Lisuify Tokenomics


This document delineates the tokenomics of the two central tokens in our ecosystem: the liSUI, a liquid staking token, and the LSF, a governance token.

1. liSUI Token

1.1 Overview

The liSUI token is a liquid staking token with 9 decimals, akin to the original SUI token’s structure. It is backed by staked SUI objects, signifying a stake in the underlying assets and facilitating participation in the DeFi ecosystem.

1.2 Token Details

  • Decimals: 9
  • Backing Assets: Staked SUI objects
  • Utility:
    • Representing a stake in the staked SUI assets
    • Facilitating participation in the DeFi ecosystem
    • Can be used in various financial products and services within the ecosystem

1.3 Value Proposition

  • Liquidity: Provides liquidity to staked assets, allowing users to participate in the DeFi ecosystem without unstaking their assets.
  • Earning Staking Rewards: The liSUI token appreciates in value as it earns staking rewards, with the price dictated by the contract, offering a mechanism to exchange SUI to liSUI and vice versa.
  • Integration with DeFi: Enables seamless integration with various DeFi products and services, fostering a vibrant and dynamic ecosystem.

2. LSF Token

2.1 Overview

The LSF token is a governance token with a constant supply of 1 million units, functioning on a custom protocol and central to the decision-making process within the new DAO contract that is in the planning stages.

2.2 Token Details

  • Decimals: 9
  • Total Supply: 1,000,000 LSF
  • Utility:
    • Central to the governance and decision-making processes within the DAO
    • Facilitates community engagement and participation in protocol development
    • Not intended for speculative trading or investment, and lacks store capability, preventing its use in DeFi platforms by design

2.3 Transferability

  • P2P Transactions: LSF tokens can be transferred and traded peer-to-peer, but only from wallet to wallet, maintaining its utility focus and preventing speculative trading on DeFi platforms.

2.4 Distribution Plan

  1. Founders: 35%

    • Allocation: 350,000 LSF
    • Usage: To be utilized at the discretion of the founding team for strategic planning and furthering the project’s goals.
  2. Developers and Team: 25%

    • Allocation: 250,000 LSF
    • Distribution Method: Repeating payments to incentivize ongoing development and commitment to the project. The exact schedule can be determined based on project milestones and individual contributions.
  3. Community and Ecosystem: 30%

    • Allocation: 300,000 LSF
    • Distribution Channels:
      • Community Rewards and Incentives: 20% (60,000 LSF) - Distributed through community engagement initiatives, hackathons, and other events over a span of 2-3 years.
      • Partnerships and Collaborations: 10% (30,000 LSF) - Allocated for strategic partnerships and collaborations over a span of 2-3 years.
  4. Treasury: 10%

    • Allocation: 100,000 LSF
    • Usage: Reserved for future developments, unforeseen contingencies, and to facilitate community proposals and initiatives. This fund acts as a safeguard to ensure the project’s stability and sustainability.


  • Governance Participation: Encourage active participation from the community in governance decisions, including potential reallocation of treasury funds based on community proposals and votes.
  • Transparency: Maintain transparency in the distribution process, with regular updates and reports to the community.
  • Adjustments: The distribution plan should be flexible to allow for adjustments based on community feedback and changing ecosystem dynamics.


This distribution plan is designed to prioritize the motivation and responsibility of the founding team while also fostering a vibrant community and ecosystem. It ensures a significant stake for the founders, promoting a vested interest in the project’s long-term success, while also allocating resources for community development and strategic growth.

2.5 Governance Mechanisms

  • Decision-Making: Token holders will have a significant influence in the decision-making processes within the DAO, fostering a decentralized and community-driven governance structure.
  • Proposal Systems: Systems will be developed where token holders can propose and discuss changes to the protocol, encouraging proactive community participation in governance.
  • Admin Capabilities Control: The LSF token will be used in the DAO contract to control admin capabilities and manage treasury funds.
  • Protection Measures: The DAO has the ability to freeze and remint LSF tokens to safeguard the ecosystem from malicious token holders.
  • Legal Framework: A legal framework will be developed that clearly defines the token’s utility and restricts its use for non-governance purposes, ensuring compliance with regulatory requirements.


The introduction of the liSUI and LSF tokens is a pivotal step towards constructing a robust and dynamic DAO. The liSUI token facilitates liquidity and integration with the DeFi ecosystem, while the LSF token nurtures a decentralized and community-driven governance structure. Together, they form the backbone of a vibrant and user-centric ecosystem.