Vesting

In crypto, vesting refers to the gradual release of tokens over a set period. Rather than receiving all tokens at once, participants can claim a portion each day, helping to stabilize the market by reducing immediate sell pressure.

In Surge, vesting plays a key role in maintaining balance and supporting the Instant Buy and Burn mechanism.

• 4-Day Vesting Period: All tokens from the daily auction are distributed simultaneously at the start of each new day into a 4-day vesting period. This means participants can claim their tokens gradually, at a rate of 25% per day.

• Why Vesting?: This vesting structure allows the Instant Buy and Burn mechanics to work more effectively by spreading out potential sell pressure. Instead of a large number of tokens being sold all at once, the vesting period ensures that tokens enter the market at a steady pace, strengthening the deflationary impact.

• Game Theory: For added strategy, participants can join auctions on different days, allowing them to claim tokens across multiple vesting periods. By staggering their participation, users can enjoy a consistent stream of Surge tokens ready for claim over different days, maximizing flexibility and earnings.

The vesting system in Surge creates a balanced approach to token distribution, letting the protocol’s buy and burn mechanics thrive and ensuring long-term value for participants.