SaucerSwap's native token is $SAUCE: a transferable representation of attributed utility functions; namely, liquidity, staking, and governance, specified in the code. It is therefore designed to be a utility token essential to the protocol. 200 million SAUCE tokens were minted at genesis, while the remaining 800 million will be brought into circulation according to the release schedule.
The total supply of SAUCE is hard-capped and will not exceed 1 billion tokens. Furthermore, SaucerSwap will not utilize a burn-and-mint equilibrium (BME) model.
Newly minted SAUCE serves a liquidity mining incentive, used to offset impermanent loss and bootstrap liquidity on the protocol.
Furthermore, the token will play an integral role in single-sided staking and Community Pools. Users can stake SAUCE in a contract to receive a percentage of swap fees, HBAR native staking rewards, and farm emissions. By staking SAUCE, a user immediately receives xSAUCE tokens as receipt of the liquidity they provided, which they can then stake in Community Pools to compound yield.
SaucerSwap is structured as a DAO, where the community can create and vote on proposals to steer protocol development. This governance framework leverages a Hedera Consensus Service (HCS)-based ballot & voting architecture. Votes will be proportional to the amount of SAUCE in a user's account, where 1 SAUCE token = 1 vote.