diff --git a/aip-138.md b/aip-138.md new file mode 100644 index 00000000..6030925f --- /dev/null +++ b/aip-138.md @@ -0,0 +1,35 @@ +--- +aip: 'TBD' +title: "Proposal for Enhancing APT Token Economics" +status: "Draft" +authors: ["ADAM"] +created: 2025-12-10 +--- + +## Summary +Dear Aptos Foundation Team, + +As an investor and supporter of Aptos, which excels in speed, security, and scalability, I believe the Foundation's goal is a sustainable ecosystem for dApps and innovation, not short-term speculation. + +I propose a strategy: Token Burning, Reducing Monthly Issuance, Token Buyback, and Making APT a Core Foundation Asset. This leverages the low price (~$1.8) for long-term value. + +## Proposal Details +- **Token Burning:** Burn reserve tokens or fees by sending to inaccessible addresses, reducing circulating supply (~735M APT) and inflation (20-25% annually). +- **Reducing Monthly Issuance:** Cut December's 11.3M APT by 50%, aiming for finite supply post-transition. +- **Token Buyback:** Use fees/partnership revenues to buy APT on market, then burn or reserve. +- **Making APT a Core Asset:** Hold APT in reserves, linking value to project success and avoiding forced sales. + +## Reasons +Rapid issuance causes selling pressure and erodes investor confidence. Focus on adoption, not speculation. Revenues from apps like DecibelTrade can fund operations without excess issuance. + +### Positive Returns at Low Price: +- **Scarcity & Value:** Supply reduction boosts price via demand, as seen with Binance Coin (BNB), which experienced sustainable growth after regular burning programs. Reduces inflation, attracts investors. +- **Trust & Stability:** Shows commitment, draws institutions/developers, cuts volatility from unlocks. Burning offsets inflation for price stability. +- **Ecosystem Enhancement:** Ties APT value to apps/partnerships, promotes usage over speculation, funds growth sustainably. +- **Economic Benefits:** Buyback at low cost yields future gains, strengthening reserves. Studies show up to 50% value increase, lower collapse risks. + +This aligns with Aptos' vision, turning APT into a scarce asset. Open to discussion; happy to elaborate. + +## Closing +Best regards, +ADAM