The Anti-Dilution Shield: How YGG's Model Protects Tokenholders from Value Leakage 🛡️

One of the silent killers of token value is dilution—through excessive emissions, founder/VC unlocks, or treasury mismanagement. Yield Guild Games has architected its economic model to act as a powerful anti-dilution shield for $YGG holders. The design prioritizes growing the value per token rather than just the size of the treasury, creating a fundamentally aligned system.

The mechanisms are multi-layered. First, a significant portion of protocol revenue is used to buy back and burn or stake $YGG, directly increasing scarcity. Second, the treasury grows by acquiring external assets (game tokens, NFTs), not by printing more YGG. Third, the vesting schedules for team and investors are designed to align long-term. I've modeled the token supply under various revenue scenarios; the deflationary pressure from buybacks can be substantial if execution continues.

This makes $YGG more akin to a share in a company with a share buyback program than a typical inflationary "farm token." The focus is on enriching the existing holder base, not endlessly recruiting new ones with high yields. [ONCHAIN_METRIC: Net Annual Token Supply Change (Inflation from Emissions vs. Deflation from Burns/Staking) = X% (Source: Dune)].

Do you actively evaluate a project's anti-dilution mechanisms before investing, or is your focus primarily on growth and narrative?

@Yield Guild Games #YGGPlay and $YGG