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TWT (Toncoin) Tokenomics Revamp: Paving the Way for Sustainable Long-Term Value?

TWT (Toncoin) Tokenomics Revamp: Paving the Way for Sustainable Long-Term Value?

Bitget-RWA2025/11/17 19:22
By:Bitget-RWA

- TWT (Toncoin) 2025 tokenomics overhaul shifts from governance to gamified utility via Trust Premium loyalty tiers. - 88.9B token burn (2020) created scarcity but raised liquidity concerns amid 40% pre-2020 circulating supply. - Staking rewards and gas discounts aim to tie value to user engagement, contrasting speculative governance models. - Critics highlight transparency gaps vs. projects like Monad and liquidity risks if adoption falls short. - Long-term success depends on balancing deflationary scarci

The (TWT), now known as (TWT), experienced a major revamp of its tokenomics in 2025, moving away from a governance-first approach to a model focused on gamification and practical use. This redesign, anchored by the Trust Premium loyalty initiative, seeks to tie the token’s worth more closely to genuine user activity rather than speculative trading. For those investing, the main concern is whether these changes will truly boost the token’s value over time.

The 2025 Tokenomics Revamp: Shifting from Governance to Gamified Utility

, TWT’s 2025 update brought in a multi-level loyalty program (Bronze → Silver → Gold) that incentivizes users for on-chain actions like swapping, staking, and holding . Perks include reduced gas fees, airdrop opportunities, and governance participation, directly connecting the token’s use to involvement in the ecosystem. This marks a clear departure from TWT’s previous governance-heavy structure, which emphasized voting rights over active engagement.

A significant part of the update was the 2020 token burn, which

from the total supply. This deflationary step, among the largest in the crypto sector, was intended to enhance scarcity and offset inflation. Still, by 2020, more than 40% of all tokens were already in circulation, when compared to platforms like Network.

Scarcity and Supply Limits: Balancing Benefits and Drawbacks

The token burn has certainly increased TWT’s rarity, which is a major factor in crypto asset valuation. By cutting down supply, the changes theoretically support price growth if demand holds steady or rises. However,

, the lack of staged liquidity solutions—common in projects like Ontology—may make it difficult for TWT to maintain both scarcity and adequate liquidity. Managing this balance will be crucial for the token’s future value.

Utility-Focused Rewards: Linking Value to Ecosystem Growth

The Trust Premium initiative is built to encourage ongoing user involvement by offering rewards for participation. Those who stake TWT can access various benefit tiers, with

. This approach is similar to loyalty programs in the traditional financial world, where keeping customers engaged is key to long-term value. Still, the effectiveness of this model depends on broad user uptake. , the token’s usefulness—and its price—may remain limited.

To put things in perspective, staking returns in 2024 varied greatly among leading networks, with

(ATOM) at 18.5% and (DOT) at 11.5%, . Although TWT’s staking rewards are not specifically detailed in the analysis, the emphasis on practical use over high yields indicates the token’s value is more closely tied to ecosystem expansion than to offering top-tier staking returns.

Potential Issues: Transparency and Market Liquidity

Some critics believe TWT’s tokenomics lack the openness found in projects such as

DEX and . For example, Monad’s tokenomics strategy locks up over half of its supply at launch to ensure alignment with the ecosystem’s long-term goals . In comparison, TWT’s less transparent supply management may discourage institutional investors who value predictability. Furthermore, —like those used by Ontology—could become problematic if user growth does not meet expectations.

TWT (Toncoin) Tokenomics Revamp: Paving the Way for Sustainable Long-Term Value? image 0

Conclusion: Utility as a Strategic Focus

The 2025 update repositions TWT as a token driven by practical use, leveraging both scarcity and gamified rewards to encourage adoption. While the massive token burn and the Trust Premium program are notable, the token’s future value will largely depend on its ability to attract and keep users. For investors, these changes mark a deliberate move away from speculation toward real-world application—a strategy that could succeed if adoption grows, but may face challenges if liquidity and transparency issues are not addressed.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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