# Tokenomics & Distribution

At Warp we've taken a highly considerate approach to designing a business and tokenomics model which is robust and programmed for sustainability.

Our goal is market-leading business performance, a strong community of "true believer" investors, and healthy price action:

* **Limited amount allocated for early investors** spread thinly over numerous private individuals to encourage decentralization and retention
* **Modest Fully Diluted Valuation (FDV)** to maximize potential for upside
* **Reasonable unlock at TGE** (10% of total pre-seed allocation) and linear vesting, to provide early returns
* **Relatively low number of community validators** (max. 3,000) to ensure vesting emissions are as rewarding as possible on the short and long term
* **Revenue generating business model** for driving value to the token
* **Rapid roadmap to revenue-positive** to unlock greater rewards and long term sustainability for validators
* **Heavy allocation to liquidity and reserves** to ensure depth and agility at TGE
* **Gamified approach** for validators and community to encourage retention
* **Proactive approach** to investor relations

<figure><img src="https://566708272-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F4fgQVkRcslq4PDRgmWH3%2Fuploads%2FwKKzST7rpAsvbWdxWtM8%2Fdistrib.png?alt=media&#x26;token=2ea82ece-6b27-426c-9ae2-491fdab72dbe" alt=""><figcaption></figcaption></figure>

Components of the distribution are itemised below:

**Validator Nodes (21%):** Rewards paid to validators monthly for the service they provide validating the network

**Team & Advisors (15%):** Allocated for Warp team members, and only the best industry advisors who actively augment WARP's operations and service offering

**Liquidity & Exchanges (12.5%):** Ample liquidity with additional in reserve, to ensure $WRP is tradable on numerous, high volume decentralized and centralized exchanges

**Ecosystem Development (16%):** For research and development (R\&D), continuous upgrading of the Warp tech stack, and establishment of the Warp Foundation

**Community (10%):** Rewards for key contributors to the Warp ecosystem and Warp games

<figure><img src="https://566708272-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F4fgQVkRcslq4PDRgmWH3%2Fuploads%2FUnQmYaFJlhTbi2Xm4DuF%2Fdistribu.png?alt=media&#x26;token=9858a142-7aac-4245-aa76-ebcc7563a7b4" alt=""><figcaption></figcaption></figure>