XRD saw its genesis in July 2021 as part of the genesis of the Radix Public Network.
There are two primary uses of XRD:
In the Radix DPoS system established as part of the Olympia mainnet version in July 2021, and continuing through the Babylon mainnet version that went live in September 2023, XRD token holders vote on which validator nodes they would like to participate in consensus by delegating tokens to them, this is known as “staking”. These “stakers” are incentivized to do so by earning network emission rewards. The top 100 validator nodes with the most delegated stake are chosen by the Radix Protocol as its validator set.
This limit of 100 validators is expected to be removed, allowing for an unlimited number of validators, as part of the Radix Xi’an release.
XRD is also used to pay transaction fees on the Radix Public Network. Transaction fees are primarily intended as a means of preventing spam transactions across the network. 50% of the base network fee are burnt, i.e. the tokens used to pay the fee are destroyed by the Radix Protocol. See How do Transaction Fees Work on Radix for more.
In addition to the primary uses, as the base currency of the Radix Public Network, XRD could also be used by any dApp within the Radix DeFi ecosystem. For example, as collateral in a lending protocol, or as an intermediary facilitating exchange between other tokens.
Supply & Allocation
Like Bitcoin, with its maximum supply of 21m BTC, XRD has a maximum supply of 24Bn XRD tokens:
- 12Bn was allocated at the genesis of the Radix Public Network. 9.6Bn of these tokens are fully unlocked and circulating; and 2.4Bn are indefinitely locked in the stable coin reserve.
- 12Bn XRD is being minted by the Radix Protocol as network emission over an approximately 40 year period (300m XRD per year) to serve as an incentive to stakers and validators in securing the network. Network emissions started with the genesis of the Radix Public Network in July 2021.
For a full breakdown of the allocation of XRD tokens, please see: How was the XRD token allocated?
eXRD is a wrapped token that represents XRD on the Ethereum network. For more information on eXRD, please visit: What is the eXRD token?
- How can I purchase eXRD and XRD tokens?
- What is Instabridge?
- What are the Radix Public Network and Radix Ledger?
- How do transaction fees work on Radix? Are they burned?
- Radix Blog - Making XRD a Cross-Chain Token With eXRD and Instabridge