Layer3 is an example of excellent token design.

Layer3 is not only a web3 task platform, but also creating the first protocol to commercialize decentralized attention. Unlocking more than $500 billion in user value through layers of user online identity, content consumption and monetary incentives.

According to DappRadar data, Layer3 users and social activities have reached an all-time high, with 100 million interactions completed, 4.3 million crypto users, and a total of 16 million credentials generated by the protocol.

Layer3’s second airdrop snapshot is 2 days away. Those who are interested can participate https://app.layer3.xyz/quests?ref=0xB7Fbe5665C4750E6B0733Ea2dc0267a2725d40F1

Uniswap, Base, Arbitrum, Linea, Poly gon, gnosis , Celo, and more than a hundred other crypto teams are using Layer3’s distributed infrastructure. To date, the platform has served over 3 million unique users in 120 countries, and Layer3’s distribution protocol supports 25 different blockchains in the EVM and Solana ecosystems.

Moreover, Layer3 has just received US$15 million in financing from ParaFi, Greenfield Capital, Electric Capital and other institutions, and the total project financing has received US$21.2 million.

The two cores of Layer3: full-chain identity and distribution protocol. Users can participate in activities in various networks uniformly through full-chain identities. The platform creates a comprehensive map of users and selects users who are active, loyal, and valuable on the chain. Layer 3-based projects, on the other hand, can programmatically route tokens to the right users at the right time based on various criteria such as time triggers, asset ownership, on-chain activity, credentials, social graph, and task engagement .

Nowadays, due to the huge number of projects, time and energy are cut into fragments. Attention therefore becomes a scarce resource. Layer3’s strategy is to 1) provide valuable incentives for users who contribute to the growth of the community; 2) users discover the protocol and participate through a unified identity and receive continuous incentives.

The most critical and beautiful thing about all of this is Layer 3’s token economic design.

Excellent token design

Tokens are a very powerful weapon for a project. Good token design allows the project to get twice the result with half the effort. Since token design needs to be designed based on the project's own products and characteristics, there is no unified template, resulting in many projects not paying enough attention to it. The token design of layer3 is more careful, and its biggest feature lies in its staking design, which has three levels of rewards for staking.

1) Passive L3 staking rewards and governance rights

Staking L3 can get L3 rewards and Dao governance rights. This is the return from staking for most projects. In layer 3, it is called passive staking reward. Because it also has active staking rewards

2) Rewards from other project parties

At this level, the l3 pledged by users can obtain exclusive tasks from the project party, or obtain different levels of rewards based on the number of pledges, and the participation of Launchpad Permissions etc.

3) Active L3 staking rewards

are mainly related to the user’s behavior in Layer3. It can get a bonus from the airdrop coefficient. Here, a whale must receive less airdrops than an active participant. Users who complete 10 tasks may receive a 1.5x L3 reward multiplier.

L3 also has a destruction mechanism, including L3 purchased by partners to release tasks, and used to burn L3 to obtain some benefits, etc.

Layer3’s staking design shows that it holds the core of token economic incentives.

1) Token incentives are closely combined with the characteristics of your own project and give full play to your strengths. As a platform, Layer3’s advantage is that there are many cooperative projects, and the biggest attraction for users is the project’s airdrop rewards. Users participate in other pledges and have gambling elements. But it is very certain on Layer3. Therefore, staking l3 can get rewards from the project side, which can be said to be very attractive.

2) Tokens motivate their own core goals.

For the platform, users and project parties are the core. Therefore, it can be said that it is a better setting to obtain airdrop multiples by pledging tokens. Active users will receive higher rewards, and it will also bring active users to the project side.

3) Token incentives should create a positive spiral

The design of staking rewards should encourage users to hold for a long time, and long-term staking itself will bring benefits. For example, the longer the staking time, the more rewards. Second, only when the currency price itself performs well and has confidence in the future can users hold and pledge it for a long time. 3. The perfect destruction mechanism reduces the impact of inflation to a certain extent and also brings confidence to users.

A poor token design may cause the currency price to remain sluggish due to too much selling pressure, thus affecting the community's confidence in the project, leading to the project's failure. An excellent project design can continuously inspire the community and work with all token holders to make it bigger and stronger and maximize the cake.

Finally, let’s introduce the token distribution of Layer3

The total number of tokens of Layer3 is 3,333,333,333. Token allocation is

1) Core contributors: 25.3%

TGE is locked for one year, and will be released linearly every day for the next three years

2) Investors: 23.2%

TGE is locked for one year, and will be released every day for the next three years. Daily linear release

3) Advisor: 0.5%

TGE is locked for one year, and daily linear release for the next three years

4) Community: 51%

Unlock 40% of it in the first year, and unlock it in the second year 30% of it, 20% of it is unlocked in the 3rd year, and 10% of it is unlocked in the 4th year.

From another perspective, 25% of the total amount is the initial budget allocated by the foundation for planned airdrops and incentives, and 26% will enter the community and be managed by the DAO and the foundation.

TGE unlocks 200,000,000 L3 (6%) airdrop for OG & S1. 50,000,000 (1.5%) is the S2 allocation. The entire allocation is unlocked on TGE.

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