[Request For Comments] Astar Evolution Phase 2

[GuiGou]

As many have pointed out, the outcome will largely depend on the token received in return, and I completely understand that, for confidential and legal reasons, the tokenomics and details of the new token cannot be disclosed yet.
The fact that this information cannot be shared at this stage likely suggests that the token has not yet been issued and may be backed by certain lagal entities (this is only my assumption).

Regarding the distribution, I believe it will mainly depend on the tokenomics of the new token.
For instance, if only 10% of the new token’s supply is allocated to the Burndrop, it wouldn’t make sense to accept 100% of the ASTR supply, but rather a portion that is equivalent in FDV.
For that reason, I think the Burndrop should have a maximum cap defined according to the tokenomics of the new token.

In my opinion, the distribution should be strictly proportional to the number of ASTR burned: a user burning 100 ASTR should receive the same proportional amount as one burning 1 million ASTR.
There should be no bonus or penalty for whales.

If the Burndrop is capped, one possible approach would be to conduct it in multiple phases, possibly with whitelists (NFT holders, long-term addresses, etc.) and a maximum limit per wallet during the early stages.
This would help reward OG community members while ensuring that everyone has a fair opportunity to participate.

One question remains: will exchanges support the Burndrop?

[MS-PY]

BurnDrop - burn ASTR to receive Tokens This is a groundbreaking proposal, but we will make a big mistake about liquidity for the new Token.

1. Burning ASTR is different from using ASTR to buy new tokens. If I burn 1000$ ASTR, then 1000$ will disappear and receive a new Token, but how will the liquidity of the Token be created? Will Astar compensate for liquidity? If we burn 1M$ or more, will we compensate millions of dollars for the new Token instead of investing in ASTR?

2. What will be the value of the new Token? If its value is lower than when burning ASTR, investors will be very disappointed. Investors only care about profits. Burning ASTR without profits will result in very few participants. To attract many investors, the new Token must have a value of x3 or more to be considered successful.

3. Instead of burning ASTR we can create a launchpad project that specializes in listing New Tokens using ASTR to buy or stake ASTR to receive points and participate in tasks to buy Tokens.

[Maarten]

Thanks, everyone, for the feedback and questions since we shared the Burndrop RFC. We’ve been reading not only the forum, but also the local Telegram groups to understand where confusion comes from, especially around what Burndrop means for ASTR.

We’re collecting every question across channels and will post a comment tomorrow with a concise summary and an FAQ to address the main points we’ve seen. If something isn’t covered yet, tell me. I’ll make sure it’s included. Drop your questions below if not already asked, or DM me if you prefer privacy.

Quick clarifications (to reduce confusion now):

• Burndrop is voluntary, participation is a choice.

• The intent is to reduce the circulating supply and strengthen scarcity around ASTR and increase its value.

• “Token(s) connected to Startale ecosystem” does not mean tokens that Startale will issue or native tokens from dApps. Startale ecosystem is a variety of blockchains that Startale contributes to.

Appreciate the energy and the push for clarity. Let’s keep the discussion constructive and focused on building the best path forward together.

[CJorgeSaez]

Thanksfor sharing this!

While I agree with several community members that it would be better to have a little more information about the new token in order to give a more accurate opinion, I fully understand the current limitations of sharing such information. However, I believe there are excellent plans behind it, since from what I understand, this new token will be directly linked to the current and future developments of the Startale ecosystem. This will undoubtedly give this new token a leading role. I think it’s excellent that both ecosystem tokens can be connected and that the community can be given access to this token through Burndrop so they can use it and enjoy its benefits within the ecosystem’s products/platforms that are primarily managed with this token. In this sense:

@Maarten

Format → Should the Burndrop be a one-time event (like the Lockdrop) or run across multiple epochs to allow wider participation?

I think multiple epochs could provide a greater opportunity to participate for those community members who didn’t hear about or weren’t able to participate in the first event.

@Maarten

• Fairness → How do we ensure both small holders and large holders feel treated fairly? Options may include pro-rata logic, caps, or tiered multipliers.
• Thresholds → Should there be a minimum burn required to qualify, and should there be an overall cap to prevent over-concentration?

I think that at this point it may not be necessary to set limits; this would give small holders access to participation and the opportunity for large holders to make larger contributions.

@Maarten

Verification → What kind of onchain proof or dashboard would you expect to verify the burn is transparent and auditable?

I think an intuitive Dashboard would be really great, to be able to visualize everything that happens in each epoch.

@Maarten

Alignment → How should the Burndrop reinforce ASTR’s evolving role?

This new token seems like it will play a main role within the ecosystem, and although it is not currently the intention to replace ASTR as the main token of the ecosystem, many holders will probably start to feel that way depending on the functions/integrations/benefits of the new token compared to those of ASTR, I think it would be important if we want to maintain the value of ASTR, to maintain exclusive functions beyond governance, of course everything will depend on the long-term strategic objectives of Startale and Astar have.

[tksarah]

Having read @Maarten latest comment, I’d like to share my own humble thoughts on the discussion points.

Format: I believe it would be better for the Burndrop to run across multiple epochs. Community participants need time to get accustomed to the process. Personally, I joined the market after the Lockdrop, so I didn’t experience it firsthand. I had hoped there would be more opportunities like that. If Burndrop also offers multiple chances to participate, I think it could help increase ASTR’s visibility, which in turn may contribute to its value.

Fairness: Regarding so-called “whales,” I’d like to focus on the strength of their engagement with Astar. Just intuitively, even if there are attractive tokens related to the Startale ecosystem, whales who hold a certain amount may be psychologically inclined to continue holding ASTR instead. Unfortunately, I haven’t come up with any good ideas to ensure fairness.

Thresholds: There may be no need to set minimum or maximum burn thresholds. Especially regarding the upper limit, considering the whale psychology mentioned above, I don’t think we need to be overly concerned.

Verification: As others have mentioned, I think it’s important that the amount burned is clearly visualized and transparent.

Alignment: Rather than simply increasing scarcity through burning, I hope this initiative can also elevate the value and significance of the Astar Network itself. For example, in the case of Soneium, there is interoperability with the Astar ecosystem. It would be ideal if various projects within the Startale ecosystem could be designed to interact with ASTR. I don’t have a concrete idea yet, so this is still abstract, but I hope Burndrop can serve as a catalyst or prompt for that kind of development.

That’s all from me.

[0xMR_IMAN]

Thank you for sharing your thoughtful insights I completely resonate with many of your points, especially about allowing time for the community to adapt and giving multiple opportunities to participate.

I also joined after the Lockdrop, and I agree that a multi-epoch Burndrop could create a sense of inclusiveness and long-term engagement. Each epoch could even have slightly adjusted parameters (like ratios or multipliers) based on community participation this would keep excitement and fairness balanced over time.

Regarding fairness and whales, I really liked your observation about “psychological holding behavior.” It’s true that large holders often value the long-term vision over short term speculation. That’s why, rather than capping their participation, maybe a tiered incentive structure could work where smaller holders receive a slightly higher multiplier on early burns, while whales still retain open participation. This could encourage both sides without penalizing anyone.

On alignment, I think you nailed the key point Burndrop shouldn’t just reduce supply; it should also reinforce Astar’s centrality within the Startale × Soneium ecosystem. If ASTR remains a governance or interoperability layer between new projects, then burning becomes more meaningful, almost like “contributing to the evolution” of the network rather than merely exchanging tokens.

Thanks again for your contribution I believe discussions like yours help shape a more balanced and thoughtful Burndrop design for everyone

[FFR23]

We also received Shiden as part of the lockdrop and the price insta dumped as a result of no vesting.

Could we also introduce an actual lockdrop option for Astar? People lock their Astar for 1 year (or more?) and receive a fraction of rewards compared to burndroppers.

I could see that being a potentially popular option

[Maarten]

Over the past days, the Burndrop RFC has sparked one of the most active discussions we’ve had in a while, across the forum, Discord, Telegram, and beyond. That’s exactly what we wanted. It shows how much our community still cares about where Astar is heading and how deeply everyone values ASTR. The purpose behind Burndrop idea is simple but bold: to strengthen the foundation of ASTR, reduce its circulating supply over time, and open new paths that bring further utility to the token. While some details remain under wraps, the intent is clear: to deepen scarcity and ensure ASTR continues to be the asset that benefits most as the ecosystem expands.

Every successful launch in this space, from runtime upgrades to ecosystem expansions, required patience and proof. Burndrop is no different. It’s about giving our community the continuous options to act with conviction when the time is right, not rushing an outcome that doesn’t last.

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Burndrop FAQ

What is the purpose of Burndrop?
Burndrop is a simple, voluntary mechanism that gives ASTR holders the opportunity to burn their tokens in exchange for future token(s) connected to the Startale ecosystem. Its core purpose is to strengthen ASTR by reducing circulating supply, deepening scarcity, and adding new utility to our token.

Why announce the Burndrop idea now, without full details?
Because timing matters more than noise. We wanted to share our idea behind the direction of Phase 2, which involves ASTR holders having the option to obtain a new token(s). While this idea has been in our minds for some time, launching any new token in the current market requires real-world value and long-term sustainability. The Foundation will never support a token event that isn’t ready to stand the hard reality of crypto markets. Considering the progression of the coordination towards Phase 2, we are confident this is the right time to start the discussion regarding the Burndrop. The RFC was posted now to invite community feedback early, before final design decisions are made.

Is this a token swap or a rebrand of ASTR?

No. Burndrop is not a forced swap, rebrand, or conversion event. ASTR remains the core asset of Astar Network, powering the network, dApp staking, governance, and ecosystem incentives. The Burndrop is a new, optional path designed to create an additional layer of value for ASTR holders to diversify or seize new opportunities..

What happens if I don’t participate?

Nothing changes because you choose not to burn your ASTR. Non-participants keep their ASTR as is to grab future opportunities. The only difference is that, as the circulating supply decreases through voluntary burns, the scarcity of ASTR increases, and this increases the value of each ASTR token. There’s no need to make a decision today, you will receive all the details regarding Burndrop when the time is right. Not only about the token(s) behind the Burndrop but also about Astar’s next direction.

What token(s) will be received through Burndrop?

Details about the specific token(s) connected to Startale’s ecosystem are not yet disclosed. This is intentional. We want to share concrete information once everything is ready and aligned. What can be said now is that “Token(s) connected to Startale ecosystem” does not mean tokens that Startale will issue or tokens from dApps. Startale ecosystem is a variety of blockchains that Startale contributes to.

How will fairness be ensured?

The Foundation is exploring mechanisms to ensure Burndrop remains accessible and fair. This includes potential participation limits, multi-round options, transparent onchain dashboards, and maybe some test events. These design elements will be finalized once all parameters are ready for public review based on feedback gathered from our community.

When will the final details be shared?

Before any action begins. The Foundation will publish a full breakdown of the token(s) with guided links to tokenomics, eligibility rules, timelines, and technical process. No burns will start until everyone has full clarity and sufficient time to decide.

Why use a burn mechanism instead of another method?

Because burning is a transparent and irreversible act of conviction. It allows the market to determine value organically while ensuring that those who believe in the long-term vision help make ASTR stronger through scarcity. Burndrop creates a clean, auditable, and voluntary link between belief and action. We do believe a safe mechanism needs to be built in so that no burning will happen until the token(s) are distributed, where users can still have the opportunity to opt out.

Is there a risk for participants?

Like any crypto event, participation comes with personal decision-making. That’s why Burndrop is voluntary. Each holder can choose based on their conviction, understanding that the Foundation’s goal is to preserve and grow the value of ASTR. That said, all information will be shared transparently to the public, and no party will be in an advantageous position over others during the course of Burndrop(s).

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What’s Next

Regarding Burndrop, this is straightforward as of now. The current RFC phase is just the first step to share our idea. Our goal is to listen, gather insights, and align expectations before moving forward. The moment this is concluded. The next stage is focused on turning this feedback into structure, finalizing the Burndrop framework, ensuring fairness, and preparing the communication flow that leads into execution.

The Foundation is accelerating work on several other fronts, a couple of examples are:

Tokenomics 3.0
We’re moving into the next evolution of ASTR’s economic model. The draft for Tokenomics 3.0 is already live on the forum, proposing a move from dynamic inflation toward a fixed maximum supply (~10.5B ASTR**)**, emission decay, and refined fee distribution.

Now that technical implementation and development are complete, we have activated Tokenomics 3.0 on Shibuya for testing, and next month on Shiden for economical testing, followed by activation on Astar mainnet later on (depending on the testing results).

RWA & JP Stock (perpetual) Market with ASTR collateral
The next pillar of Astar’s evolution is being written around real-world assets. Through a collaboration with Pyth and SoneFi, leading protocols in the Soneium ecosystem, we are preparing to expand the flow of value between the real world and onchain markets within our ecosystem.

SoneFi will introduce new ways to access real-world assets using ASTR as collateral, creating a direct link between decentralized liquidity and tangible value. This initiative will deepen the connection between our tokens, our ecosystem, and the broader financial world.

We are currently in the final stages of revealing this new integration.

Deepen The Expansion of ASTR in Protocols
Parallel to internal token & value flows, we keep building bridges by collaborating with different blockchain protocols. Bridging with other protocols diversifies utility, strengthens composability, and raises the ceiling of what Astar (and ASTR) can achieve.

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Closing

The feedback shared over the past days shows exactly why Astar remains this close to my heart. The discussions weren’t always easy, but they were real, and that’s what matters.

The Burndrop idea is not about replacing what we’ve built, it’s about reinforcing it. It’s a continuation of the same story that started with Lockdrop: giving power and choices to our community.

Every phase in Astar’s evolution has one constant, ASTR at the center. That won’t change. What’s changing is the scale of what it connects to.

Thank you to everyone who has shared feedback, asked hard questions, or challenged the idea. It helps us refine, refocus, and build better. The Foundation will continue to update this thread and interact with our community.

Stay engaged. Stay critical.

[JSan]

Hey everyone,

I’ve been following Astar since the early Plasm and Lockdrop days, and this new Burndrop RFC really brought back some memories. Back then, people locked their tokens because they believed in the project’s vision. Now it feels similar, but instead of locking, it’s about burning, and the main question everyone’s asking is what token we’ll receive in return.

From my point of view, it’s important to look at how Astar’s team (Startale), has evolved. It’s no longer just “the Astar team” but a larger blockchain company in Asia backed by Sony, Samsung, etc.. Their main products today are Astar Network, Soneium, and Startale Cloud Services for node infrastructure.

Some people think the Burndrop could be tied to a Startale token, but I personally don’t think that’s the case. It’s not common for a development lab to issue own token, and even if they did, it wouldn’t have much utility in the current ecosystem. Unless Startale reveals more products that connect everything under one token, there’s not enough visibility right now to make that idea realistic. So in my opinion, the Startale token theory doesn’t really fit with the purpose of the Burndrop.

What seems far more likely is that this initiative is connected to Soneium. The chain is already live as a L2, but as of today, Soneium still doesn’t have its own token. At the same time, Soneium Score is running, currently in Season 2 out of 9 total. This kind of long-term campaign is exactly what many projects use to build activity ahead of a token launch. We’re also seeing similar speculation with other Layer2s like Base, no token yet, but increasing attention. It feels like we’re entering a new phase where L2s with native tokens could become the next big narrative. The contribution of Astar to Soneium launch with ACS campaign could also be a reason for Soneium to allocate tokens to Astar Community via the Foundation.

Soneium fits that trend, but with something unique behind it: Sony. If Sony really plans to move parts of its ecosystem, including games, music, movies, and even electronics, onto blockchain technology, and therefore onto Soneium, then having a native token would make complete sense. It could act as a shared digital currency across Sony’s web3 ecosystem, connecting entertainment, content, and ownership under one economy.

In that context, the Burndrop could be the link between Astar and Soneium’s future token, a way for speculating holders to be part of the next phase while also reducing ASTR’s circulating supply for ASTR holders. It’s probably not a Startale token, and the Burndrop RFC aligns much more closely with Soneium’s timeline and direction, assuming a token launch could take place next year. The timing and logic both make sense and it feels like the next natural step in Astar’s story after Astar Evolution Phase 1: Soneium Expansion.

[TakaU]

Thank you to the Astar team and everyone involved for thinking seriously about increasing the value of Astar.

I feel that the direction of the Astar token may be changing.

It now seems to emphasize price appreciation through burning, rather than growth through utility and adoption.

I would like to ask for clarification on several points:

Token direction & strategy

• Has Astar shifted from a utility-driven model to a speculative one focused on price increase through burn?

• Are there other strategies for Astar’s value growth, especially those based on ecosystem or user expansion?

Sustainability & security

• Could tokens that are no longer used in the market eventually become non-tradable?

• If all stakers were to burn their tokens, how would network security be maintained?

Burn Drop design & fairness

At this stage, Burn Drop feels somewhat like a “chicken race.”

So I would like to clarify the following:

• Will key figures such as Sota, Maarten, or the Astar Foundation participate in the Burn Drop?

• If the Burn Drop happens only once, will the amount burned by the foundation be disclosed in advance?

• Will burns occur progressively during the event, or all at once after the period ends?

• For fairness, I believe the allocation of new tokens should be based on the amount burned, not on Astar’s market price at the time.

[priceylife]

This sounds logical.

If it’s true that Soneium is preparing its own native token launch, then in some ways I see that as the final nail in the coffin for $ASTR.

If after everything we’ve been through Soneium does in fact want/need a native token and that token isn’t going to be $ASTR then surely $ASTR has failed.

Yea, the community will live on or whatever, but the chance of billions of investment coming into the token to bring the marketcap back up will seem non existent.

if this is the plan, and the burndrop is a not-so-subtle life jacket with which to us a chance to jump off the sinking ship and take a punt on another token, then I suppose that’s better than nothing.

Finally — if the burndrop token is NOT a new token, then if it is worth anything it means someone/thing is giving away money for free (bc ASTR will be burned). Free valuable stuff doesn’t normal exist… so either it isn’t valuable, or whoever wants to give it away could just trade it for $ASTR instead which would create demand pressure which boosts the price. Why not this instead?

[Astarusagi]

@Maarten

Deepen The Expansion of ASTR in Protocols
Parallel to internal token & value flows, we keep building bridges by collaborating with different blockchain protocols. Bridging with other protocols diversifies utility, strengthens composability, and raises the ceiling of what Astar (and ASTR) can achieve.

I agree with reducing ASTR supply through the Burndrop. However, regarding these “different blockchain protocols” and “future token(s) connected to the Startale ecosystem,” can these protocols or tokens actually create demand for ASTR in return?

On many L1 blockchains, dApps and protocols rarely create incentives for people to hold the native coin. Most projects run their own businesses and issue their own tokens, making the native coin (such as ASTR) a bystander. This often results in the decline of the entire blockchain ecosystem, as there isn’t much cooperation between protocols and the native token.

This problem also appears on Astar and Soneium: the main things you can do with ASTR are simple lending (Sio2, Sake), liquidity mining (Arthswap, Kyo Finance), and staking (dApp staking). But with that in mind, why not just hold ETH and do the same things on Ethereum?

My point is, will these upcoming “different blockchain protocols” or “future token(s) connected to the Startale ecosystem” become just standalone projects after issuing their tokens, with no real connection to ASTR? If these protocols, dApps, or lending platforms could boost ASTR demand by—for example—allowing users who stake ASTR on their platform to receive special benefits (such as a boost multiplier: X1.2, X1.5, etc., depending on the amount staked), or by distributing a certain percentage (e.g., 20%) of protocol revenue to users who stake ASTR in the project, it would encourage people to hold ASTR in the long term.

If this is feasible, maybe the Burndrop could be adjusted to become “permanent staking,” making it impossible to withdraw staked ASTR after participation. This would effectively reduce ASTR supply and, at the same time, let users receive additional benefits from the protocol and distribution of new tokens. Such a model would strongly incentivize holding and active participation in Burndrop, while also maintaining healthy long-term market expectations for ASTR.

[Maarten]

@TakaU

Token direction & strategy

• Are there other strategies for Astar’s value growth, especially those based on ecosystem or user expansion?

Astar value growth we have explored can be found in our blogs. One is related to our expansion to Soneium and later towards the Superchain. This is where ASTR tapped into the Ethereum L2 users.

Over 312M ASTR has been bridged with over 200k holders. Those are new holders outside our L1 holders. More information can be found here: Soneium Network token details | Blockscout

@TakaU

Sustainability & security

• If all stakers were to burn their tokens, how would network security be maintained?

Network security will never be at any risk. Users are staking in our native staking mechanism dApp Staking where dApp Staking is not linked to our consensus. This one is secured by whitelisted and bonded collators.

@TakaU

Will key figures such as Sota, Maarten, or the Astar Foundation participate in the Burn Drop?

Astar Foundation will not participate in the Burndrop.
I can’t speak for other individuals. My wallets are already identified so my actions can easily be tracked onchain.

[ERC20s]

The main concern I have is the global tax implications..
IMO an airdrop or a complete rebrand is better..

[Maarten]

@ERC20s

The main concern I have is the global tax implications..

I personally don’t think thats an issue. If everyone is paying taxes as they should, this burndrop can be recognized as a swap from an accounting perspective. This was also the legal review of this RFC when we asked our council.

[ERC20s]

Some people got their ASTR for “free” via the lockdrop..
So now having to swap to another token could count as a financial transaction..
Which would be 100% profit in ASTR..

Technically you’re selling something which has a $ value..

• the interest earned.. People could get rekt

The value of startale would need to be $0 on the day of deposit to satisfy most countries..
Or maybe if you always have the option to swap back for the equal amount of ASTR then it could be less of an investment and more of a deposit/withdraw..

I think in Japan all token transactions are taxable events… So yeah… would probably be a huge loss for sota if he’s been holding since the lockdrop and declaring these kinda things

[FFR23]

Why not set it up the same as AAVE - but we permanently lock our Astar as collateral and receive these new tokens as a loan in return.

[PolkaWarrior]

I understand the intended goal of the Burndrop — to enhance scarcity and strengthen long-term value.
However, I see a twofold dynamic: while the burn may reduce ASTR supply and create short-term scarcity, the introduction of a new token (or tokens) introduces potential value migration.
If those new assets prove more attractive in terms of utility, liquidity, or governance rights, we could see a cannibalization effect, where value and demand shift away from ASTR over time.

As a rational holder, I would only consider burning ASTR if the expected future return of the new token(s) clearly outweighs the opportunity cost of holding ASTR itself.

In my view, deflationary mechanisms like burns are positive signals — but they don’t guarantee sustainable value appreciation. Long-term value depends primarily on growing demand, real adoption, and ecosystem utility, not only on reduced supply.

Therefore, I’d suggest that before finalizing this proposal, the team should present economic modeling that simulates several burn and demand scenarios, and outlines how ASTR will remain economically relevant within the Startale ecosystem post-burn.