The Helium Network Token (HNT) is the native cryptocurrency and protocol token of the HeliumNetwork.
The original Helium blockchain produced the first HNT on July 29th, 2019, on block 93. There was nopre-mine of HNT before the launch of the Network. The Helium network migrated to the SolanaBlockchain on April 18, 2023.
The mint address for HNT is hntyVP6YFm1Hg25TN9WGLqM12b8TQmcknKrdu1oxWux on theSolana blockchain.
Navigate to https://explorer.helium.com/stats for up-to-date information onNetwork tokens.
HNT Usage
HNT serves the needs of the two primary parties in the Helium Ecosystem:
- Hotspot Hosts and Operators. Hosts are rewarded in network tokens like IOT orMOBILE while deploying and maintaining network coverage. These network tokens areredeemable for HNT.
- Enterprises and Developers use the Helium Network to connect devices and build IoTapplications. Data Credits, which are a $USD-pegged utility token derived from HNT,are used to pay transaction fees for wireless data transmissions on the Network.
HNT Token Economic Concepts
The Network uses three token economic concepts to ensure HNT supply is both plentiful for usageneeds and relatively scarce, with a known maximum.
Daily Net Emissions
Max Supply
The Network targeted the distribution of 5,000,000 HNT per month at launch. Following the communityapproval of HIP-20, the Network uses a two-year halving schedule, resulting in a maximum HNT supplyof 223,000,000 HNT.
| Year | Year Start | HNT at Year Start | Target HNT Emission |
|---|---|---|---|
| 1 | August 1st, 2019 | 0 | 60,000,000 |
| 2 | August 1st, 2020 | 60,000,000 | 60,000,000 |
| 3 | August 1st, 2021 | 120,000,000 | 30,000,000 |
| 4 | August 1st, 2022 | 150,000,000 | 30,000,000 |
| 5 | August 1st, 2023 | 180,000,000 | 15,000,000 |
| 6 | August 1st, 2024 | 195,000,000 | 15,000,000 |
| 7 | August 1st, 2025 | 210,000,000 | 7,500,000 |
| 8 | August 1st, 2026 | 217,500,000 | 7,500,000 |
The full token emission schedule can be viewed in the HNT section of this document: TokenEmissions as of Solana Migration.
Burn and Mint Economics
Data Credits (DC) are a $USD-pegged utility token derived from HNT and is used to payfees on the Helium Network. DC is only produced by burning HNT. This HNT to DC relationship is basedon a design commonly called a burn and mint equilibrium and intends to allow for the supplyof HNT to respond to network usage trends.
Net Emissions
As the halving schedule progresses, it is possible that the HNT minted per epoch is not sufficientlydivisible for data transfer rewards. Therefore, in order to ensure that miners are incentivized tocontinue transmitting data and ensure a healthy, robust network, the Net Emissions mechanism wasinstituted in August 2021.
Net Emissions give the protocol enough HNT for rewards in perpetuity by monitoring the number of HNTburned for DC in a given epoch and adding that to the number of HNT to mint that epoch. Because HNTproduced via Net Emissions do not add to the total outstanding, they do not violate max supply.However, to ensure that the deflationary pressure is still present, the Net Emission is capped at 1%of the epoch emission.
For instance, in February 2024, the Net Emissions cap is 1,643.83561643 HNT per epoch, and theup-to-date value can be verifiedon chain.
If less than 1,643.83561643 HNT is burned for DC within an epoch, the full amount burned will bere-minted and distributed into the subnetwork's Treasury for that epoch. However, if more than1,643.83561643 HNT is burned for DC within a single epoch, any HNT burn for DC over 1,643.83561643will be permanently burned and removed from the max supply, while 1,643.83561643 being re-minted anddistributed to the subnetwork.
Review the complete Net Emissions discussion in the HIP for more information. Note that inHIP-20, the cap was 34.24 HNT because the epoch was every 30 minutes at the time HIP-20 was written.The current epoch is only 24 hour basis, yielding a cap of 1,643.83561643 HNT.
