Tokenomics

3. Tokenomics

3.1 $LEMON Token Utility

Token Utility for $LEMON Token: Fueling the Black Lemon Ecosystem 🍋

The $LEMON token serves as the cornerstone of the Black Lemon platform, providing a wide array of utilities that empower users, enhance platform functionality, and foster community engagement. Here are the key utilities for the $LEMON token:

Fee Discounts

Users who hold $LEMON tokens will enjoy reduced fees on the platform. Whether it’s transaction fees, withdrawal fees, or lending fees, token holders can benefit from substantial discounts, making liquidity provision and utilization more cost-effective.

Staking Rewards

$LEMON tokens can be staked on the Black Lemon platform to earn attractive rewards. By staking their tokens, users not only contribute to the security and stability of the ecosystem but also earn additional $LEMON tokens as rewards, incentivizing long-term commitment to the project.

Access to Premium Features

Certain advanced features of the Black Lemon platform will be exclusive to $LEMON token holders. This includes access to premium analytics tools, enhanced AI-driven insights, and priority customer support, allowing users to maximize their trading and liquidity strategies.

AMM Lending Collateral

Projects can utilize $LEMON tokens as collateral when lending AMM liquidity from Black Lemon. This feature provides liquidity to new projects while enabling $LEMON holders to participate in the growth of emerging DeFi initiatives, creating a symbiotic relationship within the ecosystem.

Liquidity Mining Incentives

$LEMON token holders can participate in liquidity mining programs, earning rewards for providing liquidity to various pools on the platform. These rewards can be distributed in the form of additional $LEMON tokens, enhancing the earning potential for active participants.

Cross-Platform Utility

As the Black Lemon ecosystem expands, $LEMON tokens will have utility across various platforms and partnerships within the DeFi space. This interoperability will enhance the token's value and usability, creating a robust network of opportunities for holders.

3.2 Fee Structure

Black Lemon AMM Platform Fees 🍋

At Black Lemon, we strive to maintain a competitive fee structure that aligns with industry standards while also rewarding our community of $LEMON token holders. Below is the proposed fee structure for the Lemon AMM platform, along with discounts for holding $LEMON tokens.

Standard Fees:

1. Trading Fees:

- Standard Rate: 0.30% per trade

- This fee is competitive with leading AMM platforms and is applied to the total trade volume.

2. Liquidity Provision Fees:

- Standard Rate: 0.20% per transaction for liquidity providers

- This fee applies when users deposit or withdraw liquidity from the pools.

3. Lending Fees (for AMM Lending):

- Standard Rate: 0.15% on the loan amount per transaction

- This fee applies to projects borrowing liquidity against their token collateral.

4. Withdrawal Fees:

- Standard Rate: 0.10% of the total value withdrawn

- This fee is applied when users withdraw their funds from the platform.

Discount Structure for $LEMON Holders:

To incentivize long-term commitment and community engagement, we offer the following discounts based on the amount of $LEMON tokens held:

1. Token Holding Tiers:

- Tier 1: Hold 0 - 999 $LEMON

- Discount: 0% (Standard Fees Apply)

- Tier 2: Hold 1,000 - 4,999 $LEMON

- Discount: 10% off all fees

- Tier 3: Hold 5,000 - 9,999 $LEMON

- Discount: 15% off all fees

- Tier 4: Hold 10,000+ $LEMON

- Discount: 20% off all fees

Example Fee Calculation with Discounts:

Standard Trading Fee Calculation:

- Trade Volume: $1,000

- Standard Fee: 0.30%

- Fee Without Discount: $3.00

With $LEMON Tier 2 Discount (10%):

- Fee After Discount: $3.00 - ($3.00 * 0.10) = $2.70

3.3 Distribution Model

The total supply of $LEMON tokens is capped, with allocations for the team, community initiatives, liquidity mining, and reserves. A clear vesting schedule ensures long-term commitment from stakeholders.