Play-to-Burn
Last updated
Last updated
StarHeroes employs three strategic mechanisms to prevent $STAR token dilution, ultimately aiming to close the gap between the fully diluted valuation (FDV) and the market cap.
StarHeroes is the first-ever Web3 game to adopt the Play-to-Burn mechanism to tackle token dilution.
The premise is simple: the more games played each week, the more STAR tokens are burned.
These tokens are sourced from the DAO Warchest pool, which constitutes 34.5% of the total supply, and partially from the Decentralized User Acquisition pool, which accounts for 10% of the total supply.
Together, up to 40% of the total supply is eligible for burning.
Key aspects of Play-to-Burn include:
Massive Burning Potential
The more games played, the more tokens are burned weekly, with up to 40% of the total supply eligible for burning.
User-Friendly Dashboard
Ongoing Burns
Token burning will occur weekly over the next seasons, burning up to 10% of tokens per season.
In addition to Play-to-Burn, the Hero Duty App provides another stream for burning tokens. Tokens spent by players in the Hero Duty App are removed from circulation and irrevocably burned.
Currently, over 3,481,992 $STAR tokens (and still growing!) have been deposited in the Hero Duty Web App. Upon StarHero DAO's approval, they will be removed from the circulating supply and irrevocably burned.
Finally, in previous Seasons StarHeroes DAO has so far dedicated $225,000 worth of revenue to constantly buy and burn $STAR tokens from the market. This initiative will help reduce the circulating supply and increase the scarcity and value of $STAR tokens.
To prevent market frontrunning, we won’t provide exact dates of buybacks. However, once the buybacks are completed, we will provide the transaction hashes of the buyback transactions to ensure full transparency.
Buybacks are one of the three key stategies to ensure the $STAR token remains net deflationary, meaning its total supply will decrease over time, potentially increasing its value. Through buybacks, tokens are repurchased and removed from circulation, reducing supply. This mechanism, along with Play-to-Burn and Hero Duty burns, collectively aims to make the $STAR token more scarce and valuable in the long term.
Players can track the number of games played and tokens burned via a dashboard on our homepage:
