What are some very optimal tokenomics for a substrate based blockchain without any parachains that can be easily implemented using substrate's default framework? The documentation on W3 research says to maintain (for chains without any parachains) at least 75% of the tokens staked.

1-If this peg is not maintained..what will happen?? other than having more tokens in circulation in the market.. does it affect the stability of the chain??

2-What if we keep all the parameters the same as what is described in Web3's substrate guide but only change the staking % to 50% instead of 75% that is advised? (without parachains)

3-Substrate docs say if staking drops below 50% the security of the network will be compromised? What does that mean? because in the Polkadot tokenomics its mentioned that if staking drops below 50% the validators rewards will increase and also % of inflation will go to the treasury. Will the treasury tokens balance out the staking % decrease?

  • Please edit the question to limit it to a specific problem with enough detail to identify an adequate answer.
    – Community Bot
    Jun 23, 2022 at 17:21

1 Answer 1


I think you may need to rewrite this question to make it more specific and focused on one point.

It seems you are mixing to two things here:

  • The token economics of a Substrate based blockchain, which in principle can be any token economics, completely up to the blockchain developer to define. It could be, for example, the token economics of Bitcoin, with difficulty-adjusted PoW and halving in emission every 4 years approx.
  • The specific token economics that are defined for Polkadot (and Kusama) and discussed extensively here. These token economics were specifically designed for a blockchain like Polkadot: a NPoS chain acting as the relay chain in an ecosystem of Parachains.
  • Okay let me try to be more specific: I want to design a blockchain (without any parachains) with 10m total tokens. How do i define % of ideal staking, inflation etc. If i look at substrate's guide, they recommend 75% staking (which is practically impossible for a new chain to achieve) and they also stated that if staking fall below 50% it can risk the security of chain.. but they did not mention what risk it will pose to the security of chain?
    – Madness
    Jun 23, 2022 at 12:05
  • 2
    this depends very much on the use case of your chain and particularly, the real value of the staking token (ex. 75% of 0 is still 0). When they mention that "if staking falls below 50% it can risk the security of chain", it implies than an attacker will find easier to attack the network (stopping the block production, for example) since the amount of tokens to perform the attack is low enough. But again, this depends on many other factors (token distribution) and this is basically a good rule of thumb for NPoS chains like Polkadot.
    – Iker
    Jun 23, 2022 at 18:42

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