SLINKY Token & Utility

Overview of the $SLINKY Token

$SLINKY is the native cryptocurrency of the Slinky Network, designed as a multipurpose token that underpins all fundamental operations and services within the ecosystem. As the core medium of exchange, $SLINKY facilitates a variety of functions such as transaction fees, staking, governance, and smart contract operations.

Key Utilities of the $SLINKY Token

• Staking and Network Security: $SLINKY is used to secure the Slinky Hyperloop PoS chain, where validators stake tokens to participate in network consensus mechanisms, enhancing the overall security and stability of the network. Additionally, operators of DePIN Inference Nodes are required to stake $SLINKY to ensure the reliability and integrity of the decentralized AI processing they provide.

• Governance: Token holders use $SLINKY to vote on various proposals, influencing the development and strategic direction of the Slinky Network.

• Transaction Fees and Gas: $SLINKY serves as the payment unit for transaction fees and computational services, enabling smart contract execution and dApp operations.

• Fee Distribution: A portion of transaction fees collected is redistributed to validators and active users, incentivizing participation and maintaining the ecosystem’s health.

Denominations and Compatibility

Slinky uses Atto SLINKY as the base denomination to maintain parity with Ethereum. There are three types of assets:

• The native SLINKY token

• IBC Coins (via the IBC)

• Ethereum-typed tokens, e.g. ERC-20

1 slinky = 10^18 aslinky

This matches Ethereum denomination of:

1 ETH = 10^18 wei

Cosmos Coins

Accounts can own Cosmos coins in their balance, which are used for operations with other Cosmos and transactions. Examples of these are using the coins for staking, IBC transfers, governance deposits and EVM.

Micro AI dApp Execution and Economics

• Deployment Costs: Developers must use $SLINKY tokens to deploy Micro AI dApps on the Slinky Network, which helps cover the computational and storage resources needed, a portion of which is burned to introduce deflationary pressure on the token supply, while the rest is distributed to support inference operations and reward validators.

• User Fees: As users interact with Micro AI dApps, they spend $SLINKY tokens, which are allocated among inference providers and network security providers.

Economic Incentives and Sustainability

• Validators and Developers: Earn $SLINKY from deployment fees and user transactions, incentivizing them to maintain high-quality services and robust network security.

• Users: Benefit from a versatile range of services offered by Micro AI dApps, paying only for the resources they consume, which ensures cost-effectiveness and enhances user engagement.

• Staking Rewards: Validators and delegators who stake $SLINKY receive rewards, encouraging long-term alignment and participation within the network ecosystem.

By integrating these functionalities, the Slinky Network ensures that $SLINKY is not just a currency but a vital element of the ecosystem’s growth and sustainability.