What is Vite?

The Vite (vite.org) network uses a Directed Acyclic Graph (DAG) ledger structure, enabling fast and feeless transactions. Vite envisions a multi-chain future and seeks to bridge multiple blockchains via its decentralized cross-chain transfer protocol ViteBridge. In addition, another key feature on Vite is ViteX (vitex.net), a high performance order-book decentralized exchange. The combination of these features enables the unconstrained transfer of information and value between heterogeneous ecosystems, and helps push the crypto industry towards more openness and interoperability.

$Vite Token Supply

According to Coinmarketcap, the total supply of $VITE is 1,050,980,852 $VITE, out of which ~50% is in circulation or 518,409,742 $VITE. According to popular Vite blockchain explorer Vitescan, there are currently 45 Snapshot Block Producers (SBPs) with a Total Value Locked (TVL) of 223,558,953 $VITE. In addition, according to a recent tweet by Vite Labs, there are 1,111 full nodes with a TVL of 11,591,896 $VITE. 

Vite has two node types powering the network: the Full node and the Supernode.

Vite Full nodes are responsible for maintaining a complete copy of the ledger, sending or receiving transactions, and verifying all transactions in the network. Full Nodes also participate in the SBP election, voting and staking. The minimum stake for a Vite Full node is 10,000 VITE, while both voting and staking rewards are distributed on a daily basis. There are already 1,111 Vite Full nodes running, which makes Vite one of the most decentralized and secure public blockchains out there.

Vite Supernodes, or SBPs, are special Full nodes which are responsible for producing snapshot blocks and reaching consensus in the Vite network. The SBP nodes are incentivized by block rewards, which are usually higher than the Full Node rewards. An SBP must stake 1,000,000 VITE tokens and there are 45 active SBPs at the moment, demonstrating the high level of decentralization of the Vite network.

Based on recent information, the total daily rewards received by 1,111 full nodes and 45 SBPs are ~11,000 $VITE and ~73,000 $VITE respectively or a combined ~84,000 $VITE for securing the blockchain. 

$VITE Burns

There are a few burn mechanisms built into the Vite ecosystem to counteract inflation and reduce total supply of tokens. The burn rate increases with activity on the blockchain and at enough scale, $VITE could potentially become deflationary, where the amount of token burnt is greater than inflation. The following are ways that $VITE can be burned.

• Minting a new token. When a new token is issued on the network, it will cost the token issuer 1,000 $VITE, which is burnt.
• Listing a token on ViteX DEX. When a token is listed on ViteX DEX, it will cost the operator 10,000 $VITE, which is burnt.
• Trading fees collected on ViteX DEX. There are two types of fee charges - (1) ViteX charges a Base Trading Fee of 0.2% paid by all traders who use the ViteX platform, and (2) ViteX Operators running their own Zones may charge an additional fee ("Operator Fee") up to 0.2%. All trading fees collected in BTC, ETH and USDT, with the exception of Operator Fees charged by ViteX Operators, are distributed to $VX holders. Any base trading fee collected in VITE will be burned.

Till date, 34,951,178 $VITE has been burned through the various burn mechanisms. You may refer to the burn dashboard on vitex.net.

So what?

Vite.org is the only zero-gas Layer-1 that has an integrated order-book DEX. Much thought has been put into the design of the tokenomics, providing the incentives for nodes to enable secured, instant and feeless transactions, while at the same time incorporating burns to keep the total supply of $VITE stable. Clearly, greater adoption and more active users on the ViteX DEX will contribute to the healthy tokenomics of $VITE. For a deeper understanding of $VITE tokenomics, we recommend the following further reading "The Economic Model of Vite" written by the CEO of Vite Labs, Charles Liu. 

About Making Cents

Making Cents is the leading social, marketing and education platform built on the VITE network. Get weekly news highlights in the cryptocurrency space by following us on our socials!

Website: https://www.makingcents.xyz
Twitter: https://twitter.com/BeMakingCents
Telegram: https://t.me/bemakingcents
Discord: https://discord.gg/XkNPut8eNT
Publish0x: https://www.publish0x.com/@MakingCents
Wortheum: https://wortheum.news/@makingcents/