> For the complete documentation index, see [llms.txt](https://docs.konnex.world/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.konnex.world/understand-konnex/tokenomics.md).

# Tokenomics

**1,000,000,000 KNX. Fixed supply.** The largest share is earned by the network.

KNX secures Konnex — the settlement layer for verified physical work. Every token sits in one of **four buckets**. The biggest allocation goes to **miners and validators** who run the network, and is released only as the network operates.

| At a glance                    |                         |
| ------------------------------ | ----------------------- |
| Max supply                     | **1.0B** KNX · hard cap |
| Circulating at TGE             | **19.7%** of max supply |
| Team & backer tokens in year 1 | **0%** unlocked         |

Figures below are rounded; the timeline is relative to TGE. Unlocked tokens do not necessarily enter traded float. For the product narrative, see also the [whitepaper](https://konnex.world/wp).

## Allocation — four buckets

Every token belongs to one of four buckets, each with a single release rule.

| Bucket                                      | Share | Approx. KNX | Release rule                              |
| ------------------------------------------- | ----: | ----------: | ----------------------------------------- |
| **Network Emissions — Miners & Validators** | 40.7% | 407,000,000 | Earned over \~8 years                     |
| **Backers, Team & Advisors**                | 30.8% | 308,000,000 | Locked 12 months, then vesting            |
| **Ecosystem, Marketing & Liquidity**        | 19.5% | 195,000,000 | Live at TGE                               |
| **Treasury & Foundation**                   |  9.0% |  90,000,000 | Small TGE tranche, then vesting to year 3 |

## Supply release — slow by design

Share of max supply in circulation. Roughly half arrives only after year two; the long tail is earned by the network through year eight.

| Milestone | Circulating (of max supply) |
| --------- | --------------------------: |
| TGE       |                       19.7% |
| Year 1    |                       24.3% |
| Year 2    |                         48% |
| Year 3    |                         72% |
| \~Year 8  |                        100% |

## Utility — what KNX does

KNX is **staked by validators** and **slashed** on misbehavior, pays **protocol fees**, and **governs** the network. Task settlement runs in **stablecoins**; KNX is the security behind every block.

See also [Stablecoins integration](/understand-konnex/stablecoins-integration.md), [Validating](/participate/validating.md), and [Mining](/participate/mining.md).

## Notes

This page is a top-level summary of the KNX token design. It is informational only, may be updated, and is not an offer to sell or a solicitation to buy any token. A detailed allocation and unlock schedule may be published separately in a full tokenomics disclosure.