6. Tokenomics

The $ISONET token is the economic engine that powers the Isolation Network. Its design prioritizes utility, scarcity, and long-term sustainability, ensuring that the network can grow while maintaining decentralized governance and economic stability.


πŸͺ™ Token Overview

  • Token Name: Isolation Network Token

  • Symbol: $ISONET

  • Total Supply: 1,000,000,000 (fixed)

  • Decimals: 18

  • Inflation: None (zero-mint governance locked)

  • Deflation: Yes (burn mechanics active)

  • Consensus Role: Used for staking, node activation, governance


🧩 Core Utility

$ISONET is used for:

  • Privacy Payments

    • Bandwidth usage

    • Subscription tiers

    • Premium routing

    • Multi-hop encryption fees

  • Zero-Knowledge Authentication

    • Identity proofs

    • Login events

    • Credential validation

  • Developer Billing

    • API access

    • SDK plugin billing

    • Enterprise credits

  • Staking & Collateral

    • Node collateral

    • Governance participation

    • Reward multipliers

  • Governance Voting

    • Proposal submissions (100k+ staked)

    • Multi-tier voting power

    • Funding approvals


πŸ“¦ Supply Breakdown

Category
%
Tokens

Node Rewards

30%

300,000,000

Ecosystem Fund

25%

250,000,000

Team & Advisors

20%

200,000,000

Public Sale

15%

150,000,000

Treasury

10%

100,000,000


πŸͺ“ Vesting Schedule

1

Team & Advisors (20%)

  • 12-month cliff

  • 36-month linear unlock

2

Ecosystem Fund (25%)

  • 20% released at launch

  • Remaining 80% unlock over 48 months

3

Node Rewards (30%)

  • Distributed over 10 years

  • Dynamic APY adjustment

4

Public Sale (15%)

  • 15% at TGE

  • Remaining 85% vest over 6 months

5

Treasury (10%)

  • Fully unlocked, governance-controlled


πŸ”₯ Burn Mechanisms

$ISONET uses multiple burn mechanisms to create deflationary pressure:

  • 2% of all routing & subscription fees

  • Slashing penalties

  • Expired enterprise credits

  • Failed authentication attempts

  • Governance-triggered burns

All burns are visible on-chain and tracked in the public dashboard.


πŸ“ˆ Reward Model

Base Node Staking APY ranges from 12–45%, depending on:

  • Node tier

  • Uptime

  • Bandwidth routed

  • Geographic multiplier

  • Network-wide usage

Rewards are distributed in real time and can be auto-compounded.


πŸ”„ Circulating Supply Dynamics

At launch: 15% circulating (150M $ISONET)

Over time, circulating supply changes due to:

  • Rewards β†’ increase

  • Burns β†’ decrease

  • Vesting releases β†’ increase

  • Node collateral β†’ temporarily removed from circulation

ISONET balances deflation (burns) with utility-driven token velocity (usage).


πŸ›‘ Anti-Whale Protection

  • Max 5% supply per wallet at launch

  • Multi-sig treasury control

  • DAO oversight for liquidity decisions

  • Staking duration multipliers prevent sudden governance dominance


🌐 Liquidity Strategy

Initial liquidity is deployed across:

  • Uniswap v3 deep pool

  • Balancer weighted pool (60/40)

  • Cross-chain bridges (Arbitrum + Base)

Liquidity parameters are DAO-governed.


πŸ“Š Long-Term Sustainability

ISONET’s tokenomics model ensures:

  • Sufficient rewards for nodes

  • Adequate funding for development

  • Scarcity through burns

  • Real utility across the ecosystem

  • Reduced sell pressure via staking

The model is engineered for 10+ years of continuous network growth.


🧠 Why This Token Model Works

This structure gives $ISONET:

  • Strong utility demand

  • Continuous burn-based deflation

  • Long-term staking incentives

  • Community-driven governance

  • Global network scaling

TOKEN UTILITY + FEE FLOW + GOVERNANCE POWER = A balanced economic engine.