Overview:
Developed by Offchain Labs and managed by the Xai Foundation, the Xai Blockchain is specially designed to meet the demands of web3 gaming on a large scale. It is tailored for the gaming community, offering an intuitive wallet and account experience for traditional gamers, higher gas and contract capacities for developers and a fully decentralised environment that promotes trust and transparency among all users. By utilising Ethereum's strong security protocols, the Xai Blockchain ensures its protection against hacks and vulnerabilities, reinforcing its reliability.
Xai Foundation:
The XAI Foundation's main goal is to support the expansion of developers and games within the XAI blockchain ecosystem. Its essential activities involve drawing third-party developers and games to the platform, implementing strategic marketing for games on Xai and providing funding options for web3 game developers. Furthermore, the Xai Foundation plays a crucial role as the guardian of the blockchain and its token, ensuring the platform's integrity.
$XAI Token & Tokenomics
On the Xai blockchain, the Xai token will fulfil a dual role. It will first act as the official gas token, enabling network transactions. Additionally, validator nodes will receive Xai tokens as rewards for validating transactions in the form of escrowed XAI (esXAI).
The conversion process from esXAI to XAI involves an unlock period chosen by the user, with the conversion rate improving as the duration extends:
- A minimum duration of 15 days yields a conversion rate of 1:0.25 (25%).
- A medium duration of 90 days offers a rate of 1:0.625 (62.5%).
- The maximum duration of 180 days provides a 1:1 conversion rate (100%).
Should the chosen duration be less than the maximum, resulting in a conversion rate lower than 1:1, the corresponding penalty amount of esXAI will be burned. Users have the flexibility to cancel the redemption process at any point, which will halt the procedure completely. Cancelling before completion will result in users reclaiming their full esXAI without receiving any XAI. Additionally, the Xai Foundation may allocate up to 50% of the esXAI that would have been burned to support the network.
Beyond these functions, the Xai token will also serve as the main currency within the gaming ecosystem, accepted for purchasing games and in-game items.
Below is a comprehensive overview of the initial XAI allocation.
Team: 20% is allocated to the core team and early contributors, with unlocking starting 6 months post-TGE (Token Generation Event) and spreading over 36 months, totaling 42 months.
Investors: 22.41% is allocated to early-round investors, with unlocking also commencing 6 months post-TGE and continuing over 24 months, amounting to 30 months in total.
Ecosystem: For market makers, 2% of the total supply is available immediately at TGE. Additionally, 5.5% is reserved for ecosystem development, starting to unlock 6 months after TGE and spreading over 36 months, totaling 42 months.
Prospective Arbitrium Gaming Grant;
XAI has recently made a proposal for Arbitrum to earmark 100-200m ARB ($200-400 million at current $ARB market prices) to grow the gaming niche on arbitrum. XAI would be large benefactors of this proposal if it is to be successful.
Disclaimer: This research report is exactly that — a research report. It is not intended to serve as financial advice, nor should you blindly assume that any of the information is accurate without confirming through your own research. Bitcoin, cryptocurrencies, and other digital assets are incredibly risky and nothing in this report should be considered an endorsement to buy or sell any asset. Never invest more than you are willing to lose and understand the risk that you are taking. Do your own research. All information in this report is for educational purposes only and should not be the basis for any investment decisions that you make.