@LFG BRC-20 and Mystic Rune supply and details
In May 2023, the @LFG team introduced their token, @LFG, using the BRC-20 standard on the Bitcoin network. This token was launched with a total supply of 420,420,069, available through a free minting process.
During the latest Bitcoin halving event, a new token issuance protocol, "runes," was introduced. The @LFG team created a rune called MYSTIC•RUNE•DEX with the same supply limit as the original @LFG tokens. To obtain these Mystic runes, holders of @LFG tokens need to "burn" their existing tokens, allowing them to exchange them for the new rune tokens on a one-to-one basis.
The Migration from @LFG to Mystic Runes
This migration process is a first for the BRC-20 standard, enabling holders to convert their tokens into runes seamlessly. Before initiating this migration, the @LFG team strategically acquired 15.2% of all @LFG tokens from the open market to support three incentive programs:
- Free Minting: This initiative allowed the community to mint up to 1% of the Mystic runes for free, facilitated by the team burning an equivalent amount of the @LFG tokens.
- Mining Points: Holders who burn their @LFG tokens are issued a mining inscription, which mines new Mystic runes, ensuring a better than 1:1 conversion ratio. These inscriptions accumulate mining points with each Bitcoin block, influencing the final distribution of tokens at the end of the mining period.
- Airdrops and Boosts: The team introduced boosts that increase mining points per block by 100% per boost, with a potential increase of up to 1000% per block if ten boosts are applied. Each boost directly grants 1,000 Mystic runes. 40,000 boosts were distributed to active community members and @LFG holders as part of an airdrop, supported by 40 million tokens from the team’s reserves.
Conclusion
The launch of @LFG and its subsequent evolution into the Mystic rune ecosystem represents a strategic approach to upgrading a token protocol, prioritizing direct community involvement and clear incentives. By purchasing a substantial portion of the @LFG tokens, the team has facilitated a structured and efficient transition, without expanding the original token supply.
For @LFG holders, engaging early in the burning process and acquiring boosts can significantly enhance the benefits received during the mining period.