Emissions and Rewards

Emissions schedule how new tokens enter circulation — staking rewards, liquidity mining, and governance incentives. High APYs attract capital; when rewards drop, mercenary liquidity leaves.

Proof-of-stake chains inflate to pay validators. Token holders stake for yield — dilution shared across stakers and non-stakers. Real yield means rewards funded by fees, not new minting.

Design emissions to convert mercenaries into users — vesting rewards, lockups, or utility requirements help. Capital that chases the highest APY regardless of protocol loyalty rarely stays when the subsidy ends.