🔥 Deflation Mechanism
🔥 Deflationary Mechanism of QIE
📉 QIE Becomes Deflationary Over Time
QIE is designed with a built-in deflationary model, meaning the total circulating supply gradually decreases over time. Unlike inflationary tokens that continuously increase in supply and lose value, QIE becomes scarcer as adoption grows.
🔒 Fixed Supply, No Minting
Maximum Supply: Capped at 150,000,565 QIE
No Minting After Cap: No new QIE can be minted once this cap is reached
Reward Reserve: 66 million QIE are reserved for validator and delegator rewards over a span of over next 100 years
This ensures a predictable and finite total supply, removing inflation risk.
🔥 Burn Mechanism
QIE uses a fee burn mechanism, designed to automatically reduce supply based on network usage.
How It Works:
Every transaction includes a Base Fee (mandatory), which:
Is dynamically adjusted based on network congestion
Is permanently burned (removed from circulation)
🔢 Burn Fee Formula
Burned Fee=Base Fee×Gas Used
Base Fee: Automatically adjusted per block
Gas Used: Gas consumed by the transaction
Burned Fee: QIE removed from the total supply forever
Example:
If the base fee is 0.0005 QIE and the transaction uses 21,000 gas:
Burned Fee=0.0005×21,000=10.5 QIE
This 10.5 QIE is permanently burned, contributing to supply reduction.
🔁 Daily Emission with Built-In Burn
Each day, QIE manages rewards and burns through the following process:
Validator/delegator rewards are distributed from the emission pool
Base fees from all transactions are burned
The net effect: supply grows more slowly, while burn increases with network activity
🧮 What This Means for You
As QIE adoption increases:
✅ More transactions = more base fees burned
✅ Halvings reduce the speed of new coin emissions
✅ Total supply shrinks while demand grows
The result is a long-term deflationary model designed to support scarcity and value appreciation.
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