A new way to support and amplify Session is coming.
A way to ensure long-term sustainability.
A way to unify the project with the community.
Session Token is the cryptocurrency powering the future of Session. Staking Session Token will secure the new Session Network, and node operators and stakers will be rewarded with Session Token. Session Token can also be used to activate Session Pro, unlocking access to powerful features, and to register and trade unique Session Names. This article is your introduction to Session Token’s utility and tokenomics.
The Heart of the Network
The Staking Reward Pool is the heart of the system—it’s how Session will give back to the network that secures and runs the messaging app. As more Session Tokens are used to unlock in-app features, more Session Tokens are added to the Staking Reward Pool. As the pool grows, so do the rewards for Session Token stakers, incentivising network growth and increasing its performance and security, improving Session in the process.
The Staking Reward Pool will begin with 40,000,000 Session Tokens and will start rewarding active participation in the network immediately. Read about token utility to find out how. 👇
New Features for Session Users
Session has multiple new features in the works, including Session Pro, a collection of enhanced features for power users of Session, and the Session Name Service, which allows users to register and trade unique usernames linked to their Account ID. Users can unlock these features using Session Token.
The Session Pro Beta will include vastly increased file sizes, customizable account profiles and badges. The complete version of Session Pro will include even more features to engage and delight Session users.
Depictions are for illustrative purposes only and are not a finished product.
To activate Session Pro and unlock its in-app features, a Session Network Fee must be paid in Session Tokens. The actual cost of Session Pro will be measured in USD terms to ensure a stable price for users. Third-party conversion services will also allow Session Pro and Session Name registrations to be purchased using fiat currencies. These conversion services will accept fiat payments, convert these to Session Tokens and pay Session Network Fees on the user's behalf, activating the feature(s) for the user. This makes it easy for all users to contribute to the Session Token ecosystem, even if they aren't familiar with crypto.
Whether users pay fees with Session Token directly, or via third-party conversion, these Session Tokens are burnt, supporting the ecosystem. 90% of the burnt Session Tokens are re-minted into the Staking Reward Pool, and 10% are re-minted as protocol-owned liquidity.
90% of burnt tokens (excluding operational fees) used to activate Session Pro or register Session Names are re-minted into the Staking Reward Pool to reward node operators and stakers for their validation work, securing the network, and running Session.
The other 10% is re-minted as protocol-owned liquidity to support the underlying network and ensure market stability.
Node Rewards
Session Nodes are the building block of the Session Network. They’re validators responsible for securing the network, storing information for Session, and routing Session messages. By staking Session Tokens to a node, node operators and contributors help secure the Session Network. Nodes are also rewarded with Session Tokens from the Staking Reward Pool. These rewards scale baked on the amount of tokens in the pool.
The Staking Reward Pool unlocks 14% of its Session Tokens each year. Here’s a simple formula to calculate the rewards paid to the entire network on a given day:
(Token Reward Pool)*0.151 / 365 = Daily Network Reward
The pool will have 40 million tokens at TGE, so the day 1 reward for the network will be ~16,547 Session Tokens.
Unlocking Ecosystem Growth
Session Token will usher in a new era of growth and progress aligned with Session's core mission of redefining secure, decentralised communication for everyone.
Session Token is an EVM-compatible token, which means it can interact seamlessly with Ethereum-based decentralised applications (dApps) and smart contracts. Switching over to an EVM-compatible token can open the door for:
- Centralised exchange listings
- Decentralised exchange listings
- Better, more diverse wallet options
Combined with improved liquidity, this can have a powerful amplifying effect on Session's tokenomic system.
Ready to do a deep dive into Session Token and start participating in the ecosystem? Get started here.