1. Introduction
The Ecocycle ($ECO) token is the native utility and governance token of the Recycle Guru ecosystem. Its primary purpose is to create a robust and self-sustaining circular economy for electronic waste. This document outlines the improved tokenomics for the $ECO token, designed to incentivize participation, prevent abuse, and ensure the long-term value and sustainability of the Recycle Guru platform. The model is built upon best practices in tokenomics design, focusing on clear utility, aligned incentives, and transparent governance [1, 2].
2. Core Principles
The Ecocycle tokenomics are guided by the following core principles:
Sustainability: The economic model is designed to be self-sustaining, ensuring the long-term viability of the Recycle Guru ecosystem without relying on continuous external funding.
Utility: The $ECO token has clear and tangible use cases within the platform, driving organic demand and creating intrinsic value.
Incentivization: The model rewards all stakeholders—users, recycling partners, and platform contributors—for actions that create value and contribute to the growth of the circular economy.
Governance: Token holders are empowered to participate in the governance of the platform, ensuring that its development remains aligned with the interests of the community.
Transparency: The token distribution, supply, and economic mechanisms are transparent and publicly verifiable on the Amadeus blockchain.
3. Token Utility
The $ECO token is deeply integrated into the Recycle Guru platform, with multiple layers of utility designed to create a vibrant and circular economy.
Utility Category | Specific Use Cases |
|---|---|
Transactional Medium | - Pay for premium features within the Recycle Guru app (e.g., detailed device diagnostics, certified data wipe services). |
Incentive & Reward | - Recycle-to-Earn: Users earn $ECO tokens for responsibly recycling their electronics through verified partner channels. |
Governance | - Voting Power: Token holders can vote on key platform proposals, such as adding new recycling partners, adjusting reward parameters, or allocating treasury funds. |
Access & Privileges | - Exclusive Access: Holding a certain amount of $ECO tokens may grant users access to exclusive partner offers, discounts on refurbished electronics, or early access to new platform features. |
4. Token Supply & Distribution
The total supply of Ecocycle tokens is capped at 1,000,000,000 $ECO to prevent inflation and ensure long-term value. The distribution is designed to foster a decentralized and engaged community from the outset.
Allocation Category | Percentage | Token Amount | Vesting Schedule |
|---|---|---|---|
Community Rewards (Recycle-to-Earn) | 40% | 400,000,000 | 10-year linear emission schedule to incentivize long-term participation. |
Ecosystem Fund | 20% | 200,000,000 | 6-month cliff, followed by a 48-month linear vesting schedule. Used for partnerships, grants, and marketing. |
Team & Advisors | 15% | 150,000,000 | 12-month cliff, followed by a 36-month linear vesting schedule. |
Staking & Governance Rewards | 15% | 150,000,000 | Distributed over time to users who stake their tokens and participate in governance. |
Initial Liquidity & Public Sale | 10% | 100,000,000 | Fully unlocked at Token Generation Event (TGE) to provide liquidity on decentralized exchanges. |
5. Incentive Mechanisms & Value Accrual
The long-term value of the $ECO token is driven by a carefully designed set of incentive and value accrual mechanisms.
Recycle-to-Earn (R2E)
The core incentive mechanism is the Recycle-to-Earn model. Users who recycle their devices through verified partners receive $ECO tokens. The number of tokens awarded is calculated based on the device's type, condition, and current market value for recycled materials. This creates a direct financial incentive for users to participate in the circular economy.
Staking
Users can stake their $ECO tokens to receive a share of the platform's revenue. A percentage of the fees generated from premium features and partner services will be distributed to stakers, creating a passive income stream and encouraging long-term holding of the token.
Token Burn Mechanism
To create deflationary pressure and increase the scarcity of the $ECO token over time, a portion of the platform's revenue will be used to buy back and burn tokens from the open market. This mechanism is designed to counteract the inflation from reward emissions and contribute to the long-term value appreciation of the token.
6. Governance
The Recycle Guru platform will transition towards a fully decentralized autonomous organization (DAO) governed by $ECO token holders. Token holders will be able to propose and vote on key decisions, including:
Onboarding new recycling partners.
Adjusting the parameters of the Recycle-to-Earn model.
Allocating funds from the Ecosystem Treasury.
Implementing new features and platform upgrades.
This ensures that the platform evolves in a direction that benefits its users and aligns with its core mission.
7. Abuse Prevention
To maintain the integrity of the reward system, the Recycle Guru agent will integrate with decentralized identity solutions such as BrightID or DecideID. Each verified identity will have a limit on the number of devices they can recycle for rewards within a given timeframe. This prevents malicious actors from exploiting the system and ensures a fair distribution of rewards to genuine participants.
8. Conclusion
The improved tokenomics of the Ecocycle ($ECO) token create a powerful and sustainable economic engine for the Recycle Guru platform. By aligning incentives, providing clear utility, and empowering the community through governance, this model is designed to drive the adoption of responsible e-waste recycling and foster a thriving circular economy on the Amadeus blockchain.
References
[1] Nuni, T. W. (2024, December 12). Tokenomics 101: Building Sustainable Economic Models. Forbes. https://www.forbes.com/councils/forbesbusinessdevelopmentcouncil/2024/12/12/tokenomics-101-building-sustainable-economic-models/
[2] Malanii, O. (2025, June 30). Tokenomics Design: Essential Principles For Crypto Investors And Entrepreneurs. Hacken. https://hacken.io/discover/tokenomics-design-principles/
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