HELIX Tokenomics
Understanding the HELIX token economy
Supply Mechanics
HELIX uses a burn-and-mint model. When you stake, tokens are burned. When you unstake or claim rewards, new tokens are minted. This means the circulating supply reflects real usage. Active stakes reduce circulating supply, while claims and unstakes increase it.
Inflation
Annual inflation rate of 3.69%. Inflation is distributed daily to all active T-share holders proportionally. This incentivizes long-term staking and ensures the protocol rewards participants over time.
Share Rate
The share rate increases each day after inflation distribution. This means future stakers need more tokens per T-share. Early stakers benefit from lower share rates. The share rate represents how many tokens equal one T-share.
Reward Distribution
Daily inflation is calculated as: dailyInflation = totalStaked × annualRate / 10000 / 365. This amount is distributed proportionally to T-share holders via share rate increase.
Rewards are "lazy" - they accumulate and are only minted when you claim or unstake. This reduces transaction overhead and allows compounding without active management.
Penalty Redistribution
When stakers unstake early and pay penalties, those penalty amounts are redistributed to remaining stakers via the share rate. This rewards those who honor their commitments and creates an incentive structure that benefits the most dedicated participants.
Free Claim & Big Pay Day
During the initial claim period, SOL holders from a snapshot can claim free HELIX tokens. Unclaimed tokens after the period ends are distributed to active stakers through Big Pay Day. This ensures all tokens enter circulation either through direct claims or as rewards to committed stakers.