NOS Token
The utility token powering NitroGraph's infrastructure
NOS is NitroGraph's native utility token, serving as the fuel for all network operations and governance.
Token Utility
Primary Functions
const NITROUtility = {
// 1. Gas for all transactions
gas: {
usage: "Every transaction burns NITRO/NOS",
estimation: "~0.0001 NITRO per operation *",
batching: "Reduces gas by up to 99% *"
},
// 2. Validator staking
staking: {
minimum: 100_000, // NITRO required *
rewards: "Transaction fees + emissions",
slashing: "For misbehavior"
},
// 3. Fee voting through consensus
feeConsensus: {
mechanism: "Variance-weighted consensus",
stakeWeight: "Quantity × √time",
automatic: "No governance votes needed"
},
// 4. Revenue sharing
revenueShare: {
source: "Protocol fees",
distribution: "Pro-rata to stakers",
compounding: "Automatic reinvestment option"
}
};
*Illustrative purposes, subject to change
Variance-Weighted Fee Consensus
Revolutionary Fee Discovery
Instead of governance votes, NitroGraph uses mathematical consensus for fee setting:
# How it works
def fee_consensus():
"""
Each staker proposes optimal fee
System finds consensus mathematically
"""
# 1. Weight by stake and time
weight = stake_amount * sqrt(lock_time)
# 2. Calculate weighted average
average_fee = weighted_mean(all_proposals)
# 3. Penalize extreme proposals
variance_penalty = exp((proposal - average)² / average² - 1)
# 4. Converge to optimal fee
optimal_fee = minimize_variance(all_proposals)
return optimal_fee
Benefits
No voting fatigue: Automatic fee adjustment
Market-driven: Responds to actual network conditions
Sybil resistant: Time-lock prevents gaming
Always optimal: Mathematics finds equilibrium
Time-Lock Innovation
Perpetual Bonds Model
const perpetualBonds = {
// Lock tokens for continuous rewards
mechanism: "Time × Stake = Weight",
// Longer locks = higher rewards
rewards: {
"30 days": "1x multiplier *",
"90 days": "1.5x multiplier *",
"180 days": "2x multiplier *",
"365 days": "3x multiplier *"
},
// Early exit penalties
penalties: {
"< 30 days": "50% penalty *",
"< 90 days": "25% penalty *",
"< 180 days": "10% penalty *"
}
};
*Illustrative purposes, subject to change
Token Distribution
Initial Allocation
Team & Advisors
20% *
4-year linear
Investors
15% *
2-year linear
Ecosystem Fund
30% *
10-year release
Validators
10% *
Immediate
Community
25% *
Various programs
*Illustrative purposes, subject to change
Emission Schedule
# Dynamic issuance model (S-curve)
def emission_rate(network_usage):
"""
Emissions increase with usage, then plateau
"""
base_rate = 2_000_000 # Annual *
# Logistic growth function
growth = 1 / (1 + exp(-network_usage))
# Scale emissions
emissions = base_rate * growth
# Cap at maximum
return min(emissions, 10_000_000) # Annual cap *
*Illustrative purposes, subject to change
Fee Distribution Waterfall
graph TD
A[Transaction Fees] --> B{Distribution}
B -->|40%| C[Validators *]
B -->|30%| D[NITRO Stakers *]
B -->|20%| E[Protocol Treasury *]
B -->|10%| F[NUSDC Bonders *]
E --> G[Development]
E --> H[Grants]
E --> I[Insurance]
*Illustrative purposes, subject to change
Governance Rights
Current Implementation
Parameter adjustment: Fee ranges, staking requirements
Protocol upgrades: Via timelock contracts
Treasury management: Allocation of protocol funds
Future Vision (Research Phase)
These features are experimental and may not be implemented:
100% Algorithmic Governance: Fully autonomous protocol decisions
Oracle-free parameters: Self-adjusting system variables
AI-driven optimization: Machine learning for protocol parameters
Staking Rewards
APY Calculation
function calculateAPY(
stakeAmount: number,
lockDuration: number,
networkFees: number
): number {
// Base APY from emissions
const baseAPY = 8; // 8% *
// Time multiplier
const timeBonus = Math.sqrt(lockDuration / 365);
// Fee share
const feeShare = (stakeAmount / totalStaked) * networkFees;
// Total APY
return baseAPY * timeBonus + feeShare;
}
// Example returns
// 30-day lock: 8-12% APY *
// 90-day lock: 12-18% APY *
// 365-day lock: 18-30% APY *
*Illustrative purposes, subject to change
Security Features
Slashing Conditions
Double signing
5% stake *
Downtime > 24h
1% stake *
Invalid blocks
10% stake *
Malicious behavior
100% stake *
*Illustrative purposes, subject to change
Token Economics
Value Accrual
# How NITRO captures value
value_drivers = {
"Transaction Volume": "More fees to distribute",
"Network Growth": "Increased demand for gas",
"Staking Ratio": "Supply reduction",
"XP Integration": "Cross-token synergies"
}
Deflationary Mechanics
Gas burning: Every transaction burns NITRO
Slashing: Misbehavior removes tokens
Time locks: Reduces circulating supply
Integration with XP
const synergyMechanics = {
// XP holders can stake NITRO for bonus
xpBonus: "10% APY boost per 100K XP *",
// NITRO stakers earn XP
xpEarning: "1 XP per 1000 NITRO staked daily *",
// Combined governance weight
votingPower: "NITRO * (1 + XP/1M) *"
};
*Illustrative purposes, subject to change
FAQ
Q: What's the difference between NITRO and NOS? A: NOS is the testnet version. They'll convert 1:1 to NITRO at mainnet launch.
Q: How is this different from other L1 tokens? A: NITRO uses variance-weighted consensus for fee discovery instead of governance votes, creating more efficient price discovery.
Q: When will advanced features launch? A: Core features launch with mainnet (2026). Advanced algorithmic features are in research and may launch 2027+ if proven safe.
Q: Is there a maximum supply? A: Yes, 1 billion NITRO maximum supply with dynamic emissions based on network usage. *
*Illustrative purposes, subject to change
NITRO: Fueling the autonomous agent economy.
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