$GNME: A Web3 Mining Game on Solana

Abstract. GNME is an innovative Web3 Telegram Mining Game built on the Solana blockchain, combining virtual cryptocurrency mining with engaging gameplay mechanics. This paper outlines the GNME system, its tokenomics, and the game mechanics that create a unique, sustainable, and potentially rewarding experience for users in the cryptocurrency space.

1. Introduction

The rise of blockchain technology and cryptocurrencies has opened new avenues for gamification in the financial sector. GNME leverages this opportunity by creating a virtual mining ecosystem on the Solana blockchain, allowing users to participate in a simulated mining experience without the need for physical hardware.

2. System Architecture

2.1 Registration and Hash Power

Users enter the GNME ecosystem by registering through a Telegram bot interface. The system generates a unique mining wallet for each user. Hash Power, the fundamental unit of mining capability, is acquired by depositing SOL into this wallet at a rate of 100 Hash Power per 0.1 SOL.

2.2 Block Generation and Mining

The GNME system maintains a consistent daily block generation rate of 1200 blocks. To achieve this, the block time dynamically adjusts between 1-2 minutes. Each block mined results in the distribution of $GNME tokens to active miners, proportional to their Hash Power share in the network.

2.3 Reward Distribution and Claiming

Accumulated $GNME tokens become available for claiming every 15 minutes. To optimize network efficiency, token distribution occurs in batches. This mechanism ensures a balance between frequent reward availability and system performance.

3. Tokenomics

3.1 Token Supply and Distribution

The GNME ecosystem has a fixed total supply of 21,000,000 $GNME tokens, distributed as follows:

• 10,000,000 $GNME locked in a Streamflow contract (View Primary Lock Contract)
• 500,000 $GNME locked in a secondary Streamflow contract (View Secondary Lock Contract)
• 10,000,000 $GNME & 20 SOL allocated to the fairly launched liquidity pool
• 500,000 $GNME reserved in the treasury wallet for mining rewards, this is replenished slowly over time from the streamflow contracts.

3.2 Emission Schedule and Halving

The daily token emission begins at the initial daily reward (defined in the config) and increases by 1000 tokens each day, up to a maximum defined by the config. A halving mechanism is implemented to ensure long-term sustainability:

• Initial halving occurs after 20 days
• Subsequent halving periods double (40 days, 80 days, etc.)

Here's the code snippet that calculates the current block reward, taking into account the emission schedule and halvings:

async function currentBlockReward() {
    const mineStart = await database.findMineStart();
    if (!mineStart) {
        console.log("Mine start not set");
        await database.createMineStart();
        return config.INITIAL_DAILY_REWARD / 1200; // Initial reward for the first day
    }

    const startDate = new Date(mineStart.startDate);
    const currentDate = new Date();
    currentDate.setHours(0, 0, 0, 0); // Set to start of the current day
    const daysSinceStart = Math.floor((currentDate - startDate) / (1000 * 60 * 60 * 24));

    let baseEmissionPerDay = Math.min(config.INITIAL_DAILY_REWARD + (daysSinceStart * 1000), config.MAX_DAILY_REWARD);
    let halvingPeriod = 20; // Initial halving period
    let halvings = 0;

    // Calculate halvings
    if (daysSinceStart >= 20) {
        halvings = 1;
        let nextHalvingDay = 20;
        while (daysSinceStart >= nextHalvingDay) {
            halvings++;
            halvingPeriod *= 2;
            nextHalvingDay += halvingPeriod;
        }
    }

    // Apply halvings
    const emissionPerDay = baseEmissionPerDay / Math.pow(2, halvings);

    // Calculate reward per block (1200 blocks per day)
    const blockReward = emissionPerDay / 1200;

    return blockReward;
}

This code ensures that the daily emission increases by 1000 tokens each day until it reaches the cap defined in the config. The halving mechanism reduces the emission by half at each halving event.

3.3 Halving Schedule and Monthly Emissions

Below is a table showing the halving dates and monthly $GNME emissions, starting from August 24, 2024, assuming an initial daily reward of 1,000 $GNME and a maximum daily reward of 21,000 $GNME:

Note: The monthly emission is calculated based on 30 days. The actual emission may vary slightly due to the number of days in each month. The first halving was after reaching 20 days of mining, each halving event reduces the daily emission by 50%, as shown in the table.

3.4 Token Utility and Ecosystem Sustainability

This tokenomics model is designed for long-term sustainability, rewarding early adopters and active participants while maintaining a healthy token economy.

3.5 Token Locking and Gradual Release

To ensure long-term sustainability and controlled token distribution, GNME implements a token locking mechanism:

• 10 Million $GNME tokens are locked in the primary Streamflow contract.
• 500,000 $GNME tokens are locked in a secondary Streamflow contract for additional security and controlled release.
• 500,000 $GNME tokens locked in Jupiter Lock Post Launch, to Protect from any contract risk. (No need for tokens to sit in a wallet where the claims occur.)
• These tokens are gradually released daily from the locking contracts to the treasury wallet.
• The release schedule is designed to provide a steady supply of tokens for mining rewards over the next 10 years.
• This mechanism helps prevent token oversupply and maintains a balanced ecosystem.

By implementing this gradual release strategy, GNME ensures a consistent and predictable supply of tokens for mining rewards, supporting the game's longevity and providing stability to the token's economy.

4. Liquidity Management

Initial liquidity consists of 10,000,000 $GNME tokens paired with 20 SOL. This liquidity is locked in Meteora pools, allowing the protocol to earn fees from swaps, contributing to the project's long-term sustainability.

Meteora Liquidity Lock: View on Meteora

5. Referral Program

To incentivize community growth, GNME implements a lifetime referral program. Users earn 15% of the SOL spent by their referrals on Hash Power purchases, creating a sustainable model for community-driven expansion.

6. Risks and Disclaimers

• This project is primarily created for entertainment purposes and should not be considered an investment opportunity.
• The $GNME token is not designed as an investment vehicle and should not be purchased with the expectation of financial returns.
• Cryptocurrency markets are highly volatile and unregulated. Participants risk losing their entire contribution.
• The game mechanics and tokenomics described in this whitepaper are experimental and may change without notice.
• Participation in GNME should be limited to funds you can afford to lose entirely.
• This project may be abandoned, hacked, or fail due to various unforeseen circumstances.
• The information provided in this whitepaper does not constitute financial advice, investment advice, trading advice, or any other sort of advice.

By participating in GNME, you acknowledge that you understand these risks and are acting on your own behalf. Do not purchase $GNME tokens if you are not experienced with cryptographic tokens, blockchain-based software systems, and cryptocurrency trading.

7. Conclusion

GNME presents a novel approach to cryptocurrency mining simulation, leveraging the Solana blockchain's capabilities to create an engaging and potentially rewarding ecosystem. By combining elements of gaming with real cryptocurrency mechanics, GNME aims to provide a unique experience in the Web3 space, fostering a community of virtual miners while maintaining a sustainable and deflationary token economy.