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🔥 Deflation Mechanism

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🔥 Renergy’s Deflationary Economic Design

Renergy is built with a native deflation-aware model, meaning the circulating supply is designed to decrease gradually over time. Unlike inflationary systems that continuously expand supply, Renergy becomes increasingly scarce as network usage and adoption grow.

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🔒 Fixed Supply — No Future Minting

Renergy’s supply rules are strict and transparent:

  • 🪙 Maximum Supply: 1,000,000,000 RNGY

  • ⛔ Hard Cap Enforced: No new RNGY can ever be minted beyond this limit

  • 🎁 Reward Reserve:

    • 50,000,000 RNGY allocated for validator and delegator rewards

    • Distributed gradually over 50 years

This structure removes long-term inflation risk and creates a predictable supply curve.

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🔥 Transaction Fee Burn Mechanism

Renergy includes an automatic fee-burning system that reduces supply based on real network usage.

⚙️ How the Burn Works

  • Every transaction includes a Base Fee

  • The Base Fee:

    • Adjusts dynamically based on network congestion

    • Is permanently burned (removed from circulation)

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🧮 Burn Formula

  • Base Fee: Adjusted per block

  • Gas Used: Gas consumed by the transaction

  • Burned RNGY: Removed forever from total supply

📌 Example

If:

  • Base Fee = 0.0005 RNGY

  • Gas Used = 21,000

That 10.5 RNGY is permanently destroyed, reducing circulating supply.

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🔁 Daily Emissions with Built-In Burn

Each day, the network balances rewards and deflation through:

  • 🎁 Distribution of validator & delegator rewards from the emission pool

  • 🔥 Burning of base fees from all transactions

  • 📉 Net effect: emissions slow over time, while burns increase with activity

As usage grows, burns increasingly offset new emissions.

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🧠 What This Means Long-Term

As Renergy adoption expands:

  • ✅ More transactions → more RNGY burned

  • ✅ Scheduled halvings reduce new emissions

  • ✅ Circulating supply trends downward over time

The result is a supply-constrained, usage-driven deflation model designed to support long-term scarcity and value sustainability.

By combining a hard supply cap, controlled emissions, and automatic fee burning, Renergy Blockchain establishes an economic foundation built for resilience, scarcity, and long-term growth.

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