# Burning & Minting Mechanism

Besides a design of various tokens utilities and NFTs fusion sets (for both Mongens and lands), the team has designed a Smart Token Burning Mechanism to maintain the token supply and burning amount. They play a key role as anti-inflation mechanisms that help guarantee sustainable growth in the long run. The vast and rich ecosystem in Monsterra will increase token utilities to boost spending and earning.

Since the very first days of building, we have always insisted on **making the 2 forces (minting and burning amount) perfectly balanced to m**inimize inflation, increase user's profits, and sustain long-term growth

## 1. For $MSTR Token <a href="#id-8758" id="id-8758"></a>

* The burning mechanism will be deployed on a monthly basis
* The total game revenue will be divided into 3 main streams and allocated to: **Development Fund**, **Shared revenue incentive to the community in DAO Treasury**, and **Token Burning**. **The burnt tokens** will be announced **on the 16th-18th of every month** along with the transaction hash.

## 2. For $MAG Token <a href="#id-33f0" id="id-33f0"></a>

* At the end of each month: If the amount of **$MAG being staked on the DAO is less than that figure in the Staking contract** ==> The total amount of surplus tokens will be burned
* At the end of each week or in this case: If the amount of **$MAG being staked on the DAO is higher than that figure in the Staking contract**==> $MAG will be minted to maintain user’s token withdrawal process.

The change is a must for the sustainable growth of the in-game ecosystem. We hope to have your kind understanding, support & love for the efforts of our official mechanism. Keep following us for more updates, fellows!

*\*Note: This Burning & Minting mechanism will always be observed and adjusted according to the monitoring of our team towards users’ activities. The following updates (if any) will be notified in advance to the community.*


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