Triple Token Economy

The DataGram ecosystem operates on a three-token economy designed to incentivize network participation, ensure stable pricing for services, and facilitate decentralized payments:

• $DGRAM: This is the primary payment token within the DataGram ecosystem, based on the Avalanche network using the AVAX C-Chain ARC-20 standard. ARC-20 tokens function similarly to ERC-20 tokens on Ethereum, allowing for fungible assets like stablecoins or utility tokens to be issued and traded on Avalanche's C-Chain, which is Ethereum Virtual Machine ("EVM") compatible. $DGRAM will be tradeable on exchanges and can only be obtained by converting $UDP, which is awarded to Cores for providing infrastructure services. $DGRAM serves as the currency for payments within the ecosystem, facilitating transactions for services and rewarding operators for their contributions.

• $DATA: A non-transferrable, burnable token designed for purchasing services within the DataGram network, with each $DATA token equivalent to $0.01 worth of services. $DATA are generated when $DGRAM is burned, with the burn value locked in at a three-day moving average of $DGRAM’s fiat value using the CoinGecko Oracle. This mechanism ensures that users who prepay for services by converting $DGRAM into $DATA are protected from market volatility, as the value of $DATA remains stable despite any fluctuations in the price of $DGRAM.

• Various Reward Points: In the DataGram ecosystem, non-transferrable tracking points are awarded to Core operators based on their contributions, such as supporting UDP or TCP connections - for example, operators accumulate $UDP points for handling UDP traffic and $TCP points for TCP traffic. While these points do not hold direct monetary value and cannot be transferred, they are crucial for tracking contributions to the decentralized infrastructure. These points are automatically settled daily into $DGRAM, the main token of the ecosystem, at a rate of $0.01 per point, with the conversion based on a three-day price average of $DGRAM. Throughout the day, operators accumulate $UDP and $TCP points for their contributions, and at the end of each day, these points are redeemed into $DGRAM. Operators using the DataGram Custodial Wallet solution will need to meet a minimum $20 balance before they can transfer or convert their accumulated $DGRAM, and they will also be required to pay a small fee for the transaction. On the other hand, power users employing non-custodial wallet solutions are only responsible for covering the gas fees required by the ecosystem, offering them greater flexibility and potentially lower transaction costs. This automated and transparent daily settlement process ensures that operators are continuously rewarded for their contributions while simplifying the management of their rewards, creating a seamless experience for all participants and fostering long-term engagement in the DataGram ecosystem.

Together, these tokens and points create a balanced ecosystem where users can purchase services, operators are rewarded, and market volatility is mitigated through strategic tokenomics and progressive conversion mechanisms.