Closed
One-Time General MIN Token Burn (Temp Check)
Constitutional
AQube is a specialized firm in blockchain economic research, DeFi strategy, and tokenomics optimization. The firm applies a structured, research-based methodology to token restructuring, liquidity planning, and incentive system design. Experience includes:
• Supported the generation of $400M+ TVL managed across DeFi protocols
• $6M+ fundraising supported for blockchain projects
• Strategic liquidity and tokenomics models across multiple DeFi platforms
• Produced a General Report on Minswap tokenomics, encompassing a structured review of tokenomic dynamics, liquidity and treasury management, and a framework of solutions aimed at revitalizing the MIN token’s economic design. The report serves as the foundation for the first of multiple DAO proposals on tokenomics restructuring.
Authorize a one-time MIN burn under DAO approval and Labs’ operational authority. The burn is single-shot, not recurring. Tokens are sourced the Yield Farming Reserve (998,422,624.088847 MIN, 33.28% of total supply). The DAO selects one of the three sizing options below.
Sizing Options
| Option | Burn Amount (MIN) | Emissions Offset (Years @ 25k/day) | Remaining Runway (Years) | Notional at Today’s Price ($0.02465/MIN) | Post-Burn Total Supply | New Circulating Supply |
|---|---|---|---|---|---|---|
| A: Moderate | 50,000,000 | 5.48 | 103.94 | $1.2325M | 2,950,000,000 | 61.12% |
| B: Mid | 150,000,000 | 16.44 | 92.98 | $3.6975M | 2,850,000,000 | 63.26% |
| C: Assertive | 500,000,000 | 54.79 | 54.62 | $12.3250M | 2,500,000,000 | 72.12% |
Emissions Offset definition
Years cancelled = (Yield Farming Reserve portion burned) ÷ 25,000 ÷ 365.
Note (1): For sizing and communication, the impact is expressed as years of emissions cancelled at 25,000 MIN per day, the DAO’s conservative planning lower bound and a simple benchmark for comparisons.
Note (2): In all options, 1,544,770.113963 MIN must remain reserved for MINt Redemption, so the maximum burnable from FISO is 44,789,430.442015 MIN.
Minswap operates in a mature regime: liquidity and volumes are sustained by real usage and fees rather than incentives, and the protocol is backed by stable operations and treasury resources. The economics already reflect a low-emissions reality; what remains is to align the supply structure with this state. Using YFR as the source for the burn cancels a defined portion of future emissions at the 25k/day planning floor (emissions offset), and tightens the upper bound on future issuance, while preserving treasury resources for other uses.
Context: supply today (share of total supply)
Only the two buckets below are treated as non-circulating. FISO, Incentives & Partnerships, and Development Fund are vested and thus circulating, even if currently idle.
Non-circulating buckets
| Bucket | Share |
|---|---|
| Yield Farming Reserve | 33.28% |
| DAO Treasury | 6.64% |
| Non-circulating subtotal ≈ 39.92% |
Circulating (vested) buckets
| Bucket | Share |
|---|---|
| Development Fund | 7.38% |
| Incentives & Partnerships | 2.13% |
| FISO | 1.54% |
| Core Team | ~0% |
| Other circulating (public float) | 49.02% |
| Circulating subtotal ≈ 60.08% |
The non-circulating share remains large relative to the protocol’s current needs. To bring it in line with a mature, fee-driven model, the DAO should retire a significant portion of the Yield Farming Reserve, removing excess emissions capacity that is unlikely to be deployed and sending a clear signal of supply discipline.
The sizing framework is data-driven from internal analysis and benchmarks of comparable DEXs. The community is offered three calibrated options:
Adopting one of these options retires a significant share of excess non-circulating supply, aligns token economics with a fee-driven model, and signals disciplined stewardship while the protocol continues its shift toward rewards funded by real activity.
This burn aligns with the community’s mission to keep Minswap sustainable, transparent, and credibly fee-anchored by using a one-time action to tighten the supply map.
Supply discipline: Burning from the Yield Farming Reserve at the chosen size removes obsolete allocations and reduces the maximum path for future issuance, bringing supply in line with the protocol’s low-emissions stance.
Real-yield orientation: Shrinking reserves that historically funded emissions complements the broader move toward rewards sourced from protocol activity rather than dilution.
Protection of long-term participants: Lower potential issuance reduces dilution risk for LPs, stakers, and holders.
Proportional and focused: Three sizes let the DAO act decisively without attempting to retire all reserves at once. Other buckets such as DAO Treasury, Development, and Incentives remain available for their intended uses and are unaffected by the burn.
Net effect: the DAO removes supply that no longer serves the protocol’s needs, aligns the token’s structure with fee-based operations, and strengthens the foundation for future, revenue-funded incentive policy.
Burn
Permanent, irreversible retirement of tokens from total supply.
Circulating supply
Tokens freely transferable and available to the market.
Non-circulating supply
Tokens held in restricted buckets such as treasury reserves, emissions pools, or vesting schedules that are not presently available to trade or spend.
Emissions
Scheduled token distributions over time, typically used for incentives. Expressed as a rate, for example MIN per day.
Emissions runway
How long an emissions reserve lasts at a given rate. Runway (years) = reserve ÷ (daily rate × 365).
Emissions offset
The reduction in a protocol’s planned token distribution schedule caused by permanently removing part of the emissions reserve.
Real yield
Rewards funded by protocol revenue or external cash flows rather than by new token issuance.
FISO (Fair Initial Stake Offering)
Staking-based token distribution where users delegate stake to approved pools to earn project tokens without transferring principal. Introduced and pioneered by Minswap on Cardano in 2021 to make ISO fairer and support smaller SPOs.
Platforms and Components
Execution
The approved burn amount is consolidated from FISO (and Yield Farming reserve, if required) into a single multisig transaction, which sends the MIN directly to the burn address.
Data and auditability
Governance
Execution
External spend: $4,000 success-based consulting fee to AQube, payable only if this proposal passes and is officially implemented. This follows the cost structure approved under the AQube – Strategic MIN Tokenomics Revitalization mandate.
Network fees: minimal; reported with actuals in the final post.
Manpower: executed by Minswap Labs using existing multisig and operations; no third-party grants.
Recurring costs: none.
**Voting Options (to be extracted for the onchain vote) **
Official vote
