Initial Supply and Emissions Schedule

Total Initial Supply: 50,000,000 LITH

Initial LP (2% - 1,000,000 LITH)

Initial liquidity provision to seed core trading pairs on Plasma at launch. This minimal allocation ensures basic market functionality while the protocol transitions to its POL-driven model.

Liquidity Incentives (5% - 2,500,000 LITH)

Dedicated allocation for ongoing liquidity incentives, including the Bribe-Match Program where the protocol matches external bribes to amplify incentives for strategic liquidity pools.

MM + CEX (5% - 2,500,000 LITH)

Market maker partnerships and centralized exchange listings to ensure proper price discovery, reduce volatility, and provide additional liquidity venues for LITH trading.

Ecosystem Growth Fund (10% - 5,000,000 LITH)

Ecosystem growth fund is used primarly for marketing partners, liquidity incentives for larger liquid funds and ve groups.

Airdrop (5% - 2,500,000 LITH)

Locked allocation for community airdrops to reward early supporters, Plasma ecosystem participants, and strategic community building initiatives.

Public Goods Fund (40% - 20,000,000 LITH)

The largest allocation, permanently locked to support long-term ecosystem development, grants for projects building on Plasma, research initiatives, and community programs that benefit the broader ecosystem.

Foundation (19% - 9,500,000 LITH)

Foundation allocation for operational funding and strategic reserves. A significant portion will be locked in veLITH to align foundation interests with long-term protocol success and generate sustainable revenue through governance participation.

Team (14% - 7,000,000 LITH)

Team allocation with 1-year cliff and 2-year vesting schedule to ensure long-term commitment and alignment with protocol success. Covers core team compensation and retention incentives.

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All tranches of locked tokens will be transparently verifiable post-launch.

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Emissions

Phased Launch Strategy

Unlike traditional DEX launches, Lithos employs a unique phased approach:

Phase 1: Protocol-Owned Liquidity Period

• No token emissions initially

• POL provides base liquidity for core trading pairs

• Foundation veLITH positions generate revenue for Ignition Program

• Establishes trading volume and fee generation

Phase 2: Community Governance Activation

• LITH emissions begin based on community governance decision

• veLITH holders direct emission rewards to liquidity pools

• Full ve(3,3) mechanics activated

ve(3,3) Dynamics

Once emissions begin, all stakeholders are aligned through ve(3,3) dynamics:

• veLITH holders — vote for highest volume pools to maximize fee generation or pools with partner bribes, creating positive feedback loops for successful tokens

• Liquidity Providers (LPs) — receive emissions driven by "Real Yield" metrics and community-directed incentives

• Traders — benefit from deep liquidity and low slippage across stable and volatile pools

• Ecosystem Partners — access capital-efficient trading and can incentivize liquidity through the Bribe-Match Program

Emissions Specifications

Lithos mirrors Thena’s epoch-based emission model with parameters locked in at launch:

• Initial weekly emissions: 2,600,000 LITH minted for Epoch 1.

• Decay schedule: Emissions decrease by 1% each epoch, compounding week over week.

• Tail emissions: Once the decay schedule reaches 0.2% of the circulating supply, emissions flatten to that floor to preserve long-term incentives.

• Distribution per epoch:

  • 67.5% to liquidity providers staking eligible LP tokens.

  • 30% distributed as the veLITH anti-dilution rebase.

  • 2.5% routed to the developer wallet for ongoing protocol operations.

Governance retains authority to adjust allocations through future proposals, but any change must respect the anti-dilution guarantees already in place for lockers.

Sustainable Tokenomics

Lithos prioritizes long-term sustainability over short-term incentives:

• Large permanent locks: Significant supply permanently committed to long-term programs

• Revenue-driven value: Ignition Program creates buying pressure using real protocol revenue

• Community control: Governance determines emission schedules and parameters

• Aligned incentives: All participants benefit from protocol success and trading volume growth