> For the complete documentation index, see [llms.txt](https://moneytree-1.gitbook.io/money-tree/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://moneytree-1.gitbook.io/money-tree/overview/tokenomics.md).

# Tokenomics

The MoneyTree Token (MTT) plays a pivotal role in the MoneyTree ecosystem, driving the growth of individual money trees and the overall network. Here's an outline of the tokenomics:

**Total Supply:** The total supply of MTT tokens is capped at 1 billion tokens.

**Distribution:**

* 40% - Presale: This percentage is allocated for early investors and participants in the presale to provide initial support to the project.
* 24% - Liquidity: The share allocated to ensure token liquidity on exchange platforms and facilitate convenient trading.
* 5% - Team: This percentage of tokens is intended for the Money Tree project team, responsible for development and platform management.
* 8% - Staking Pool: The portion of tokens dedicated to staking and rewarding token holders for their participation and support of the network.
* 7% - Marketing: The percentage of tokens allocated for promoting the Money Tree project, attracting new users and investors.
* 6% - Ecosystem Growth: The share of tokens used for the development and expansion of the Money Tree ecosystem, including partnerships, integrations, and the development of new features.
* 10% - CEX Listing: This percentage of tokens is allocated for listing the Money Tree token on relevant cryptocurrency exchanges, ensuring accessibility and convenient trading.

**Inflation and Rewards:**

* New MTT tokens are generated as 'fruits' from the money trees. These tokens are produced in proportion to the amount of MTT staked in a tree.
* To incentivize long-term holding and network participation, the reward rate for token generation will be higher for those who choose not to harvest their fruits immediately.
* A portion of the newly generated tokens is automatically reinvested back into the tree, causing it to grow and produce more fruits, creating a compounding effect.
* The rate of new token generation will be balanced to ensure the overall value of MTT does not dilute over time.

**Utility:**

* MTT is required to plant a money tree on the MoneyTree platform.
* Generated MTT tokens (fruits) can be harvested and traded for other cryptocurrencies.
* Future developments may include additional uses for MTT within the MoneyTree ecosystem to increase the utility and demand for the token.

Through this carefully designed tokenomics, we aim to create a sustainable and healthy ecosystem where everyone can watch their investments grow and thrive, just like a tree.