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What is the GNO token used for?

Why Gnosis needs the GNO token. Gnosis is a protocol for creating open finance applications. Mainly prediction markets and decentralized exchange platforms.

What is Gnosis?


Gnosis is a protocol for creating open finance applications. Mainly prediction markets and decentralized exchange platforms.

Gnosis have created Gnosis Safe – a simple dApp for using multisig.

What is GNO used for?


Generate OWL tokens.

How does the GNO token work?


Gnosis Protocol enables ring trades; shared liquidity across all orders, rather than a single token pair.

Ring trades are suited for prediction market tokens and tokenized assets.

Gnosis uses two ERC-20 tokens.

GNO

OWL

  • The amount of OWL tokens that are then created depends on the length of the lock period and the total amount of OWL tokens in the market.
  • The total amount of OWL to be in circulation is targeted to be 20 times the average monthly usage of OWL for the preceding 3 months.
  • The smart contract applies the selected lock duration to a formula that is designed to regulate the total market supply of OWL tokens.

After locking the GNO tokens, 30% of OWL are generated instantly. The remaining 70% are gradually released during the lock period.

  • Each OWL token is redeemable for $1 USD worth of fees on the Gnosis platform.
  • Listing a token at the Gnosis smart contract level (to be accessed by all platforms) costs 10 OWL.

Protocol fees

  • The protocol takes only a 0.1% fee on trading volume.
  • 50% of the fee is paid to the selected order settlement provider, while the remaining 50% of the fee is burnt.

Why OWL?


  • It is utility that arises from locked GNO tokens.
  • When OWL is used, GNO will generate more OWL per locked token.
  • There will likely be an inflationary mechanism built into it where more OWL tokens are created if less than 90% of the fees are paid with OWL.

What is OWL used for?


  • Pay for fees on Gnosis platforms. 0.5% on each trade.
  • Pay fees to list tokens on the Gnosis protocol

Docs


Token issuance


Current Supply

  1. The total supply of tokens is 10 million.
  2. The ICO took place on 23 April 2017 with the total amount raised being $12.5M USD.
  3. The ICO token price was $29.85 USD.

GNO Price


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