Push Chain Tokenomics: The Next Evolution(CLOSED, MOVING TO VOTE)

🗳️ Governance Proposals
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Push Chain Tokenomics: The Next Evolution

The journey that began with Push Protocol as the de-facto standard for web3 notifications and communication is now in its next era. In late 2024, the Push community voted in favor of the launch of Push Chain — the shared state layer 1 for universal applications.

Push Chain is a purpose-built layer that connects L1s, L2s, and L3s with near-instant finality and true scalability that solves the fundamental issue with web3 applications: fragmentation. With the successful voting of the governance proposal, the Push Chain mission is now on its way toward building any chain, any user, and any app.

Why Push Chain?

All blockchains have proven particularly useful for specific apps and use cases. Bitcoin enabled smart money. Ethereum enabled innovations for DeFi. Solana enabled fast apps and meme culture. Several L2s and new L1s are targeting other areas of concern.

However, a blockchain that is purpose-built to enable chain abstraction and seamless interoperability in the space is still required. This chain would enable transactions from any chain (ETH, SOL, EVM or non-EVM) to power apps that can be used by any user — no matter their chain or wallet. This is the chain of Universal Apps. This is Push Chain!

Some innovations / features that enable universal apps on Push Chain:

  • Any Chain Tx :chains:

  • Fee & Wallet Abstraction (universal wallet + guest wallet) :money_bag: :locked_with_key:

  • Shared State (read data from other blockchain) :eyes:

  • Generalized Programmable Solver (enables acting on the data read from other chain) :hammer_and_wrench:

  • Universal Smart Contract (enables devs to deploy universal interop apps in hours) :globe_with_meridians:

  • Shared App Experience (any user from any chain can access any app of any chain) :handshake:

  • Full Stack Interop (Universal Apps) = Universal Wallet + Generalized Programmable Solvers + Shared State + Universal Smart Contracts

Now, we’re asking the Push Chain community to vote on the tokenomics for Push Chain.

TL;DR Push Chain Tokenomics

The new Push Chain token is a fundamentally new token from the Push Protocol $PUSH. Why? Because Push Chain supports universal applications, shared state, and seamless cross-chain transactions. This broader scope demands tokenomics designed to sustain a robust network, incentivize validators, and reward the community that has supported our journey.

For existing $PUSH token holders, the tokenomics proposal allocates 15% of the total Push Chain token supply specifically for migration. The migration will occur at a ratio of 1:15—meaning for each Push Protocol ($PUSH) token you hold, you’ll receive 15 Push Chain tokens. For example, if you currently hold 40 $PUSH tokens, you’ll receive 600 Push Chain tokens after migration.

Push Chain Tokenomics

Token Utility and Functionality

In the proposal, the Push Chain token is designed with multiple utilities that support the network’s operation and growth.

  1. Network Security: The token powers Push Chain’s Proof-of-Stake consensus mechanism through staking and slashing, ensuring the security and reliability of the network.
  2. Transaction Fees: The token serves as the primary method for network fees for transactions and app usage.
  3. Governance: Token holders gain voting rights to propose and decide on protocol changes, actively contributing to the chain’s future.
  4. Fee Abstraction: Push’s Fee+Solver contract is used to enable users of any chain (whether ETH, SOL), etc to pay for gas via native token. A portion of the fee collected will be swapped and burned for Push Chain native token.
  5. Incentives: The token supports an ecosystem of rewards for validators, users, and community members through fee sharing and a reward system.

Push chain adopts a dynamic supply model, which is used among popular chains (like Ethereum and Solana). Post mainnet, new tokens for the chain would be mined solely for node rewards, relayer rewards, and other participants that are required for ensuring chain security, functionality, and decentralization needs.

Burn and Deflationary Mechanism

Push Chain has a couple of burn mechanisms owing to it being a Universal Blockchain.

  1. Native Chain Burn: A part of the fees is always burned when native transactions are done on Push Chain.
  2. Cross Chain Burn: Using Fee Abstractions, a part of the fee collected on other blockchain’s native token (ETH, SOL) is swapped for Push Chain native token and burned.

This ensures a deflationary blockchain design that burns tokens as the network and the transactions that happen on it grows. This allows the chain to achieve deflationary tokenomics design while still awarding the validators and other actors. This design enables the creation of an incentivized, sustainable long-term future for Push Chain and all its participants.

Push Protocol Migration Details

The launch of Push Chain is designed to reward and incentivize prior Push Protocol ($PUSH) holders for their loyalty and contribution. The migration process for existing $PUSH token holders will work as follows:

  • Tokens will migrate at a 1:15 ratio (1 Push Protocol token = 15 Push Chain tokens).
  • Participants in the Push Chain migration will see 50% of their migrated tokens unlocked immediately, and an additional 50% unlocked after 3 months.
  • Token migrators will also benefit from a dedicated yield farming pool reserved for them. These rewards will be distributed to token migrators if they stake their migrated Push Chain tokens, to reward them for long-term contribution to the ecosystem.
  • For example, if you have 100 Push Protocol $PUSH tokens, you’ll receive 750 Push Chain tokens when you migrate, 750 Push Chain tokens after 3 months. You can choose to stake these tokens to get additional rewards from the Push Chain yield farming pool, distributed periodically.

The Push Chain token migration will be open for 12 months, after which any remaining token will go to the community and ecosystem reserve.

Additionally, the tokenomics proposal allocates 10% of the total Push Chain token supply for airdrops to past and present Push Protocol application users (notifications, messaging, chat). Along with new users, creators, developers and ecosystem partners of Push Chain.

Token Distribution

The total supply of Push Chain tokens is proposed at 10 billion, distributed as follows:

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vestingpc1600Ă—866 101 KB

tokenvesting
tokenvesting1600Ă—878 73.6 KB

Note that in the proposal:

  1. Push Protocol $PUSH migrators have 50% of migrated tokens unlocked at TGE, followed by the remaining 50% after 3 months.
  2. Airdrop distributions begin at TGE, but will happen over the course of multiple seasons.
  3. Core Contributors have a 12-month delay, followed by 24-month vesting.
  4. Push Lab Treasury has a 36-month vesting.
  5. Investors have 24-month linear vesting.
  6. Community and Ecosystem Reserves has a 13.5% unlock at TGE, followed by 36 month vesting.

It’s worth noting that a portion of Push Chain unlocked tokens from “Community & Ecosystem Reserve” will be locked for the purpose of running validators operated by the Push Chain team. The tokens locked for these specific validators will never be sold or distributed. The number of validators that will be running to ensure a sustainable and decentralized network is in the works and the tokens locked for it will be announced soon.

Push Protocol Governance

Push Protocol governance has been the fundamental backbone that enabled the DAO to be so successful and united in moving through different directions. However, the DAO and governance were designed keeping the notification and chat protocol in mind which needs to be redefined in the new structure of Push Chain.

Thus, the successful passing of this proposal will also be counted as a vote for the last step in Push Protocol governance as we restructure for Push Chain. Hence, the current phase of Push protocol governance will wind down and is subsequently relaunched with a redefined, chain-focused Push Chain governance in the future. The details and functioning of which will be announced in the future.

Voting for Push Chain Tokenomics

Community governance voting for Push Chain Tokenomics is planned to go live in 7 days. The discussion period is live right now. To join the discussion and ask questions or leave comments, head to: https://gov.push.org.

When governance voting does go live (announcement pending), participants will:

  1. Visit the Push governance portal (https://snapshot.box/#/s:pushdao.eth)
  2. Connect your wallet holding Push Protocol $PUSH tokens
  3. Review the detailed proposal
  4. Cast your vote

Your input matters in the future of Push Chain!

Important Security Note: The Push Chain token has NOT launched yet. It is not available to buy or claim on any exchange or app. There is no presale for the Push Chain token. All official communications about the new token will come directly from the Push Twitter account and website simultaneously. Stay vigilant and avoid any scams or impersonations.

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Looking forward to everyone’s thoughts. Please note the schedule below.

Timelines:

  • Governance Proposal Start discussion, Delegation Begins - March 18, 8am EST / 12pm UTC
  • Governance Proposal End and Delegation Ends - March 25, 8am EST/12pm UTC
  • Snapshot proposal goes live - March 25, 9am EST/1PM UTC
  • Gov Result - March 29, 5pm EST
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The future looks promising for real :blush:

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two things that I’m especially happy to see here: Push Labs and 70% allocation for community/ecosystem.

shows the long term vision of the core team.

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I am neutral on this proposal and a holder since early 2024. Despite the shrunk allocation, I’m assuming the fresh listing will bring about a new valuation for the project. Assuming the current brutal market conditions, going ahead with a Yes vote to see where this project takes me.

At least the team unlock is after 12months until 36 months, so some sort of commitment is good.

9 Likes
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Strong vision, fair migration terms, and a big leap toward universal app infrastructure. Excited to see Push evolve.

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Hi @harshrajat
Thanks for finally sharing details about Push Chain tokenomics.

I have a few important questions that I believe need to be addressed so long-term holders like myself can make an informed decision about our next steps.

Questions Regarding Remaining $PUSH Allocations

Since Push is an open-source project where transparency is expected, can you clarify the following?

  • What is the CURRENT remaining $PUSH allocated for:
    • Community?
    • Team?
    • Advisors?
    • Investors?
    • Foundation?

More importantly, what will happen to these remaining allocations? What ratio will they be migrated to the Push Chain?

Reference: $PUSH TGE Official Blog Post

Questions for Long-Term Holders

According to the proposal:

“For existing $PUSH token holders, the tokenomics proposal allocates 15% of the total Push Chain token supply specifically for migration. The migration will occur at a ratio of 1:15.”

Taking this into account:

  • Current $PUSH total supply: 100,000,000
  • Proposed Push Chain total supply: 10,000,000,000

If I own 1,000,000 $PUSH today, my current share of the total supply is 1%.

After migration at a 1:15 ratio, I would receive 15,000,000 Push Chain tokens, reducing my share to 0.15% of the total supply.

This means my relative share would decrease by 85%.

Can you confirm if this is correct and is what the team plans?

Questions About Push Chain Token Distribution

  • Can I opt out of the proposed migration strategy of 50% immediate unlock and 50% after 3 months? or is it the only way?
  • Can you provide details on the yield farming pools if I choose to stake my tokens?
  • Will migration and staking be offered as a single operation, or will users need to pay for two separate transactions?
  • Where will Push Chain Tokens be launched? $PUSH mainly on ETH mainnet was too expensive for most transactions.

Additionally:

  • Besides the $PUSH migration and its 1:15 “incentives”, where are the other billions of Push Chain Tokens coming from? How was this highly inflated number determined, and what justifies this decision?

  • What is the Push Labs Treasury, and why has it never been mentioned before? Is this equivalent to the “Foundation” in the allocation from the $PUSH TGE? But this time, instead of just receiving an allocation again, you’re INCREASING it from 7% to 12%?

  • Are you onboarding new investors and allocating 12% to them? If so, does this mean previous investors will also see their holdings diluted by 85%?

Final Request

To move this forward, the Push team—particularly @harshrajat as project lead—should publish a transparency report covering:

  1. Previous investor relations and their current status.
  2. Remaining $PUSH tokens still controlled by the Team/Foundation. And whats the plan for them.
  3. Real adoption metrics (not vanity stats) across all Push features—especially after the failures of Push Chat and Push Spaces. If these were shut down, the community deserves to know.

Best,

cc: @nyhobo @grasponcrypto @Daochemist

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Voting yes because you either evolve or die. However… will Airdrops be given to loyal holders? Also, is the yield farming allocation for holders of native Push token or everyone? Will the remaining 50% tokens be put in this automatically?

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Pretty new to Push. Is there a snapshot for holding tokens or how will the migration take place? Do I need to hold the token till the migration? Will there be a minimum token cap for migrating or can I migrate even if I hold a small amount of tokens? I’m assuming migration will be available from Day 1 so this will be good for potential price uptick.

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What I see in this proposal goes DIRECTLY AGAINST THE PROMISE THAT WAS MADE BY THE PUSH FOUNDATION when the initial PUSH chain proposal was made a few months back. The reason PUSH community and holders voted for PUSH chain was because of the promise made below in the original proposal. According to the promise of ensuring PUSH holders keeping “proportional ownership” post Push chain migration, the conversion ratio should be 1:100 not 1:15 given the token supply is being multiplied by 100X.

A Note on Tokens

“As a new L1, Push Chain would have its own native token with new tokenomics suited to the functioning of the blockchain. Currently, this governance proposal introduces Push Chain as a potential direction for the Push ecosystem. If approved, Push would then introduce tokenomics for feedback and discussion among the community. A priority for Push Chain tokenomics is to ensure that all Push Protocol $PUSH holders are able to migrate their tokens to the Push Chain native token (ticker TBD) for a proportional ownership in the new blockchain.”

This means that someone who holds 1% of the PUSH token is now only eligible for a 0.15% ownership post migration, which is galaxies away from ensuring that the holders retain their proportional ownership, which means 1% should be 1% post migration. What’s even worse is that the original token holders are already down 99% with PUSH hitting all time lows every other day - the foundation simply cannot ask the holders to be down another 85% on top of the 99% we are already down. It’s not about the money, the principle is simply not defendable when PUSH holders voted for the initial proposal with the expectation that the holders would be made whole. Sure there could be some investors and there could be discussions for increasing the token supply slightly, but the current proposal does not even pass the initial smell test. I realize many retail crypto community does not fully understand the concept of FDV and will just gravitate towards the 1:15 ratio, but anybody who has been a PUSH holder and supporter of community cannot vote in favor of the current proposal with fully understanding what the underlying implications are. We also need transparency around the “Push Chain Investors” and how much they invested for their 12% allocation.

@harshrajat @Richa

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My vote is in favor.

I acknowledge the complexity and potential risks, but the proposed steps appear to be well-managed.

From a technical standpoint, it is encouraging to see solutions addressing interoperability and scalability challenges, along with a token that integrates multiple utilities and deflationary mechanisms. This boosts security, performance, and community engagement, marking a breakthrough for universal blockchain applications.

The information on token distribution over 36 months provides transparency, although it would be helpful to clarify how staked tokens are handled, the unlocking conditions, and fairness in allocations. Additionally, further insight into the native and cross-chain burn process and its long-term impact on liquidity would be beneficial.

Success with this ambitious project
Keep pushing! :paw_prints:

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The intentions in this proposal are clear and lay the foundation for Push Chain governance and for building universal apps.

The biggest benefit lies in rewarding early users—people who have joined Push Chain for the product and are using it as intended.

I’m a believer in Push for the long term and I want people in our community with the same conviction, who like the product and will continue using it and providing feedback in the long term as well.

I’m curious to know about plans to balance the token’s liquidity after unlocking 50% at the 3-month mark without compromising its stability, as well as the incorporation of greater long-term incentives to encourage staking and avoid short-term volatility.

Finally, I’d also like to know if you have considered any exchanges for listing the new Push Chain token.

Thanks.

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Where I disagree is that it crushes the early Push protocol holders when the conversation rate is 15% when it was originally promised that the priority was to ensure the push token holders retain their ownership %. Personally I was shocked to find out what the conversion rate was given with the market cap going up 100x, the conversion rate should also be 1:100 under the assumption that proportional ownership is retained. Won’t matter for people who don’t hold much as they are discounting PUSH as a dead token at this point, but for OG holders with any significant size it doesn’t make sense.

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I disagree that the migration terms are fair. After being promised that the priority was for PUSH holders to retain their proportional ownership, dropping a conversion rate of 1:15 instead of 1:100 is nothing close to fair. It’s feels fair for people who don’t have much PUSH given it honestly just doesn’t matter and they will vote yes to almost anything at this point given Push protocol certainly feels dead. For any OG holders who have significant size, the conversion makes no sense.

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The issue is that we now have to count on Push chain price being up at least 667% before OG holders break even. This means breaking even to the current price, which is already down 99% since inception. I get that the project is dead and we need to do something, but it’s much easier to brush it off as “still something new despite the shrunk allocation” when the stake isn’t significant. We were promised that the priority of project was to make sure OG push holders retain their ownership when in reality this proposal is asking push holders to take another 85% hit on top of the 99% hit already taken.

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hey! I hold over 250k push tokes.. might not seem like a significant amount but to me it’s a pretty chunk of my investments. My rationale behind the comment was that the current Push token has too much baggage attached to it. I’m hoping a new token for an l1 chain might see a significant bump in valuation as I’ve seen in a couple projects that have rebranded and launched a new token with migration.

I would prefer this than seeing the current token sink day by day. Just my 2 cents.

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I see the longterm vision. Notis on! Push it!

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Hey David. I’m with you 100%. Also, 250k token position is definitely no small position, which is exactly why I believe holders like us cannot agree to the current tokenomics. I agree that as much as we hate to admit it Push Protocol has failed beyond point of no return and that the only way of survival is to move to Push chain. That said, we were promised only 3 months ago the below statement from Harsh and the Push team with the initial Push Chain proposal, which honestly was the reason I felt good voting in favor of Push chain.

"A priority for Push Chain tokenomics is to ensure that all Push Protocol $PUSH holders are able to migrate their tokens to the Push Chain native token (ticker TBD) for a proportional ownership in the new blockchain.”

Proportional ownership means 1:1 conversion in ownership percentage, which in this case with token supply increasing by 100x, the migration conversion should also be 1:100. I get that 1:100 may not be feasible and we need to make some room for potential new investors, reserves etc. I agree we need to move Push Chain 100% because the alternative is 0. However, we don’t need to agree to 1:15 conversion rate when we were promised from the team that the priority was for the Push token holders retaining proportional ownership percentage. The current proposal of 1:15 conversion would mean that we are automatically taking another 85% price hit on dilution automatically with the base case of breaking even to current measle $3mn market cap the new Push chain token will have to appreciate by 667%. Unless the token appreciates by at least 667% we are worse off than where we are now, which is not what we as PUSH token holders should be willing to accept especially when we were promised proportional ownership percentage post migration and the token prices are down almost 99% already. So all this is to say that we are in agreement and that we need to voice our opinions stronger to make sure we don’t lose another 85% in price as base case which is the current proposal. The total token supply is probably harder to move, but we need to reject this proposal in the current form and make sure the conversion rate is higher. That is where my head is at. Thanks for your input brother.

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I completely agree with @nyhobo 's rationale.
Aside from the concerns he already shared, I still can’t comprehend why @harshrajat doesn’t want to come and talk about these topics in front of the community.

We - long term holders - deserve an open, transparent conversation about these things. We’ve been with Push through good and bad, and now this feels like a headless project.

It’s been ages since the community heard from anyone in the leadership team. And if you’re now forcing this decision down long-term holders’ throats, we at least deserve to be heard - and to hear from you.

You already evaded us once in the thread where you announced Push Chain. And considering you blatantly lied in your statement, saying, “A priority for Push Chain tokenomics is to ensure that all Push Protocol $PUSH holders are able to migrate their tokens to the Push Chain native token (ticker TBD) for a proportional ownership in the new blockchain,” we deserve this conversation - either with @harshrajat as the project lead or with someone competent from the leadership team who can debate this topic.

1 Like