🔥Burning Mechanism

At Colonia Games, we're dedicated to enhancing the long-term sustainability and value of the CGT token. To achieve this objective, we've instituted a robust burning mechanism aimed at reducing the circulating supply of CGT tokens over time. Here's how it operates:

1. Purpose:

   • The burning mechanism's primary aim is to create scarcity and bolster the value of CGT tokens.

   • By diminishing the total supply of tokens in circulation, our goal is to incentivize token holders and establish a deflationary model that rewards long-term investment.

2. Allocation:

   • All income generated within the Colonia ecosystem, including revenue from tournament entrance fees, NFT minting fees, and transaction fees from the NFT marketplace, will be utilized for CGT token buybacks.

   • The allocated funds will be used to repurchase CGT tokens from the open market and subsequently burn them, permanently removing them from circulation.

3. Execution:

   • Regular and transparent execution of the burning process ensures accountability and fosters trust within the community.

   • Periodic updates will be provided to inform token holders of the quantity of CGT tokens repurchased and subsequently burned, as well as the resultant reduction in circulating supply.

4. Impact:

   • As the circulating supply of CGT tokens decreases over time due to burning, the remaining tokens become scarcer, potentially driving increased value.

   • This deflationary mechanism aligns with our objective of establishing a sustainable and appreciating asset for our community members.

5. Community Involvement:

   • We value feedback and suggestions from our community regarding the burning mechanism.

   • Your input aids us in refining and optimizing our tokenomics to better serve the interests of all token holders.