Venice Token

First, it acts as a Yield-Bearing Staking Token—rewarding stakers with proportional emissions that offset price volatility and drive sustainable holding incentives.

Second, it serves as a Stake-Based Discount Token, granting stakers proportional access to Venice’s inference capacity and unlocking additional benefits through active usage. The more the API is utilized, the greater the indirect yield potential for stakers, creating a positive feedback loop between token demand and platform utility.

The Yield-Bearing Staking Token sub-VCM is structured around staking and the depreciation-offsetting proportional allocation of a part of the total regular emissions to staked token holders. THe value is captured by additionally incentivising token staking by diminishing the loss incurred by price volatility whilst the tokens are locked.

This model allows stakers to either utilize their allocated API access or trade it.

The stake-based discount token sub-VCM represents value capture through the option to use the API capacity regularly allocated to all token stakers proportionally to their stake. Observe that the emissions are also dependent on the total utilisation rate of the available Venice inference capacity pool; in such a way, a positive feedback can be observed from activating the Access OoV by indirectly increasing the Future Cashflow received by the staker from the regular emissions.

This sub-VCM manifests through VVV holders staking their tokens to receive a proportional share of venice.ai’s inference capacity and generating demand on that capacity, which incentivises the capacity pool expansion and is rewarded with increased volatility-offsetting emissions. This model ensures that demand for inference is directly linked to demand for the token itself.