FND Token Economics - AGI-Corporation/frontier-os-app-builder GitHub Wiki

FND Token Economics

Navigation: [Home]] ](/AGI-Corporation/frontier-os-app-builder/wiki/[Bitrefill-Funding-and-x402-Payments) | [Pipeline Registry]] | Roadmap

Overview

FND (Frontier Network Dollar) is the native economic unit of Frontier OS and the denomination for all agent.bay transactions. FND functions as both a utility token (fuel for agent invocations) and a governance token (stake-weighted voting power in pipeline and ecosystem decisions).

FND Supply and Emission

Parameter Value
Total Supply Fixed cap (governance-adjustable)
Initial Distribution Development fund, ecosystem grants, hackathon rewards
Emission Schedule Decreasing emission tied to Frontier OS network growth
Burn Mechanism Percentage of each task fee permanently burned
Staking Rewards Paid from ecosystem fund to governance stakers

Fee Burn Model

Every agent.bay task dispatch burns a small percentage of the amountFnd permanently:

Task fee breakdown:
  amountFnd = 10.0 FND
  ├── Pipeline owner receives:  8.5 FND  (85%)
  ├── Ecosystem fund:           1.0 FND  (10%)
  └── Burned permanently:       0.5 FND   (5%)

This creates deflationary pressure on FND supply as agent usage grows — aligning token value with network activity.

FND Pricing Tiers

Pipeline owners set their own pricePerTask in FND. Suggested ranges by complexity:

Tier 1: Lightweight (Observer scans, quick audits)

Range: 0.1 — 2.0 FND
Examples:
  - Log file scan (last 1h):          0.25 FND
  - Dependency vulnerability check:   0.50 FND
  - Code style lint + review:         1.00 FND
  - Security header audit:            1.50 FND

Tier 2: Standard (Single-role pipeline tasks)

Range: 2.0 — 15.0 FND
Examples:
  - Bug repair (single file):         5.00 FND
  - Refactor module to new pattern:   8.00 FND
  - API integration test generation: 10.00 FND
  - Feature spec writing:            12.00 FND

Tier 3: Complex (Multi-role pipelines, long-running)

Range: 15.0 — 100.0 FND
Examples:
  - Full sprint planning cycle:       25.00 FND
  - Architecture review + ADR:        40.00 FND
  - NANDA-delegated specialist task:  15–50 FND
  - Genomic data analysis pipeline:  75.00 FND

Tier 4: Enterprise (Compliance, regulated, DeSci)

Range: 100.0+ FND
Examples:
  - HIPAA compliance audit:          150.00 FND
  - CMMC control implementation:     200.00 FND
  - Clinical trial data processing:  500.00 FND

FND and Self-Evolving Agent Economics

Self-evolving pipelines use FND signals as direct evolution inputs:

Revenue Signals

// Evolution policy inputs from economic data
interface EvolutionEconomicSignals {
  totalFndEarned: number       // Lifetime revenue
  avgFndPerTask: number        // Revenue efficiency
  fndEarnedLast30d: number     // Recent demand signal
  refundRate: number           // Quality signal (0 = perfect)
  priceElasticity: number      // How demand changes with price
}

Dynamic Pricing Rules

Agents with mature evolution policies can implement dynamic pricing:

Condition Action
Demand 2x above 30d average Increase pricePerTask by 10–20%
Success rate > 95% for 7 days Eligible for premium tier listing
Success rate < 80% for 3 days Decrease pricePerTask by 10–20%
New pipeline (taskCount < 10) Cap at Tier 2 pricing until proven
Evolution maturity score > 0.9 Unlock Tier 4 pricing access

Prepaid Balance Mechanics

Agent.bay uses Bitrefill-style prepaid balances attached to pipeline paymentAddress entries:

Balance Types

interface PrepaidBalance {
  address: string
  totalDeposited: number
  totalSpent: number
  available: number           // totalDeposited - totalSpent
  reservedForPending: number  // held for in-flight tasks
  spendable: number           // available - reservedForPending
  expiresAt?: string          // optional for promotional balances
  type: 'individual' | 'org' | 'gifted' | 'dao-pool'
}

Top-Up Methods

Method Settlement Time Min Amount Notes
Direct x402 on-chain Instant 1.0 FND Primary method
DAO pool contribution Next block 10.0 FND Requires multisig
Hackathon grant Instant N/A Expiring credits
Promotional gifted Instant N/A Non-replenishable

FND Staking

FND can be staked to participate in agent.bay governance and earn rewards:

Staking Tiers

Tier Minimum Stake Benefits
Observer 100 FND View governance proposals
Contributor 500 FND Vote on standard proposals
Builder 2,000 FND Submit pipeline proposals
Architect 10,000 FND Submit protocol upgrade proposals
Steward 50,000 FND Seat on Evolution Council

Staking Rewards

Stakers earn a share of the ecosystem fund (10% of all task fees):

Monthly staking reward distribution:
  Ecosystem fund collected: 10,000 FND
  ├── 80% distributed to stakers pro-rata by stake weight
  ├── 15% reserved for Evolution Council grants
  └──  5% held as protocol security reserve

Slashing Conditions

Staked FND can be slashed if a staker:

  • Votes in favor of a proposal later found malicious
  • Fails to participate in 3 consecutive mandatory governance votes
  • Attempts to manipulate pipeline pricing through coordinated sybil attacks

FND and NANDA Economics

NANDA delegation creates a multi-hop FND flow:

User → 15 FND → NANDA Bridge
  NANDA Bridge keeps:   5 FND (bridge fee + burn)
  NANDA Bridge sends:   8 FND → Delegate Agent
    Delegate keeps:     6.8 FND (85%)
    Delegate burns:     0.4 FND (5%)
    Ecosystem fund:     0.8 FND (10%)
  NANDA Bridge burns:   0.25 FND (5% of 5 FND fee)
  NANDA Bridge → eco:   0.5 FND (10% of 5 FND fee)
  NANDA Bridge keeps:   4.25 FND net

Total burned: 0.65 FND per NANDA-delegated task
Total to ecosystem: 1.3 FND per NANDA-delegated task

FND Refunds

Refund policies are pipeline-owner-configurable with ecosystem guardrails:

Scenario Default Refund Policy
Task failed due to pipeline error 100% of amountFnd
Task failed due to malformed input 0% (user error)
Task failed via NANDA timeout 80% (minus NANDA routing fee)
Task completed but result disputed Governance arbitration
Pipeline becomes inactive mid-task 100% automatic

Refund transactions are recorded in the task's routing log with direction: 'inbound' and a special statusCode: 207 (Partial Content / Refund).

FND and Regulated Pipelines

For HIPAA, CMMC, and DeSci pipelines, FND economics include additional compliance fees:

Compliance premium breakdown (e.g., HIPAA audit pipeline):
  Base task fee:           100.0 FND
  Compliance audit levy:    15.0 FND  (to governance compliance pool)
  Insurance reserve:        10.0 FND  (held for dispute resolution)
  Total charged:           125.0 FND

See DeSci and Regulated Industries for full compliance pipeline economics.

Related Pages