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    • How do Liquidations Work in Overcollateralized Lending Protocols?
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  • 🌐The AO and Arweave Ecosystem
    • AO Fair Launch
    • Understanding AO: Key Projects and Pre-Bridged Assets Overview
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  • What are Airdrops?
  • AO's Fair Launch
  • AO’s Tokenomics
  • Why does it Matter?

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  1. The AO and Arweave Ecosystem

AO Fair Launch

PreviousProject Highlight: BotegaNextUnderstanding AO: Key Projects and Pre-Bridged Assets Overview

Last updated 12 days ago

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With its fair launch model, AO takes a different approach to token distribution, overcoming common issues faced by traditional airdrops.

Let’s look into it!

What are Airdrops?

Airdrops are a method of distributing tokens to users, often for free as part of a marketing or community-building strategy.

However, they can face criticism due to problems such as centralization, technical difficulties, unfair eligibility, etc.

AO's Fair Launch

AO aims to address these problems with its fair launch model. AO distributes 100% of its 21M tokens to the community:

36% to Arweave (AR) holders, rewarding them for their role in the ecosystem.

64% to users bridging assets like staked ETH into AO, bringing liquidity and utility from other networks.

AO’s Tokenomics

AO uses a bitcoin inspired halving cycle to promote long-term value and stability. Tokens are realised every five minutes, with the value decreasing gradually over time.

With this scarcity-driven approach participants are inspired to hold onto their tokens, minimizing speculative selling and preventing price crashes.

AO uses gradual distribution and long-term incentives to avoid the instability found in badly designed token systems.

Why does it Matter?

AO’s fair launch flips the script on traditional airdrops. By giving 100% of tokens to the community, it avoids the common problems, like centralization and unfair distribution.

This model sets a new standard for fairness and transparency in the crypto space.

🌐