The Importance of the TEA Utility Token

Supply (and Demand) of TEA Tokens

The supply of TEA is generated completely by the miners. There’s no measurable TEA in the genesis block (aside from a small amount of TEA for gas) to go alongside the 10,000 CML that are minted. The generation of TEA comes from either miners (who mine TEA with their mining machines) or farmers (who stake their CML into running mining machines to earn TEA). The miners earn rewards from the execution of tasks the TEA consensus algorithm assigns them. All TEA in the TEA Project ecosystem is generated through public service rewards by miners on the blockchain and the rewards are paid in TEA tokens.

TEA is a utility token with its value pegged to measurable computing resources

What About Positive Demand Factors on the TEA Price?

The TEA Project’s miners are primarily interested in being compensated for joining the network. If TEA farming is profitable, then more miners will likely want to jump into TEA farming, but they will need TEA to buy Camellia seeds. So the TEA price will benefit from more miners coming on board.

  • The TEA used to purchase CML is then burned by the DAO, introducing a decrease in the supply to bump the price of TEA.
  • Miners wait for their planted Camellia to mature and produce more TEA tokens that are useful for buying more seeds.

Why Won’t Miners Dump TEA?

While there’s always the possibility that miners will dump TEA, there are reasons why this is not likely to happen.

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