Factor Docs


At Factor, our guiding principles are rooted in fairness, community engagement, and the long-term sustainability of our project. Our tokenomics model is a reflection of these values. It is meticulously crafted to prioritize the direct distribution of the majority of $FCTR tokens to our community, empowering them to play a central role in governing our protocol.

Max Supply Cap and No Inflation

Factor maintains a maximum supply of $FCTR tokens, set at 100,000,000, with no emissions beyond this limit. This approach ensures there are no inflationary mechanisms or unsustainable tokenomics in play. Enforcing this cap fosters a stable token supply, instills long-term confidence in the project, and aligns the interests of all stakeholders.

Genuine Community Governance

Factor is dedicated to promoting genuine community governance, where users' voices carry significant weight in shaping the protocol's development and trajectory. With over 80% of the $FCTR supply allocated to the community, we emphasize our trust in the collective wisdom and decision-making capabilities of an active community. We firmly believe that this strategy will drive DeFi innovation to unprecedented levels and nurture a collaborative ecosystem.

$veFCTR: Long-term Incentives and Anti-Whale Measures

Staked $FCTR tokens are converted into locked $veFCTR, which serves multiple purposes:
Prevent Yield Mercenaries: By requiring a commitment to lock tokens, $veFCTR discourages short-term speculators and promotes genuine long-term engagement with the protocol.
Anti-Whale Mechanism: The conversion to $veFCTR helps to limit the influence of large token holders, ensuring a more balanced governance process.
Long-term Incentives: $veFCTR holders are rewarded with 50% of all protocol fees, providing an ongoing incentive for long-term participation and support.
Governance Rights: By holding $veFCTR, users gain the right to participate in Factor's governance decisions, ensuring that the community remains at the core of the project's evolution.
Factor's ethos and tokenomics model are designed to empower the community and promote a fair, collaborative, and sustainable ecosystem.
Last modified 1mo ago