Controlling CORIS supply
Last updated
Last updated
There's currently no hard cap on the supply of CORIS token, making it an inflationary token.
Community members often point to this as a cause for concern, and while the chefs certainly understand the wish for a hard cap, there's a big reason we don't expect to set one in the near future:
CORIS's primary function is to incentivize providing liquidity to the exchange. Without block rewards, there would be much less incentive to provide liquidity (LP fees etc. would remain).
So what are the other ways CORIS's supply is limited, to counter inflation?
The chefs aim to making deflation higher than emission by building deflationary mechanisms into Corgiswap's products. The goal is for more CORIS to leave circulation than the amount of CORIS that's produced.
By reducing the amount of CORIS made per block, we slow inflation. This has already been done once: The first reduction in block emissions effectively reduced the number of CORIS produced from 0.2 CORIS per block. But we don't want to do this too frequently, too early, for the same reason we don't want a hard cap: we still need to incentivize people to provide liquidity.
