As a native token to the ever-growing Storepay BNPL ecosystem, SPC’s purpose is to take the pay-later service to the next level. While the token has many utilities that are interrelated with the pay-later features, such as alternative credit scoring, reward, payment tool, and collateral substitute, the tokenomics model is designed to retain its value on the market as an investment product alone.
One of the abovementioned utilities is the reward. We reward users who complete paying off their installment plans with 1% of their total purchase amount in SPC token. And every 15 days, we burn SPC equivalent with the rewarded token.
The new burn rule
Starting from February 1st, 2023, the 1% reward in SPC has been reduced to 0.5% while the SPC burn remains at 1%. This new burn rule will gradually decrease the circulating supply, increasing the value of the token.
Users can pay for their BNPL purchases and installment plans using the native token. And those tokens are used as the primary pool for this burn. Whenever the pool doesn't make up for the total burn amount, we will buy from the secondary market to burn.
For instance, below is the March 16th burn.
The total burned SPC: 313,225,562
The amount bought from the secondary market for the burn: 156,612,781 SPC. This leaves the total supply of the token at 159,813,478,480.