Announcing the Lunr Utility Token White Paper 2.0
Lunr Token launched on October 20, 2021. We’ve written a new addendum to the Lunr Utility Token White Paper to outline learnings from the last 180 days, adjustments we’ve made along the way, and updated visions for the future of Lunr Utility Token.
View the Lunr Utility Token White Paper 2.0
Overview
Lunr is the utility token that powers LunarCrush.
Until now, we’ve distributed up to 65,000 Lunr daily and 50,000 Lunr weekly to reward active users and incentivize engagement. With the introduction of LunrFi and an increase in token demand from a rapidly growing audience, it’s time to adjust rewards calculations. Additionally, the new tokenomics will be laying the groundwork for future rewards opportunities and community governance.
So What’s Changed?
The circulating supply of Lunr remains the same, however, the allocation has changed to support the addition of LunrFi and other future initiatives.
As LunrFi gains adoption, it also helps to reduce supply on the market.
As the supply allocation moves towards LunrFi and other new initiatives, both daily and weekly rewards are reduced to combat token inflation and excessive supply pressure.
Many of you may be worried that these changes are only indicative of fewer rewards. Short term, most users won’t notice any change in daily rewards. Over time, these new rewards calculations will benefit the entire ecosystem.
For a detailed overview of these changes please take a moment to read the Lunr Utility Token White Paper 2.0
The Lunr Mission
At LunarCrush, we believe in long-term sustainability over short-term gratification. We created Lunr because we recognize the value of active user participation and believe in rewarding those contributions as much as possible.
However, it’s also important to understand that Lunr does not have an infinite supply. As such, our daily rewards distribution must adapt to meet the demands of a finite token supply.
This was designed into the fundamental tokenomics of Lunr from the beginning and allows us to secure a sustainable future as our community continues to grow.
The Lunr Meritocracy
The original hypothesis, referenced from lunr.pdf v1, is as follows;
“Meritocracy. A system in which advancement is based on individual ability or achievement. Moreover, Lunr believes in a system of members working individually where the advancement of the Community creates a higher index of achievement for everyone.”
After launch, Lunr Token was adopted rapidly while LunarCrush experienced a significant uptick in growth.
The original hypothesis posited that as the community grew, the nominal amount of Lunr distributed to each member for their effort would decrease over time. This continues to hold true.
By recalibrating Lunr rewards architecture to meet the demands of a finite token supply we can continue to allocate Lunr to long-term holders and short-term initiatives fairly as the daily and weekly rewards become more deflationary over time.
These are positive developments for the future of the Lunr Meritocracy.
Growing Pains
Where the original hypothesis faltered was in its assumption that humans would choose altruism over greed.
Almost immediately after the Lunr Token launch, well-organized groups (some as large as 15,000 individuals) began working together to stream an inundation of web traffic and fake account creation to the LunarCrush site. This amounted to upwards of 10,000 new accounts an hour and a run rate of 2.5 billion page views a month, all in an attempt to earn Lunr Token.
The core team worked miracles to keep the system up and running for our community, as we still had millions of new and authentic community members joining. It was a monumental task to scale a system from handling 10 million pageviews a month to 2.5 billion in 1-weeks time.
At first, our assumption was that these groups were utilizing automation and enabling homegrown protections. We quickly realized this was not automation. It was all individual humans working with vigor in an attempt to defraud the Lunr community.
Despite the influx of dishonest users, our core community still came out on top. We’ve identified and deactivated over 5 million fake accounts and are continuing to build new social intelligence products without missing a beat.
LunarCrush is stronger than ever before.
Net Positives:
- Scaled. LunarCrush and Lunr Token are scaled well beyond their years and the infrastructure is ready for anything.
- Community. Our core community came together, went into action, immediately supported each other, and started problem-solving. We are truly battle-hardened.
- New Offerings. As more DAPPs come online, Lunr is positioned to provide tooling to provide transparency and analytics around interactions between DAPPs and blockchains.
- Growth. Ultimately the community growth settled and has grossly overperformed all estimates.
The LunarCrush team has adapted quickly and held true to our values despite having major obstacles thrown our way.
We’re excited to continue building the greatest social intelligence platform the world has ever seen; all powered by the Lunr Utility Token.
