Token Economics and Governance

MUD Token Utility

The MUD token ($MUD) serves as the foundational unit of value and coordination within the MUD ecosystem. With a fixed supply of 850 million tokens, MUD is designed for long-term alignment between users, developers, and validators.

Core Utilities:

• Network Security & Staking: Validators stake MUD to secure the network and earn rewards.

• Gas & Execution Fees: All transaction fees on the MUD chain are paid in MUD.

• Governance Power: Token holders participate in protocol governance and resource allocation.

• Ecosystem Engagement: MUD is used for liquidity incentives, project backing, and community grants.

Allocation	Amount	Percentage
Node & Storage Mining	300,000,000	35.29%
Core Contributors (Team)	160,000,000	18.82%
Ecosystem Growth Fund	90,000,000	10.59%
Strategic & Early Investors	300,000,000	35.29%

Rights and Roles of Token Holders

Owning MUD tokens confers a range of participatory and economic rights:

• Staking Rewards: Stakeholders earn yields proportional to their commitment and contribution to network security.

• Base Governance Participation: All holders can vote on general proposals and ecosystem directions.

• Weighted Governance Influence: Staked token holders have enhanced rights to submit and vote on strategic upgrades. Proposals pass with approval from at least 33% of total staked weight.

• Deflation-Linked Appreciation: Transaction fee burns and staking-based emissions caps foster long-term scarcity and value accrual.

• Ecosystem Priority Access: Early access to product launches, governance snapshots, and whitelists for ecosystem projects.