
Alexey Koloskov | November 23 2021
Alexey Koloskov | November 23 2021
ORN: Supply Reduction
Orion Protocol’s ORN is the fuel to the Orion ecosystem and is supply-capped at 100m. However, a number of initiatives will be rolled out starting from December to permanently remove ORN from circulation and significantly reduce supply.
The first initiative in a series of upcoming commitments to reducing supply will occur through governance staking. Orion is implementing a 14 day lock up period for ORN Governance stakers from the beginning of December. Existing stakers will be auto-enrolled into lock ups from next month. Governance stakers will be entered into a 14 day staking lock up, but can instantly undelegate at any time for a 5% fee. This fee is only incurred if you instantly undelegate and do not wait for the 14 day period - all other unstaking will incur a 0.1% unstake fee. The ORN fees incurred in both unstaking and instant delegation will be permanently removed from circulation to reduce ORN’s supply.
This is the first initiative of many that will be rolled out over the coming months aimed at removing a significant portion of ORN from the circulating supply. Other upcoming initiatives include:
More aggressive supply reduction mechanisms are currently in the works, and will be revealed at the beginning of next month. All ORN to be removed from circulation will be collected in a contract and destroyed quarterly.