A CASE STUDY ON COMDEX’S TOKEN ($CMDX)
A few tokenomic questions to think about before investing; What is the token’s USE case? Current and future supply, as well as burn mechanisms and inflation. Why would somebody want to keep this token for a long time?
In this blog, I’ll discuss most of it.
CMDX is the Comdex ecosystem’s native token, and it has the potential to increase in value. For starters;
- The staking economy of the network is fueled by CMDX, the chain’s native token. The network is secured by transaction fees and CMDX staking.
- Holders of CMDX participate in the Comdex protocol’s governance. CMDX holders have a say in key protocol choices including whitelisting synthetics and collaterals for use on the platform.
- Users of the Comdex synthetics app can utilize their CMDX holdings to create and trade synthetic cAssets on the exchange.
- CMDX tokens are being distributed as rewards to liquidity providers and other participants who perform critical functions in the network.
- CMDX tokens will be minted and burned to maintain the stability of cAssets in the network and ensure the solvency of the net debt of the network.
How Many CMDX Coins are in circulation?
The Comdex Mainnet went live on 20th November 2021 with a 100,000,000 CMDX genesis supply. 12.5% of the genesis supply (12,500,000 CMDX) is in circulation as of the launch of CMDX. The CMDX token is inflationary in nature with an inflation of 30% set for the first year and a subsequent reduction of 25% in the inflation rate in each with the maximum supply capped at 200,000,000 CMDX.
You can also find important network information such as block height, staking percentage, number of wallets & transactions via our explorers:
Monitoring such information is important in order to verify the health & growth of the Comdex network.
The Comdex Protocol
The Comdex synthetics exchange makes it easier to create and trade synthetic assets on the blockchain. ‘cAssets’ are minted synthetics on the chain. Each commodity listed on the platform has its own ‘cAsset’ token that may be traded on Comdex’s AMM module, the ‘cSwap.’
The following are some of the platform’s important stakeholders:
- Traders- Traders are platform users who want to profit from the movement of cAsset prices on cSwap.
- Minters/Borrowers- Minters are users who create the platform’s initial liquidity for cAssets. To mint cAssets, these users can lock up a range of Cosmos assets. When the user returns the cAsset debt to unlock their locked collaterals, the user’s collateralized debt position (CDP) can be closed.
- Liquidity Providers- These users intend to earn trading fees and CMDX token incentives by supplying liquidity to liquidity pools on the cSwap in the form of cAsset pairs. For each cAsset offered, users can supply long or short position-based liquidity.
With fewer barriers than typical derivatives markets, this technology can permit the tokenization of real-world assets. Investors nowadays lack the ability to access a diverse range of financial assets due to geographical and regulatory constraints. The creation of synthetic assets allows for a continuous movement of funds between asset classes.
Why would somebody want to keep this token for a long time?
Comdex’s ability to provide digital asset investors with diversification into the price action of real-world goods is one of the most attractive use-cases for decentralized synthetic assets. This provides investors with unrivaled flexibility in terms of prospective investment possibilities, allowing them to limit their exposure to the digital asset industry without withdrawing their capital.
Where can I buy CMDX?
CMDX is listed on the Osmosis zone and soon will be available on a couple of DEXs and CEXs.
How To Create Comdex Wallet Address
To gain complete and seamless access to the Comdex Platform, you must have a Comdex Wallet address. Users can hold $CMDX and stake $CMDX using the wallet address.
Comdex is a decentralized synthetics exchange built to democratize finance by reducing the complexities and regulatory hurdles to access investments in financial assets with intrinsic value.
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