Tokenomics Explained

The tokenisation of the Growth DAO community is the critical innovation to align incentives. Our unique model and approach to Tokenomics will differentiate Growth DAO from the competition over the long term. We expect some freelancers and startup founders to be new to Web3, so this section is to explain the terms to those less familiar with the concept.

Growth DAO related definitions

Tokenomics	A term used to reflect the supply and demand dynamics of a crypto token.
GRWTH Token	The symbol of our ERC-20 standard token on Ethereum Mainet.
Token Burning	Taking a certain amount of tokens out of circulation to increase the value of the existing tokens already in circulation.
Treasury	The wallet operated by the DAO, which contains the crypto assets/tokens: USDC, Ethereum, GRWTH and Startup Tokens.
Expert/Startup/Investor Wallet	A custodial crypto wallet to make and receive transactions within the Growth DAO ecosystem.
Startup Client Account	The budget allocated to a specific startup growth team, which can be made up from the startup retainer or DAO investment.
Startup Exit	The selling of shares or tokens from the startup client, which the Treasury holds and profits from.
Maximum Supply	The total supply of GRWTH as stated in the smart contract.
USDC	A digital stablecoin that was pegged to the United States dollar, managed by a consortium called Centre.
Liquidity Pool	A smart contract mechanism for members to commit and trade crypto assets. Creating liquidity in the asset pair, eg USDC:GRWTH.
LP Tokens (xGRWTH)	The tokens received by Liquidity Pool participants to reflect their share of the pool ownership.
Decentralised Exchange (DEX)	A peer-to-peer exchange of assets, hosting the liquidity pool on a smart contract.
(LP) Staking	The commitment of crypto capital (ETH/USDC) to the Growth DAO smart contracts. Staked capital receives a reward annually in the form of GRWTH.
Annual Percentage Yield (APY)	The percentage of total capital staked a member receives annually as a reward (in GRWTH).