The AERE token has a hard-capped maximum supply of 2,800,000,000 AERE (2.8 billion). This cap was set at genesis and is enforced by the protocol, no more AERE can ever be created beyond this amount.
A fixed supply ceiling creates predictable monetary policy. Participants know that holding AERE will not be diluted beyond what the genesis schedule specifies. Compare this to networks with unlimited issuance, where stakers may earn yield that is immediately offset by perpetual inflation. AERE's model is closer to Bitcoin's fixed-supply approach applied to a PoA consensus chain.
Not all 2.8 billion tokens are liquid at genesis. Most are held in allocation wallets and released according to the schedule defined in the whitepaper and encoded in smart contract vesting logic. The six allocation categories are described in detail in the next module.
Gas fees on AERE are partially burned (a portion goes to validators, a portion is destroyed). Over time, as network usage grows, the effective circulating supply declines relative to the maximum. This built-in deflationary mechanism rewards long-term token holders as activity on the network increases.
eth_getBalance on the known allocation wallet addresses. Everything on AERE is publicly auditable on-chain.The 2.8 billion AERE supply is split across six purpose-specific wallets. Each wallet has a defined mandate that constrains how those tokens can be used.
| Allocation | Amount (AERE) | % of Supply | Purpose |
|---|---|---|---|
| Mining Reserve | 1,400,000,000 | 50% | Staking rewards distributed to validators and delegators over the long term. |
| Ecosystem Fund | 560,000,000 | 20% | Developer grants, dApp incentives, hackathons, integration bounties, ecosystem growth programs. |
| Team | 420,000,000 | 15% | Core development team, subject to multi-year vesting with a cliff to align long-term incentives. |
| Foundation | 180,000,000 | ~6.4% | Operational expenses, legal, infrastructure, regulatory compliance, held in the timelocked AereTreasury contract. |
| Airdrop | 140,000,000 | 5% | Community growth, early adopter rewards, promotional distributions, scheduled in tranches. |
| Strategic Investor | 100,000,000 | ~3.6% | Early institutional and strategic investors who provided capital and partnerships at network launch. |
The Team and Strategic Investor allocations are subject to vesting schedules enforced by the AereTreasury contract (0x687933AE7ea4927867AC227F1b60d476003e6119). Tokens cannot be transferred until vesting conditions are met. The Foundation's operational funds pass through a timelock, spending requires an on-chain transaction that is visible to the public before it executes. This prevents unilateral decisions and gives the community time to react.
The Ecosystem Fund is managed by DAO governance. Any spending above a threshold requires a proposal and vote (see Module 4). Grants and bounty payouts below the threshold can be approved by the Foundation multisig, but all transactions are publicly visible on the explorer.
The single largest allocation, the Mining Reserve, exists to pay staking rewards. At an 8% APY baseline, the reward budget funds validators and delegators over a very long horizon without requiring fee burning to cover rewards immediately.
The 8% APY figure is applied to your staked balance, not your total balance. If you hold 10,000 AERE but stake only 5,000 AERE, you earn 8% on the 5,000, approximately 400 AERE per year at the base rate.
Rewards accrue block by block. After each block (~1 second), a tiny increment is added to your claimable reward balance in the staking contract. You can claim at any time; there is no penalty for leaving rewards unclaimed, but unclaimed rewards do not compound automatically unless you re-stake them.
The AereStaking contract supports multiple lock-up durations. Longer lock periods earn higher APY:
Lock-up tiers are designed to reduce circulating supply volatility. Tokens committed to a long lock cannot be sold during market downturns, which stabilizes price and incentivizes genuine long-term holders over short-term speculators.
To compound your rewards, call claimRewards() to receive your accrued AERE, then call stake(amount) to add it back to your staked position. This can be automated with a simple script or keeper bot watching the staking contract events.
// Compound rewards with ethers.js on AERE (chain ID 2800)
const provider = new ethers.JsonRpcProvider('https://rpc.aere.network');
const wallet = new ethers.Wallet(privateKey, provider);
const staking = new ethers.Contract(STAKING_ADDRESS, STAKING_ABI, wallet);
async function compound() {
const rewards = await staking.pendingRewards(wallet.address);
if (rewards > ethers.parseEther('1')) {
await staking.claimRewards();
await staking.stake(rewards);
console.log(`Compounded ${ethers.formatEther(rewards)} AERE`);
}
}
AERE Network is governed by its stakers. The AereGovernanceStaked contract (0x8D77C888e439C4fADb2e23F1567a0A1965F80bCb) implements a proposal-and-vote system where voting power is determined by how much AERE you have staked at the time a proposal's snapshot is taken.
Governance systems need Sybil resistance, protection against one entity creating many cheap identities to accumulate disproportionate voting power. Token-weighted voting provides this: casting more votes requires holding and staking more AERE, which is an economic commitment. Participants who have more "skin in the game" have more influence over decisions that affect the network they depend on.
propose(targets, values, calldatas, description). The targets, values, and calldatas encode the exact on-chain actions the proposal will execute if it passes, there is no off-chain interpretation step.castVote(proposalId, support) where support is 0 (against), 1 (for), or 2 (abstain). Each account's vote weight equals its staked AERE balance at the snapshot block.execute() to carry out the on-chain actions atomically. No manual admin step is required.You do not need a large stake to participate meaningfully. Even small stakers can vote to signal preferences, and delegating your vote to a trusted community representative means your AERE contributes to quorum even when you are not actively watching proposals.
// Delegate your governance votes to another address (or yourself) const gov = new ethers.Contract(GOV_ADDRESS, GOV_ABI, wallet); await gov.delegate(delegateeAddress); // Cast a vote on an active proposal // support: 0 = Against, 1 = For, 2 = Abstain await gov.castVote(proposalId, 1);