B. Token Distribution

TABLE I: VORN Token Distribution Mechanism

1)Network Reward Pool Analysis: The network reward pool is the engine of the entire economic system, with its distribution mechanism directly affecting network security and decentralization. Intelligent block reward reduction:

Year 1-5: Fixed annual VORN token amount, ensuring sufficient early incentives

Year 6-10: Starting from year 6, halving every two years, gradually reducing inflation pressure

Year 11-15: Stop halving, maintain basic security incentives

Year 15+: Transition to pure fee model, achieving complete economic autonomy

Dynamic staking reward adjustment: The system continuously monitors network-wide staking rate and adjusts reward rates accordingly, ensuring staking rate stabilizes at the optimal 60% level—both ensuring network security and maintaining sufficient liquidity.

2)Special Contribution Reward Mechanism: Reserved from reserves (500 million VORN) for rewarding special contributions, including but not limited to:

Discovering and reporting critical security vulnerabilities (up to 10 million VORN)

Proposing and implementing major protocol improvements (assessed by impact)

Maintaining network stability under extreme market conditions (such as during black swan events)