Sun Token (SUN)

Tokenomics & Utility

Distribution and governance

The 2021 conversion established a stated total of 19,900,730,000 SUN tokens. The project’s allocation plan assigns 9.35% to early genesis mining, 15.59% to official mining, and smaller shares to JustLend and Century mining. Its later phase includes 4.2% for another genesis-mining program, 19.05% for governance mining, 1% for an airdrop to eligible veCRV holders, and 47.16% for SUN DAO governance. The governance allocation was assigned a four-year linear unlock. (sf.sun.io)

SUN holders can lock tokens to receive veSUN, a measure of voting weight that cannot be freely transferred. Both the amount locked and the length of the lock affect that weight. The documented lock period runs from about six months to four years, and veSUN weight gradually declines as the unlock date approaches. A longer lock therefore gives a holder more voting influence for the same amount of SUN. (docs.sun.io)

veSUN holders can vote on DAO proposals and help decide how mining rewards are directed among eligible liquidity pools. The platform also uses veSUN to increase rewards for qualifying liquidity providers and to distribute a share of stablecoin-swap fees in TUSD. These features connect the token’s governance role to activity across the exchange. (docs.sun.io)

SUN.io also buys back and burns SUN using revenue assigned from several products, including SunSwap, SunPump, and SunX. Burning sends tokens to an address from which they cannot be moved, removing them from circulation. The amount directed to this process depends on each product’s stated rules and activity; a burn changes token supply rather than the number of tokens a holder has locked for governance. (docs.sun.io)