<aside> 💡 Sonic is the first atomic SVM chain built to enable sovereign game economies on Solana. Combining Solana’s speed, with the customizability of game-specific rollups and a multi-VM ecosystem powered by HyperGrid interpreter, Sonic will launch thousands of games onto Web3.

This doc is used to introduce Sonic economics and demonstrate how $Sonic incentivizes the whole Sonic ecosystem.

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Overview of $Sonic

1. Token Total Supply: 2,400,000,000
2. Core Economics Agents
   1. Token Holders
   2. Builders and Contributors
   3. Users and Communities

The Basic Principles of How Sonic Economic System Operates

Sonic's economic system is designed based on the idea that high-quality Web3 games and their assets can greatly increase user onboarding and conversion, thereby promoting the prosperity of the entire ecosystem. In line with this philosophy, Sonic's economic design aims to stimulate various economic agents within the ecosystem:

• Token Holders: Token holders capture value directly from the overall development of the Sonic ecosystem and from the Sonic shared sequencer network. They can also delegate tokens to validators in the ecosystem to participate in the network and earn additional rewards.
• Builders and Contributors: Builders and contributors can participate in the Sonic Partner Innovation Network (SPIN) and Sonic Accelerate to receive ecosystem support, collaborate on building high-quality games, infrastructure tools, or support the development of other parts of the ecosystem.
• Users and Communities: Users and communities can directly enjoy the highest quality game content and gain utility value and additional rewards through these experiences. Additionally, users can participate in various activities hosted by Sonic to earn points rewards, which can be exchanged for tokens and other project rewards. This will further drive demand for high-quality projects within the Sonic ecosystem.

How Do Economic Agents Participate in the Sonic Ecosystem?

Before delving into this section in detail, we need to clarify that in the Sonic ecosystem, $SOL is used to pay for transaction gas fees. Additionally, we will introduce four important concepts to aid in understanding the subsequent content: HyperGrid, Sonic Shared Sequencer Network, Sonic Validator, and Observation Nodes.

• HyperGrid: A Rollups horizontal scaling framework proposed in the Solana ecosystem.
• Shared Sequencer Network: A multi-node distributed system within the HyperGrid architecture for access management, intelligent allocation, program invocation, and serialized transaction execution.
• Sonic Validators: Sonic validators are primarily responsible for execution, further determining the valid history of Sonic and producing the latest state based on the ordered transactions. Additionally, they also collect execution fees and get rewards during this process.
• Observation Nodes: The whole system incorporates Observation Nodes tasked with verifying the accuracy of transactions. Serving as watchdogs to ensure the security of the system, these Observation Nodes play a critical role in detecting any centralized malicious activities, which could trigger a Slash mechanism. For their surveillance efforts, these nodes are rewarded with $veSonic tokens.