> For the complete documentation index, see [llms.txt](https://aibattleground-1.gitbook.io/aibattleground-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://aibattleground-1.gitbook.io/aibattleground-docs/4.-token-economics.md). # 📑 4. Token Economics ### 4.1 AIBG Token Overview **Token Name:** **AI BattleGround**\ **Symbol**: **AIBG**\ **Blockchain**: **BNB Smart Chain (BEP-20)**\ **Total Supply**: **1,000,000,000 AIBG (fixed, non-inflationary)**\ **Initial Circulating Supply**: **150,000,000 AIBG (15%)**\ **Contract Address**: 0x4a7F784F1c73929c5571D918F2655A1ddC3d2aA8 ### 4.2 Token Distribution [🔗 View Interactive Version](https://aibattleground-ai.github.io/aibg-tokenomics/)
Allocation CategoryPercentageTokensDescription
Ecosystem & Rewards30%300,000,000Battle rewards, voting incentives, creator bounties, and seasonal prize pools
Liquidity & Market Making15%150,000,000CEX/DEX liquidity provision, stabilization, and market-maker operations
Team & Advisors15%150,000,000Core contributors, strategic advisors (3-year vesting, 6-month cliff)
Treasury & Governance10%100,000,000Treasury reserve for protocol upgrades, partnerships, and ecosystem expansion
Private Sale / Strategic Partners10%50,000,000Early supporters, exchange partners, and institutional investors
Development Fund10%100,000,000Continuous development, technical infrastructure
Airdrops & User Acquisition5%100,000,000Early user rewards, ambassador programs, referral incentives
Foundation Reserve5%50,000,000Long-term sustainability, cross-chain expansion, and emergency funding
**Total**: 1,000,000,000 AIBG ### 4.3 Token Utility
**Primary Use Cases:** 1. **AI Generation Access** * Pay AIBG to create AI-generated videos (10-100 AIBG per generation) * 6-10 second video clips * Higher tiers unlock 4K resolution and priority queue 2. **Battle Voting Stakes** * Stake AIBG on entries during 1v1 tournament matchups * Minimum 10 AIBG, no maximum * Stakes returned + share of prize pool if backed Top 10 winners 3. **Premium Features** * Advanced generation options * Higher resolution outputs (up to 4K) * Priority generation queue * Early access to new features 4. **Governance Rights** * Vote on new features and platform upgrades * Influence weekly battle themes * Decide prize pool distributions * Proposal submission (requires minimum stake) ### **4.4 Sustainable Revenue Model**
**How Prize Pools Are Funded:** AIBG operates on a self-sustaining economic model where prize money comes directly from platform activity, not token inflation or treasury depletion. **Prize Pool Formula:** ``` Weekly Prize Pool = (Generation Fees × 60%) + (Voting Stakes × 50%) ``` **Real Example (Projected Week):** * 10,000 creators generate content: 10,000 × 50 AIBG avg = 500,000 AIBG * 50,000 voters stake on favorites: 50,000 × 100 AIBG avg = 5,000,000 AIBG * **Prize Pool = (500K × 0.6) + (5M × 0.5) = 2.8M AIBG** **Distribution:** * 70% to Top 10 Creators (2M AIBG) * Rank 1: 30% | Rank 2: 15% | Rank 3: 10% | Ranks 4-10: 15% split * 30% to Winning Voters (840K AIBG) * Proportional to stake amounts on Top 10 entries **The Parimutuel Model:** Like horse racing or poker tournaments, AIBG operates on a parimutuel system: * Participants pay entry fees (generation costs) * Participants place bets (voting stakes) * Prize pool is distributed to winners * Platform takes commission for operations and token value accrual **This creates a sustainable cycle:** * More creators → Larger prize pools → Attracts more creators * More voters → Higher stakes → Better returns for winning curators * Platform revenue grows with activity, not token minting **Platform Revenue (40% of fees):** The remaining 40% of generation fees creates continuous buy pressure: * 40% Burned → Permanent supply reduction * 30% Buyback → Market price support * 30% Staking Rewards → Long-term holder incentive ### 4.5 Deflationary Model AIBG implements aggressive deflationary mechanics: **Quarterly Burns**: * Q1: 2.5% of circulating supply * Q2: 2.0% of circulating supply * Q3: 1.5% of circulating supply * Q4: 1.0% of circulating supply **Long-term Target**: Reduce total supply to 600M AIBG within 5 years through burns. ### 4.6 Pricing Projections **Conservative Estimates**: * Launch (Month 1): $0.10 * Year 1: $0.50 - $1.00 * Year 2: $2.00 - $4.00 * Year 3: $5.00 - $10.00 **Market Cap Trajectory**: * Launch: $100M FDV * Year 1: $500M - $1B * Year 2: $2B - $4B * Year 3: $5B - $10B *Comparable projects: RNDR ($4B), AXS ($8B peak), GALA ($5B peak)* --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation by asking a question. Perform an HTTP GET request on the following URL with the `ask` and `goal` query parameters: ``` GET https://aibattleground-1.gitbook.io/aibattleground-docs/4.-token-economics.md?ask=&goal= ``` `ask` is the immediate question: it should be specific, self-contained, and written in natural language. `goal` is what the user is ultimately trying to achieve, the reason they need the answer. Sharing it helps GitBook give you a better, more relevant answer. A goal is most helpful when it describes the outcome the user wants rather than restating the question. For example, with `ask=how do I create an API token`, a goal like `automate deployments from our CI pipeline` lets GitBook tailor the answer to that use case. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.