This contract implements a sophisticated deflationary token mechanism designed to reduce the circulating supply of tokens over time, while encouraging active participation from users. Every time a transfer occurs, a specific percentage of the tokens involved is calculated as the "burn amount." This percentage is not referred to as a tax, but rather as a mechanism to reserve tokens for burning.
Importantly, no percentage of tokens is deducted directly from transactions. Instead, the burn percentage is pre-allocated within the contract. The only action allowed by users is to burn tokens. This ensures that the burning process is separate from the transaction mechanism, with tokens being burned based on the total allocated amount rather than being deducted in real-time.
The burn percentage is determined dynamically using a deflation formula. This formula adjusts based on the current token supply, starting at a higher rate (up to 2%) and gradually decreasing as the total supply diminishes, eventually reaching a minimum rate of 0.01%. This ensures a deflationary trend while preventing the supply from being fully depleted.
The calculated burn amounts are stored and tracked for each user. Actual burning of tokens occurs through a public function called 'deflat'. Users can call this function to burn an amount equal to the total sum of tokens they have contributed to the deflation mechanism during previous transactions.
To gamify this process and incentivize user engagement, the contract uses two mappings:
DEFLATERS: This mapping tracks the total amount of tokens that each user has contributed to the deflation pool through calculated burn percentages in their transfers.BURNERS: This mapping records how many tokens each user has successfully burned by calling the 'deflat' function. Users are encouraged to participate actively, adding a competitive element and rewarding the most involved participants.
This system creates a gradual, yet consistent, deflationary effect on the token supply, ensuring long-term value preservation. The gamified approach engages users and promotes scarcity, enhancing the value for all holders.
The DEFLAT token is created to promote the adoption of a new fungible token standard that includes a public burn function for all compliant tokens.