Shiden Network is a fork of Plasm Network and acts as a smart contract Kusama Parachain. The token economics of Shiden Network is slightly different from Plasm Network because Kusama is different from Polkadot.
We have done 2 lockdrops with ETH. More than 150,000 ETH had been locked on our smart contract in 2 months. We issued tokens based on the opportunity cost and operation costs. Our lockdrop is NOT an ICO or an investment but a sort of staking. We forked Plasm at the block number #3,000,000. Users who have PLM at that moment can claim SDN.
To become a Polkadot Parachain, we collect KSMs from the community and issue SDNs as a reward . 30% is prepared for the crowdloans for Parachain Lease Offering. We are going to use 22% for the first auction and 8% for the second auction.
Parachain Auction Reserve
Funds to be used for future parachain Lease Offerings. (Additional funds)
Funds to be used for protocol developments and a grant program (TBA)
On Chain DAO
Funds for the on-chain treasury that our community decides how to use.
Funds to be used for marketing purposes.
Token will be transferred once Plasm/Shiden Network becomes a Parachain.
Incentive pool for employees.
To make the difference understandable, I would like to write the difference below.
We reserve 30% for the Kusama Parachain auctions. In the case of Shiden Network, we will use 22% for the first auction and 8% for the second auction. As you can see above, we still have 5% buffer (Parachain Auction Reserve). Shiden Network is a community driven layer1 blockchain.
1 year after the genesis block, more than 50% of SDN tokens will be owned by community members.