TechFlow news — Shardeum, an EVM-based Layer 1 blockchain, has released its whitepaper detailing its token economics model. The whitepaper emphasizes that the total supply of Shardeum's token (SHM) will not exceed 508 million, and this cap cannot be altered by any form of future voting. Additionally, all transaction fees will be burned and will not be paid to any miners or validators.
The SHM token distribution is as follows:
1. Community: 51% of the total supply (approximately 259,080,000 SHM), allocated as rewards for validator and archive nodes;
2. Sales: 18% of the total supply (approximately 91,440,000 SHM), subject to a 3-month cliff period after the initial sale, followed by a 2-year daily linear vesting schedule;
3. Team: 15% of the total supply (approximately 76,200,000 SHM), which will also begin daily linear vesting after a 3-month cliff, lasting for 2 years;
4. Foundation: 11% of the total supply (approximately 55,880,000 SHM), unlocked at Token Generation Event (TGE);
5. Ecosystem: 5% of the total supply (approximately 25,400,000 SHM), unlocked at TGE.
Shardeum was co-founded by Nischal Shetty, who also founded WazirX, a major cryptocurrency exchange in India. The company previously raised $18.2 million in a seed round last October and secured an additional $5.4 million in strategic funding this July.
