Burning Mechanism

To ensure the long-term value and stability of $GPTG, a smart burning mechanism can be implemented. This mechanism will reduce the overall circulating supply of $GPTG over time, creating scarcity and potentially increasing the token's value. The smart burning mechanism will function as follows:

  1. Platform Fee Burn: A percentage of platform fees collected in $GPTG for various services on the GPT Guru platform will be burned. For example, a 3% burn rate could be applied to fees collected for premium services, smart contract audits, and other offerings. This will result in a continuous reduction of the circulating supply based on platform usage.

  2. Reward Burns: All tokens that will be given to whitelisted members of GPT Guru for free will be burnt after they spend those $GPTG token rewards to avail premium GPT Guru AI Services. Users will be only able to use those $GPTG Tokens for availing Guru's AI services, not withdraw.

  3. Buyback and Burn: A portion of the GPT Guru's revenue will be used to buy back $GPTG tokens from the open market at regular intervals (e.g., quarterly). The purchased tokens will then be burned, further reducing the circulating supply. This buyback and burn process will align the interests of the GPT Guru team and token holders, as increased Ai-tool usage and revenue generation will directly contribute to the reduction of the circulating supply.

  4. Staking Rewards Burn: A small percentage of staking rewards distributed to $GPTG token holders could be burned. For example, a 1% burn rate could be applied to all staking rewards, creating a deflationary pressure on the token supply as the staking ecosystem grows.

  5. Milestone-based Burn: To celebrate the achievement of significant milestones in the GPT Guru's development, such as user growth, partnerships, or Ai-tool upgrades, a one-time token burn can be conducted. This will create additional scarcity and act as a reward for token holders who have supported the GPT Guru's growth.

The smart burning mechanism for $GPTG is designed to balance the need for token utility and incentivization with the desire for long-term value appreciation. By gradually reducing the circulating supply of $GPTG, the smart burning mechanism aims to foster sustainable growth and encourage widespread adoption of the GPT Guru platform.

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