​
ONTON Token Utility

The ONTON token (ONTON) is the native utility token of the ONTON Finance platform, serving multiple purposes within the ecosystem:

  • Governance: ONTON token holders can participate in the governance of the platform by voting on proposals related to protocol upgrades, fee structures, and other key decisions. The voting power of each token holder is proportional to the number of veONTON tokens they hold, which are obtained by locking ONTON tokens for a specified period.

  • Staking and Locking: Users can stake their ONTON tokens to earn rewards and contribute to the security and decentralization of the network. Additionally, users can lock their ONTON tokens for a specified period (up to 4 years) to obtain veONTON tokens, which grant them increased voting power and a share of protocol fees.

  • Liquidity provision: ONTON tokens can be used to provide liquidity to the TON AMM DEX, allowing users to earn a share of the trading fees generated by the platform. Liquidity providers who lock their ONTON tokens as veONTON will receive additional rewards and benefits.

  • Transaction fees: ONTON tokens are used to pay for transaction fees on the ONTON Finance platform, including fees for cross-chain swaps, AMM trades, and ONTON Card purchases.

  • Cashback rewards: Users can earn cashback rewards in the form of ONTON tokens when using their ONTON Card for purchases, incentivizing adoption and usage of the platform.

​
Token Distribution

The initial supply of ONTON tokens is set at 1 billion, with the following distribution:

  • First Sale: 10% (100 million) of the tokens will be sold through the first token sale, allowing early supporters to participate in the project and acquire ONTON tokens.

  • Second Sale: 15% (150 million) of the tokens will be sold through the second token sale, providing further opportunities for community members to acquire ONTON tokens.

  • Liquidity Mining: 20% (200 million) of the tokens will be allocated to liquidity mining rewards, incentivizing users to provide liquidity to the TON AMM DEX and lock their ONTON tokens as veONTON.

  • Ecosystem Fund: 20% (200 million) of the tokens will be allocated to the ecosystem fund, which will be used to incentivize developers, attract partners, and fund strategic initiatives to grow the ONTON Finance ecosystem.

  • Team and Advisors: 15% (150 million) of the tokens will be allocated to the team and advisors, subject to a 4-year vesting period with a 1-year cliff. This ensures that the team and advisors are aligned with the long-term success of the project.

  • Marketing and Partnerships: 10% (100 million) of the tokens will be reserved for marketing and partnership efforts, helping to drive adoption and awareness of the ONTON Finance platform.

  • LP Reserve: The remaining 10% (100 million) of the tokens will be held in reserve for future use, such as community incentives, liquidity provision, or emergency situations.

​
Deflationary Model and Buyback-and-Make

ONTON Finance employs a deflationary token model and a unique “buyback-and-make” mechanism to ensure the long-term sustainability and value accrual of the ONTON token.

  1. Deflationary Model: A portion of the transaction fees generated on the platform will be used to buy back and burn ONTON tokens, permanently removing them from circulation. This creates deflationary pressure on the token supply, potentially increasing the value of the remaining tokens over time.

  2. Buyback-and-Make: In addition to the traditional buyback-and-burn mechanism, ONTON Finance introduces a “buyback-and-make” model. A portion of the transaction fees will be used to buy back ONTON tokens from the open market and distribute them to veONTON holders as rewards. This mechanism rewards long-term token holders and encourages users to lock their tokens, thereby reducing the circulating supply and increasing the token’s value.

The buyback-and-make mechanism works as follows:

  • A fixed percentage of the transaction fees generated on the ONTON Finance platform is allocated to the buyback fund.
  • The buyback fund is used to purchase ONTON tokens from the open market at regular intervals, such as weekly or monthly.
  • The purchased tokens are then distributed proportionally to veONTON holders based on their share of the total veONTON supply.
  • This process continuously rewards long-term token holders and incentivizes users to lock their tokens, reducing the circulating supply and potentially increasing the token’s value.

By combining the deflationary model with the innovative buyback-and-make mechanism, ONTON Finance creates a sustainable ecosystem that aligns the interests of token holders with the long-term success of the platform.

​
Governance

ONTON Finance is governed by a decentralized autonomous organization (DAO), which allows ONTON token holders to participate in the decision-making process of the platform. The governance model is designed to be transparent, inclusive, and resilient, ensuring that the platform can adapt to changing market conditions and user needs.

Key aspects of the ONTON Finance governance model include:

  • veONTON Voting: ONTON token holders can lock their tokens for a specified period (up to 4 years) to obtain veONTON tokens. The amount of veONTON tokens received is proportional to the number of ONTON tokens locked and the lock duration. veONTON tokens grant holders increased voting power in governance decisions and a share of protocol fees.

  • Proposal Submission: Any veONTON token holder can submit a proposal for consideration by the community. Proposals can include changes to platform parameters, fee structures, new features, or other key decisions.

  • Voting: veONTON token holders can vote on proposals using their tokens, with the voting power proportional to the number of veONTON tokens held. The voting process is conducted through a secure on-chain voting mechanism, ensuring transparency and immutability.

  • Quorum and Approval Thresholds: For a proposal to be approved, it must meet a minimum quorum (e.g., 20% of total veONTON supply) and a minimum approval threshold (e.g., 60% of votes cast). These parameters can be adjusted through the governance process itself, allowing the community to adapt the governance model as needed.
  • Implementation: Once a proposal is approved, it is automatically implemented by the platform’s smart contracts, ensuring that the decision is executed in a timely and trustless manner.

By empowering veONTON token holders to participate in the governance of the platform, ONTON Finance ensures that the project remains decentralized, community-driven, and responsive to the needs of its users. The veONTON model also encourages long-term commitment and alignment of interests between token holders and the platform’s success.

​
Security and Risk Management

​
Smart Contract Audits

To ensure the security and reliability of the ONTON Finance platform, all smart contracts will undergo rigorous audits by leading blockchain security firms. These audits will include a comprehensive review of the contract code, testing for potential vulnerabilities, and verification of the contract’s functionality.

The audit process will be conducted in multiple stages, including:

  1. Internal review: The ONTON Finance development team will conduct an internal review of the smart contract code, testing for potential issues and ensuring that the contracts are functioning as intended.

  2. External audit: The smart contracts will be submitted to one or more reputable blockchain security firms for an independent external audit. These firms will review the code, test for vulnerabilities, and provide a detailed report of their findings.

  3. Public bug bounty: Following the external audit, ONTON Finance will launch a public bug bounty program, inviting the wider community to test the contracts and report any potential issues. This crowdsourced approach helps to identify edge cases and vulnerabilities that may have been missed during the internal and external audits.

  4. Continuous monitoring: After the smart contracts are deployed on the TON blockchain, ONTON Finance will implement continuous monitoring and alert systems to detect any potential security issues or anomalies in real-time, allowing for swift action to mitigate risks.

By subjecting the smart contracts to multiple layers of scrutiny and testing, ONTON Finance ensures that the platform is secure, reliable, and trustworthy for users.

​
Secure Wallet Integration

ONTON Finance will integrate with leading secure wallet providers to ensure that users’ funds are protected at all times. These wallet integrations will include support for hardware wallets, such as Ledger and Trezor, as well as secure software wallets with advanced features like multi-signature authentication and biometric recognition.

Key aspects of the secure wallet integration include:

  • Private key management: Users will retain full control over their private keys, ensuring that they have exclusive access to their funds. ONTON Finance will never have access to users’ private keys, minimizing the risk of unauthorized access or theft.

  • Multi-signature authentication: For added security, ONTON Finance will support multi-signature authentication for high-value transactions, requiring multiple signatories to approve a transaction before it can be executed.

  • Biometric recognition: ONTON Finance’s mobile wallet will support biometric recognition, such as fingerprint or facial recognition, providing an additional layer of security for users accessing their funds on the go.

  • Secure backup and recovery: Users will be provided with secure backup and recovery options for their wallets, ensuring that they can access their funds even if their device is lost or stolen.

By integrating with secure wallet providers and implementing advanced security features, ONTON Finance ensures that users’ funds are protected at all times, fostering trust in the platform.

​
Conclusion

As the platform grows and evolves, the ONTON token will continue to play a central role in aligning the interests of all stakeholders, driving adoption, and supporting the long-term success of the ONTON Finance ecosystem.

ONTON Fee StructureCommunity Development