AIP-09: ALD Tokenomic Overhaul, Phase One: Reduce Max Supply of ALD by 85%

As part of ongoing efforts to overhaul ALD tokenomics (see previous forum posts and associated Snapshot votes spearheaded by Aladdin community superstar Tao) the Aladdin team proposes to vote on, and roll out key tokenomic changes (as well as some extensions which the team will propose) on a step-by-step basis rather than all at once.

Furthermore, under this approach, the team proposes to begin in phase one with one of Tao’s simple, clear proposed changes: drastically cutting the ALD maximum supply. Currently the maximum supply of ALD is set at 1B tokens. We propose to change the hard limit here to 150M (which is < 5M more than the current supply).

The phases to follow phase one will deal with how token emission for the final <5M will be handled, with new proposals made for each phase that will start from Tao’s hard work baseline.

The ability to continue to emit ALD tokens is not needed under the tokenomic model that we are moving towards, and cutting the hard-coded maximum supply will help provide certainty to token holders. Additionally this change brings the misleadingly high fully diluted value (FDV) of Aladdin in line with the current market cap.

Set the ALD maximum supply to 150M.

Polling Period
The polling process begins now and will run for a few days before being put to a snapshot vote.

For Implement phased ALD tokenomic revamp beginning with phase one as described
Against Do nothing. Back to the drawing board.

  • For: Implement phased approach to ALD tokenomics revamp beginning with phase one as described
  • Against: Do nothing.
0 voters

posted on behalf of the Aladdin DAO team


This is great! It creates surety for the tokenomics and is a win for all current token holders.

No impact on ALD DAO token?

Most of initial contributors including me which will still receive ALD DAO tokens.

Great. Will be very interesting to see the other parts of the tokenomics model

Hey Mr Masa,

ALDDAO token emission is linked to ALD bonding. This has been effective since Aladdin V2 launch.

Aladdin has made important pivot from the very initial set up. The initial tokenomics was designed to manage capital on behalf of the community. Aladdin is more a community driven incubator now since we built Concentrator, CLever, f(x) and more in the future. ALD’s value will be supported by the projects and ecosystem we build.

Since we will not manage people’s capital directly, I don’t see why Aladdin needs to build a massive treasury as initially planned.

ALDDAO holders will not get more ALD emission after we reach 150m cap if the community approves the proposal. However the denominator will shrink to 1/7. So ALDDAO holders net net actually get more ALD power in terms of % which should be a good outcome for everybody.

Hi Sharlyn, Thanks for reply. I fully understand that there is no guarantee for ALD DAO token holders to receive additional ALD DAO tokens based on the initial smart contract after the community approves the proposal.

For your reference, AladdinDAO takes 30% of the total token supply on each product. This business model is Venture Studio. Incubators do not take such large amount of shares. The most well known Incubator, Y-Combinator takes 7.5% with $15K Investment based on my latest knowledge.

It is different than Y-Combinator. All the new project token Aladdin launched don’t have team allocation because all the development and marketing cost have been coved by Aladdin treasure. Also Aladdin will only max lock these project tokens instead of sell them in the market, which make it different than other web2 incubator

For your reference, Venture Studios take stock dividends from their portfolio companies to collect their investment capitals if the startup cannot exit.

Incubators don’t write code and don’t run marketing/operations/community building either. Web 2 incubator just provide some training and offices.

Aladdin is unique in the way it not only designs and build protocols, it also builds community, and takes a strategic view to create synergies across the entire Aladdin ecosystem.