The native token BTD of Bitdance is used for network security through validator staking, transaction fee payments for network operations. The token targets a total supply of 10 billion BTD. Bitdance tokenomics ensure sustainable growth and alignment between participants, which focuses on data contribution rewards. Contributors who provide high-quality or unique data receive additional incentives through performance multipliers, ensuring the highest standards of data quality within the ecosystem.

BTD tokens are distributed as mining rewards to individual users who contribute personal data, node operators of the Bitdance network who provide privacy computing services, investors of mining machines as RWA, and foundation vaults for ecosystem construction. The BTD tokens are released according to the following schedule.

60% of the tokens, or 6 billion tokens, will be distributed as community mining rewards to personal data contributors, privacy computing mining machine operators and mining machine RWA investors to complete the cold start and long-term sustainable development of the Bitdance community. The mining rewards adopt a geometric decreasing release model, with an initial release of 120 million tokens. Thereafter, the annual release will decrease by 2% year-on-year.

The mathematical model and formula for releasing community mining rewards are as follows.

Where

Rn represents the token release in the nth year

R1 represents the initial token release in the first year

q  represents the annual token release reduction coefficient

One of the advantages of this geometric decreasing release model is that it can theoretically guarantee the perpetual release of mining rewards. In 20 years, the amount of tokens released for Community Mining Rewards will reach 1,994,352,169, accounting for 33.24% of the total mining reward tokens.

The release of other tokens adopts a linear model. The tokens of the Founding Team, Private Sale, Advisors & Partners have a one-year lock-up period after listing on a centralized exchange. After the lock-up period, 20% will be released in the first year, and the remaining will be released linearly over 3 years. There is no lock-up period for the release of tokens for Ecosystem Construction. 20% can be unlocked on the day of listing on a centralized exchange, and the remaining will be released over 3 years. The token distribution chart over time is shown as follows.

The Bitdance network was started to build in 2024 (the first year), the testnet and mainnet will be launched in 2025 (the second year), and the BTD token centralized exchange listing will be planned in 2025. It is expected that by 2029 (the sixth year), the total amount of tokens released will reach 4,576,475,219, accounting for about 45.76% of the total tokens, in which the tokens of the Founding Team, Private Sales, Advisors & Partners will all be released, and the tokens of Community Mining Rewards will be released 576,475,219, accounting for about 9.6% of the total mining reward tokens.

The initial circulating token supply is 220,000,000, which is approximately 2.2% of the total token supply.The annual circulating supply after listing on centralized exchanges are shown in the following table.