# Burn Mechanism

In the Vestra DAO project, all rules have been clearly outlined in the published whitepaper. The only aspect not allowed for governance proposals is an increase in the maximum supply ratio. However, reducing the supply by sending tokens to the burning address is possible with the approval of the core team. These burns will be carried out to the 'Treasury' using earnings from entities associated with VSTR.

After one year from the launch of SocialFi, GameFi, Metaverse, and other projects, 15% of half of the net profit in each quarterly balance will be sent to the Vestra DAO Treasury for burning. The entire amount of the received funds, with the approval of 4 out of 7 wallets with signature authority, can be sent to the burning address to reduce circulation.

The total token supply allocated for the aforementioned categories of SocialFi, GameFi, and Metaverse (12,750,000,000) will continue to be burned gradually until fully depleted. This burning process will persist until the total supply of VSTR reaches 37,250,000,000. Even after reaching the reduced supply, entities associated with Vestra DAO will keep sending their profits to the VSTR Treasury. These earnings can be used as liquidity in the business development processes or continue to be burned according to governance decisions.


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