Token Circulation Model
Transaction Contribution and Liquidity Injection
Every completed order on FunPay contributes directly to token circulation.
Service Fee Structure
A fixed 20% service fee is taken from each merchant transaction.
This fee is automatically deposited into the FUN–USDT liquidity pool, ensuring trading depth and reducing volatility.
Why this matters
Liquidity grows in proportion to real economic activity.
The ecosystem avoids artificial inflation because liquidity injection follows actual spending, not speculation.
FP Issuance to Merchants and Consumers
FP (FunPower) acts as the participation metric of FunPay.
Merchant FP Rewards
Merchants receive 20%–40% of the service fee value as FP.
The percentage depends on merchant level, rewarding higher-performing merchants.
Consumer FP Rewards
Consumers receive FP equal to 100% of the service fee value.
This ensures every buyer gains measurable participation value through spending.
FP Characteristics
FP has a fixed valuation of $1.
FP is not transferable; it is used exclusively inside the ecosystem to generate FUN.
Why FP issuance matters
It creates a continuous record of contribution.
Both merchant and consumer activity feeds directly into future FUN generation.
FP to FUN Conversion Cycle
Conversion Timing : Once every 24 hours, between UTC 00:00–02:00, the system calculates how much FUN each participant can generate.
Conversion Logic
Users claim FUN based on:
Their FP balance
Their generation coefficient
The real-time FUN price
Claim importance
FUN must be claimed manually.
Claimable FUN expires after 7 days, preventing unchecked accumulation.
Why this structure works
Issuance remains proportional to participation.
Conversion adjusts with market price, preventing runaway inflation.
Daily cycles keep the system predictable without introducing staking complexities.
Burning Mechanisms Stabilizing Circulation
Burning reduces the FP supply and ensures contribution has lasting economic weight.
Generation Burn
For every $1 of FUN generated, 0.2 FP is burned.
Referral Burn
For every $1 of referral-based FUN earned, 0.1 FP is burned.
Burning Effect
FP decreases as users generate FUN.
Once a user’s FP reaches zero, FUN generation stops.
The system naturally encourages ongoing participation.
Why burning matters
Supply contraction offsets FUN creation.
The ecosystem avoids uncontrolled reward emissions.
Higher participation leads to higher burn, balancing long-term circulation.
Referral and Additional Rules
Some flows extend beyond basic transactions.
Referral FUN Rewards
FUN from referral activity is created in real time.
Users must claim it manually under the same 7-day window.
Valuation Rules
FP valuation stays fixed at $1, ensuring transparency and predictable contribution measurement.
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