> For the complete documentation index, see [llms.txt](https://blend3.gitbook.io/blend-lending-protocol-for-btcfi-edufi/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://blend3.gitbook.io/blend-lending-protocol-for-btcfi-edufi/tokenomics/blend-tokenomics.md).

# Blend Tokenomics

### Introducing $Blend <a href="#introducing-avaf" id="introducing-avaf"></a>

$Blend is the governance token of the Blend. It adopts a ES token model. The main purpose of the  $Blend tokens is to incentivize the usage of the protocol and liquidity providers.

**Supply of $Blend**

The increase in circulating supply will vary depending on the number of tokens that get vested, and the amount of tokens used for marketing / partnerships. The forecasted max supply is 2.1 billion $Blend tokens. Minting beyond the max supply of 2.1 billion is controlled by a 28 day timelock. This option will only be used if more products are launched and liquidity mining is required, a governance vote will be conducted before any changes. The composition of $Blend is listed as follow:

| Seed Round             | 5%   |
| ---------------------- | ---- |
| Private Round          | 5%   |
| Public Round           | 4%   |
| Initial Liquidity      | 5%   |
| Advisor                | 4.5% |
| Team                   | 15%  |
| Ecosystem and Treasury | 15%  |
| Community Incentive    | 40%  |
| Airdrop                | TBD  |
| Total                  | 100% |

**Staking** $Blend

Staked $Blend receives three types of rewards:

1. Escrowed $Blend
2. Multiplier Points
3. Protocol Fees