ZERA (ZRA) Tokenomics: Background Paper
ZERA (ZRA) Tokenomics
Introduction
ZERA is the native coin of the ZERA Network. It is the foundation of the network's usage, serving as the ultimate arbiter of governance, protocol security, and fees. Unlike inflationary or centrally controlled assets, ZERA's tokenomics are designed around autonomous governance, and network activity.
Coin Supply
Maximum Supply: 1,000,000,000 ZERA
Fee Model
ZERA underpins the fee system. Its design ensures validator incentives, treasury allocations, and coin life cycle.
If ZERA (ZRA) is used as the fee instrument:
25% Burned — permanently reducing circulating supply.
25% Treasury — allocated to governance-managed treasury for grants, protocol support, and ecosystem development.
50% Validators — distributed to validators, securing the network.
If a non-ZERA coin (ACE enabled) is used as the fee instrument:
50% Treasury — allocated to treasury.
50% Validators — distributed to validators, securing the network.
This dual-path fee system makes ZERA the most efficient and governance-aligned fee coin that acts as the ultimate arbitrator, while still allowing other ACE enabled coins to integrate into the network's native usage.
ACE Integration
ZERA is always ACE enabled by default. This means:
It is the native staking coin, embedded into validator security. ZERA must have a minimum of 50% of the total network stake.
It is the universal fee coin, usable for all transactions.
While other coins can become ACE enabled through governance implemented measures, ZERA's ACE status is permanent, ensuring its core role in both network usage.
Governance and Treasury
ZERA's Tokenomics are inseparable from governance:
The treasury is supported continuously by network fees.
Governance decides allocations for grants, protocol upgrades, and ecosystem initiatives.
Smart contracts enforce decisions autonomously, eliminating reliance on intermediaries.
By binding treasury flows directly to governance, ZERA allows protocol development and community initiatives to be continuously funded and community driven.
Supply Management
ZERA does not have an implemented supply management system, though one can be implemented through regular governance processes by the community.
An example of how this process could work below:
Proposal — Community introduced supply management through governance.
Voting — Holders approved the proposal on-chain.
Implementation — The contract was deployed with approved functionality while governance maintains total control.
Upgrade — Governance can update the contract over time to fit the evolving needs of its users.
This cycle demonstrates ZERA's adaptability: supply is not static, but evolves through governance consensus.
Conclusion
As the native coin of the ZERA Network, ZERA is more than a medium of exchange. Its tokenomics are embedded into the governance engine, allowing supply, usage, fees, and treasury functions to be transparent, decentralized, and community controlled.
Key Features
Capped supply.
Burn mechanics tied to usage and other governance approved mechanisms.
Fees that balance burns, treasury support, and validator rewards.
Permanent ACE status, securing its role in fees and staking.
ZERA is the structural foundation of the network: a base coin designed for durability, legitimacy, and adaptability through decentralized governance.
