Tokenomics

Edge Token

• Total Supply: 1 billion $EDGE

• Presale Valuation: All funders will invest at a ~$1.5M FDV

Incentives

Upon presale completion, 100% of your $EDGE will be tradeable immediately. Given this, we must create strong hold incentives.

We decided to make selling directly positive for active holders... in a pretty huge way. Here's how: Edge Tax: Any $EDGE presale investor who sells their tokens in the first 6 months will automatically pay a 50% contribution of their total sale. This will NOT apply to people who buy $EDGE on the open market after the initial launch. Fees will be distributed monthly as follows:

• 80% distributed to active $EDGE token holders who also hold a DXNK NFT, rewarding active participants who remain in the ecosystem.

• 10% goes to the fund treasury, furthering development and investments.

• 10% compensates council members for overseeing and guiding our governance process (see Governance for description of Edge council).

Implications:

• With sufficient volume, the Edge Tax will generate significant distributions for holders

• Naturally increases the price investors are willing to sell for

• Turns selling into a positive for diamond hands

• Increases the Edge Fund treasury over time

• Makes being a council member highly competitive as the pay could be quite high

Edge Tax % will likely be lowered slowly over the first 6 months but the exact schedule will be decided by the council.

Edge Tax Growth Case

If $EDGE reaches a $20M FDV and 10% of investors sell in the first month:

• Total fees generated: $1,000,000

• Total distributed to eligible holders: $800,000

• Total distributed to fund treasury: $100,000

• Total distributed to Edge council: $100,000

In order to be eligible for the distribution you MUST hold at least one DXNK NFT as well as at least 400,000 $EDGE (ensures genuine participation). Your distribution share is evenly weighted based on what % of the total DXNK supply you hold and what % of the total $EDGE token you hold. Example: Assuming 15% of the total $EDGE supply is owned by DXNK holders and holders with 400,000+ tokens hold 80% of that:

• 5 DXNK NFTs + 1,000,000 $EDGE = $4,333 in month 1

• 10 DXNK NFTs + 2,000,000 $EDGE = $8,700 in month 1

Below is the estimated $EDGE funding matrix with the hypothetical FDV

**Reminder: This is JUST a hypothetical case and should NOT be assumed as an expectation. If you'd like to estimate Edge Tax fees holding a certain number of DXNK NFTs and a certain number of EDGE tokens, the formula is below.

Edge Distribution Formula

Edge Tax Disclaimer The Edge Tax pot is entirely dependent on market behavior—if no one sells, no fees are collected. This is not a profit-sharing mechanism but a penalty on premature exits, ensuring long-term alignment and deterring quick flips.

• The tax growth case is purely hypothetical, crypto is a volatile and unpredictable market.

• The tax may be changed by the council.

• Because the fee is collected only from early exits, no distribution is guaranteed—if selling activity is low, little to no fee accumulates.

• This mechanism is intended to support governance stability, and is NOT a promise of a steady revenue stream.