The People’s Network creates an entirely new wireless economy that flips the traditional telecom model of building wireless infrastructure on its head.
HNT supply comes from mining with a compatible Hotspot that both mines HNT and creates network coverage for IoT devices.
All HNT was mined from genesis, starting at a rate of 5M HNT/month and then halving every 2 years. On August 1st, 2021 the net HNT issuance will be reduced to 2.5M HNT per month.
WHAT HAPPENS WHEN MINTING ISN'T ABLE TO REWARD HOTSPOTS?
Net Emissions effectively recycle a pool of 'burned' HNT available for use in rewarding Hotspots, when there are no longer enough provided through minting.
Net Emissions are capped at 1% of current issuance (3,424 HNT minted per epoch) at 34.24 HNT. The system monitors DC usage on the network and adds that amount (up to the cap) onto the issuance supply. The Net Emissions allow rewards to exist in later years, while also not extinguishing deflationary pressure after the cap has been reached. After the cap is exceeded, the overall value of the network should increase, satisfying a Burn-and-Mint equilibrium, explained below.