# INNO Protocol Reserve

## **INNO Protocol Reserve – SSR Token Distribution Logic**

<figure><img src="/files/S0gUmC04mR6l0zyq0PjU" alt=""><figcaption></figcaption></figure>

### **Overview**

The **INNO Protocol Reserve** is a performance-driven reward mechanism that avoids arbitrary token emissions. Rewards are distributed based on objective **Key Performance Indicators (KPIs)** such as in-game activity, quest completion rates, and season leaderboard rankings

### **Core Parameters**

* **Total SSR Supply**: 1,000,000,000 SSR
* **INNO Allocation**: 25% → 250,000,000 SSR
* **Distribution Model**: Weekly decay model with proportional rewards based on KPI performance
* **Duration**: Long-term; simulation based on 104 weeks (2 years)

### **Distribution Function (Decay Formula)**

To regulate distribution volume, the following **rational function** is used:

$$
f(n) = 250,000,000 \cdot \frac{n}{n + A}
$$

* ⨍(n): Cumulative distribution by week *n*
* A: Decay coefficient (adjustable)

Below is a simulation graph of the weekly cumulative distribution ⨍(n) based on the given distribution formula.

<figure><img src="/files/YugYuXljHfr3bGUGkE6U" alt=""><figcaption></figcaption></figure>

The graph visualizes how the cumulative distribution evolves weekly according to the formula. The curve shows a rapid increase initially, where a large number of SSR tokens are distributed. Over time, the growth rate slows down. This reflects a design philosophy aimed at encouraging active user participation during the early stages—when liquidity provisioning is most needed—while gradually reducing distribution to maintain overall token supply stability.

By applying a rational function based on a decay curve, this structure helps manage token circulation within the ecosystem over the long term. It provides high incentives to early participants while focusing on curbing overall token inflation and guiding supply-demand balance across the ecosystem.

***

### **Weekly Maximum Distribution Cap**

<figure><img src="/files/FdkrJRz5JsoTgLJQ57W6" alt=""><figcaption></figcaption></figure>

$$
R\_n = f(n) - f(n - 1)
$$

Let:

* $$R\_n$$ : Maximum distribution for week $$n$$
* $$f(n-1)$$ : Cumulative distribution up to the previous week

This algorithm features high initial rewards that gradually decrease, aiming to produce economic effects similar to Bitcoin’s halving model.

***

## **2-Year Simulation (104 Weeks)**

A simulation over 2 years indicates that the reserve **approaches but never fully exhausts** the total allocation. This ensures sustainable operation over an extended period.

<table data-header-hidden><thead><tr><th width="88.25"></th><th></th><th></th><th></th></tr></thead><tbody><tr><td>week</td><td>Cumulative Distribution Amount</td><td>Cumulative Distribution Ratio</td><td>Remaining Supply</td></tr><tr><td>52</td><td>Appr. 158,536,600 SSR</td><td>Appr. 63.4%</td><td>Appr. 91.46M</td></tr><tr><td>104</td><td>Appr. 194,029,900 SSR</td><td>Appr. 77.6%</td><td>Appr. 55.97M</td></tr></tbody></table>

### **Reward Determination Mechanism**

Each week, tokens are distributed **in proportion to user KPI scores**. Key metrics include Number of PvP \
Tokens distributed weekly are allocated **in proportion to each user's KPI performance**. Key evaluation criteria include participation in PvP matches, quest completion rate, leaderboard ranking, special event engagement, and in-app purchase activity. Additional weighting may be applied to users who meet specific criteria, such as holders of SSR pre-sale NFTs, monthly subscription members, or those holding a significant amount of SSR.

The maximum token allocation per week is defined as follows:

<figure><img src="/files/IelUei6GbaAn5i3WiJG1" alt=""><figcaption></figcaption></figure>

**Undistributed Token Handling Policy**\
Any unused tokens from a given week will automatically roll over into the distribution pool for the following week. No token burn occurs in this process. The new weekly allocation is adjusted according to the formula:

$$
\text{Reward}*{\text{user}} = \left( \frac{\text{KPI}*{\text{user}}}{\text{Total KPI}} \right) \cdot R\_n
$$

The distribution amount for the next week increases as shown below:

<figure><img src="/files/notEKkyTxKLqNmFio24o" alt=""><figcaption></figcaption></figure>

$$
R\_{n+1}^{\text{adjusted}} = f(n + 1) - f(n) + \text{Carryover}
$$

## **Conclusion**

The **INNO Protocol Reserve** is a scientifically designed rewards system built for the sustainable growth of the game ecosystem. It uses a decay algorithm to stimulate early adoption while preserving long-term stability, and a **KPI-based system** to ensure fairness and transparency.

By balancing **user engagement incentives** and **economic stability**, the INNO Protocol Reserve lays the foundation for SSR's long-term success. Ongoing monitoring and data analysis will continue to refine the system, helping build a healthier and more vibrant game economy.

<br>


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