> For the complete documentation index, see [llms.txt](https://docs.hypha.sh/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.hypha.sh/protocol/tokenomics.md).

# Tokenomics

GoGoPool has two tokens - the liquid staking token stAVAX and the protocol token GGP.

## stAVAX

`stAVAX` is a liquid staking token issued to users who deposit `AVAX` into GoGoPool's staking pool. `stAVAX` represents staked `AVAX` in GoGoPool, and it gains value against `AVAX` thanks to the native Avalanche validation yield and other yield-generating activities.

#### Benefits

* **Earn Staking Rewards**: Holding `stAVAX` means your investment grows over time, mirroring native staking yield and other yield activities.
* **Stay Liquid**: No need to lock `AVAX` to earn yields. You can trade, sell, or use `stAVAX` just like `AVAX`, making it a flexible option for participating in the broader DeFi ecosystem.

## pstAVAX 

`pstAVAX` is an upcoming non-yield-bearing staking token issued to users who deposit `AVAX` into GoGoPool's staking pool. Compared to `stAVAX` it doesn't accrue any yield and is pegged to `AVAX`  1:1. The yield that is generated by the `AVAX` deposited into `pstAVAX` is instead streamed to `stAVAX` depositors. 

## GGP

`GGP` is an ERC20 token that serves as GoGoPool's protocol token. `GGP` facilitates users in becoming validators through minipools, combining user-contributed `AVAX` with liquid staking funds. To secure these funds, minipool operators back their commitment with a minimum of 100 `AVAX` worth of `GGP` tokens as collateral.

#### **Key Functions of GGP**

* **Staking and Rewards**: Minipool operators stake `GGP` as a form of insurance, ensuring their commitment to maintaining network uptime and security. The initial minimum stake is set at 10% of the `AVAX` staked amount, with the option to increase up to 150%. A higher stake in `GGP` enhances the minipool operator's potential rewards.
* **Compensation Mechanism**: Should a node operator fail to meet performance standards, resulting in a loss of rewards, the staked `GGP` serves as a compensation pool to affected stakers.
* **Governance Participation**: `GGP` token holders will have the ability to participate in the GoGoPool Protocol DAO, which allows members to propose and vote on a range of governance issues.

### SUPPLY BREAKDOWN & VESTING

**Total Supply:** 22,500,000 GGP

* **GoGoPool Foundation**: 41.42% | The below allocations are subject to change according to DAO voting. Snapshot voting will be used to gauge sentiment, with recommendations executed by the Foundation.
  * DAO Fund: 16.42% | allocated as per the DAO — eg. growth capital, additional grants, liquidity incentives, airdrop schemes, strategic alliances, advisors, etc.
  * Ecosystem Development Grants: 15% | To fund engineering, business development, and marketing.
  * Liquidity Incentives: 10% | To be deployed as the DAO sees fit.
* **Original Team**: 20%
* **Seed Round**: 15.58%
* **GGP Staking Rewards**: 15%\*\*\*
* **Advisors**: 3%
* **Pre-IDO Partner Sale**: 3%
* **Liquidity**: 1%
* **IDO**: 1%

\*\*\*GGP Staking Rewards are split between 3 parties and unlocked when issued:

* 70% to minipool operators
* 10% to Oracle DAO
* 20% to Protocol DAO Treasury

#### **Vesting Following TGE:**

* GoGoPool Foundation: Locked for 3 months, to be deployed under DAO snapshot voting over the following 48 months.
* Original Team: 12-month lock up, 36-month with quarterly vesting.
* Seed Round: 12-month lock, 36-month with quarterly vesting.
* GGP Staking Rewards: 48 months, monthly vesting.
* Advisors: 12-month lock, 36-month with quarterly vesting.
* Pre-IDO Partner Sale:
  * Tickets under 100k USD: minimum 12-month lock with 12-month quarterly vesting.
  * Tickets over 100k USD: 12-month lock, 36-month quarterly vesting.
* Liquidity: Fully unlocked at TGE.
* Avalaunch IDO: Fully unlocked at TGE.

#### Initial Supply: 187,970 GGP

* Liquidity pool—500K ($250K AVAX + \~188K GGP)
* IDO sale: 300k USD—225,000 GGP tokens
* Initial Market Cap (excluding liquidity): \~250K USD

Note: The only day 1 circulating tokens, excluding liquidity, will belong to Avalaunch IDO participants.