# Tokenomics

### **Core Utilities of AZT Token**

#### **🔹 1. The Fuel of the Exchange: Creating Permissionless Pools, Launching New Tokens, and Establishing Funds**

On the AZEx platform, users can freely **create permissionless liquidity pools, launch new tokens, and set up funds (Fund Manager)**. However, these operations require the consumption of AZT tokens. This mechanism serves several key purposes:

* **Preventing spam pools, low-quality tokens, and subpar funds**, thereby enhancing overall market quality.
* **Encouraging continuous AZT consumption**, increasing token value.
* **Ensuring that fund managers, project teams, and traders** are incentivized to offer high-quality products.

> **Creating a Fund (Fund Manager):**\
> On AZEx, any user can become a fund manager, establish their own trading fund, and attract other users to copy their trades. However, to prevent excessive and low-quality fund creation, fund initiators must consume a certain amount of AZT as an "entry fee."

This model is similar to a "Gas Fee," but instead of being purely burned, **AZT is redistributed within the AZEx ecosystem**, reinforcing the overall economic cycle.

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#### **🔹 2. Staking AZT to Earn Revenue from All Pools**

One of the unique aspects of AZEx is that **protocol revenue from all liquidity pools** (such as trading fees and funding rate distributions) is partially allocated to **AZT stakers**. This mechanism **incentivizes long-term holding** while establishing a **profit-sharing system**, allowing token holders to grow alongside the platform.

* **Revenue Sources:** Trading fees, funding fees, fund management fees, revenue share from liquidity providers, etc.
* **Earnings Model:** Users can stake AZT in the protocol and receive a proportional share of the revenue from all pools.
* **Long-Term Incentives:** The longer AZT is staked, the higher the reward weight may become, encouraging long-term holding.

This design is inspired by models like Curve’s **veToken** system but is specifically optimized for decentralized exchanges, strengthening the value proposition of AZT.

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### **Allocations**

* **Airdrop:** 5%
* **Team & Advisors:** 20%
* **Ecosystem Fund:** 25% (for developer incentives and cross-chain collaborations)
* **Community Incentives:** 25% (liquidity mining, event rewards)
* **IAO & Public Sale:** 10%
* **Reserve Fund:** 15% (market operations and emergency reserves)

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### **Basic Information**

* **Token Name:** AZEx Token (AZT)
* **Token Symbol:** AZT
* **Total Supply:** 21 billion AZT

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### **Initial Agent Offering (IAO)**

* **Initial Valuation:** $10 million
* **IDO Allocation:** 10% (2.1 billion AZT)
* **Fundraising Token:** WETH
* **IDO Price:** Dynamically determined based on the final amount raised
* **Final Valuation:** Calculated according to the total amount raised
* **Start Time:** February 8, 2025, 12:00 PM (UTC)

  **End Time:** February 11, 2025, 12:00 PM (UTC)