: Tokens staked for validation are locked for at least three days (the minimum unbonding period).
• veNEAR Lock (Proposed): Under the proposed governance framework, users can lock NEAR for veNEAR:
  • Minimum lock: 3 months
  • Maximum lock: 48 months
  • Voting power increases with lock duration (e.g., 1 NEAR locked for 12 months = 1.5 veNEAR; for 48 months = 3 veNEAR).
  • veNEAR holders receive APY rewards from the treasury.

Unlocking Time

• Staking Unlock: Unstaking NEAR from validation requires a minimum of three days before tokens become liquid.
• veNEAR Unlock (Proposed): Tokens locked for veNEAR become available after the chosen lock period (3–48 months).

Summary Table: NEAR Token Economics

Additional Notes

• Staking and Delegation: NEAR’s account model allows tokens to be staked or delegated even while locked.
• Deflationary Potential: High network usage and fee burning can lead to negative net inflation.
• Governance Evolution: The protocol is moving toward more decentralized, on-chain governance with the introduction of veNEAR and a Security Council.

This structure ensures NEAR’s token economics are robust, balancing security, decentralization, and ecosystem growth, while providing clear incentives for all network participants.