Economics - Land Bank
Behind Districts, there is unique economics referred to as the “Land Bank.” The Land Bank is a digital-native DeFi primitive introduced as part of the Districts LandRush. The Land Bank is set up so that when minting land in Districts, you are not only claiming a piece of the digital world, but you are contributing to the entire economic prosperity of Districts.
The Land Bank supports every piece of land claimed in Districts by collecting a percentage of land transactions. These ongoing fees enable the Land Bank to expand and adapt alongside activities within Districts, ensuring it can consistently accept returned land at any time.
In the Land Bank, when a user claims a Land Pixel, they deposit 5,000 Native $RIO tokens. Of this:
20% (1,000 $RIO) is permanently burned, reducing the overall supply.
80% (4,000 $RIO) remains locked as a reserve, which can later be reclaimed if the land is returned.
When a user mints a piece of land, they receive:
A newly minted Land Pixel NFT, representing a geographically specific virtual land parcel within Districts.
Districts governance tokens, $DSTRXEach minting distributes 0.01% of the remaining unminted $DSTRX supply, decreasing slightly with each new parcel claimed. The total $DSTRX supply is capped at 125 million tokens, minted exclusively when new Land Pixels are claimed or when users stake their land.
The overall $DSTRX token allocation is:
100M tokens reserved for Land Pixel minting and staking rewards.
20M tokens allocated to the Districts project team, minted proportionally alongside user minting rewards (20% of each minting reward).
5M tokens pre-allocated for liquidity provision on decentralized and centralized exchanges.
After minting, Land Pixel owners can:
Sell or auction their Land Pixels on NFT marketplaces like OpenSea or the Districts Marketplace.
Return land directly to the Land Bank, reclaiming the reserved $RIO after a 7-day unbonding period.
Stake Land Pixels to earn additional $DSTRX tokens over time, incentivizing long-term participation and aligning users' interests with the ecosystem’s sustained growth.
If a user chooses to return their Land Pixel to the Land Bank over holding or selling on the Marketplace, the price they can sell it back to the Land Bank is the Floor Price.
The Land Pixel Floor Price is determined by dividing the total $RIO held in the Land Bank by the total number of minted Land Pixel NFTs. Initially, this ensures that no parcel can fall below the base reserve of 4,000 $RIO. As more land parcels are minted, additional transaction fees accumulate, and burn rates are potentially reduced, causing the total reserve in the Land Bank and the Floor Price to rise over time.
Last updated
