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Optimized for Sustainability, Bracing for Growth - Introducing the new $CERE economy

DDC
December 23, 2024

These past years, The Cere Layer-1 blockchain leveraged token inflation to incentivize network security through validator and nominator rewards, a common approach among Proof-of-Stake chains until transaction fees can sustain the network.

While inflation has served its purpose in rewarding our early supporters, specifically the validators and nominators, we are happy to announce that we are projecting to replace inflation with real-world demand very soon! This is the first result stemming from years of hard work, focusing on tokenizing cloud computing on clusters like Dragon 1 through CERE tokens by securing SLAs and data security, while fully automating payments and validations.

This is a huge milestone. Not only for Cere, but for all of Web3, as we are starting to automate and tokenize the rapidly growing, trillion-dollar data compute market. 

By the end of Q1 2025, we are committed to:

  • Become a completely non-inflationary economy by
    • Completing the burning of the tokens allocated from the treasure to reduce the overall token supply to 10B.
    • At the same time, we will be reducing inflation gradually until it is completely turned off when the 10B target reached.
  • Showcase how everyday data operations from Dragon 1, and soon other data clusters, are being tokenized via $CERE token on the Cere blockchain, displacing inflation with real-world demand and yields. More specifically highlighting:
    • How communities and creators can now use decentralized data infrastructure such as Dragon 1 to directly stream and monetize permitted and exclusive video content into their communities; with every video stream bringing economic value to the data nodes and CERE validators/nominators;
    • How we are driving towards 1M+ data wallets with real-world users, securely stored, fully encrypted, and segmented individually, not only demonstrating how we preserve data privacy and data sovereignty but also highlighting how we provide the data agility needed for the future of computing.
    • How we are building real-time,secure Agentic systems together with our partners on top of DDC, offering an entirely sovereign and automated data stack where only permitted and trusted AI agents can operate on your data with transparency and accountability.

In the coming weeks we will start to unveil some technical deep dives along with customer/user success case studies detailing how our innovations are driving impact in relatable use cases. 

What this means for existing validators/nominators/stakers:

The transition to a non-inflationary economy will not happen overnight and we are committed to rewarding those of you who actively support our ecosystem.

Therefore, we'll soon launch the Cere “Diamond Hands Bonus”: a time-limited reward that will ensure existing validators & nominators who have been an invaluable part of our ecosystem are rewarded aptly during this transition.

This bonus is designed to augment real yield generated by our data clusters as it ramps up during the initial months of 2025, ensuring those who have shown unwavering and steadfast support for our project are taken care of during this phase.

Eligibility Criteria for the 'Diamond Hands Bonus':

  • Nominators
    • Remain staked, minimum of 200K tokens ($500)
    • Voted on at least 3 community proposals
  • Validator
    • Remain self-staked, minimum of 400K tokens ($1000)
    • Were not slashed during the period more than 3 times
    • Voted on at least 3 community proposals

More details on the Diamond Hands Bonus and how it’ll drive token utility will be shared in the coming weeks.

Ending thoughts and the roadmap ahead

By aligning rewards with real usage, we’re ensuring that $CERE reflects real-world demand from highly competitive decentralized data clusters powered by $CERE tokens and Cere protocol, benefitting all participants in the ecosystem.

We are setting the stage and foundation for our hyper-growth phase, driving and unlocking tremendous value by automating huge amounts of data compute demand closer to the edge, all around the world. 

Join us in building the future of data!

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