I’ve been seeing a lot of discontent on X/Twitter as well as in this forum in regards to @KarateCombat and its #Tokenomics, I have some perspectives I’d like to share.
I understand why many are put off by the Tokenomics at first, but I see it as a net positive long term. At the current pace, the $KARATE supply will roughly all be in circulation by April of 2026, right as we are sliding into the bear market. This means that by the next bear market bottom and subsequent bull market, the #KARATE token will be fully diluted, right as the league overtakes most all other combat sports networks (extrapolating out for the current level of accelerating number of holders, viewers, and Up-Only-Gaming players we see month on month. The growth has been exceptional).
Now, the monthly release of approximately 3.5 billion tokens will certainly dilute the supply and dampen the price some in the short term and will likely mute some of the gains we could see this cycle (but not to where we won’t still experience respectable ROIs).
However, I see this as a plus for those with long term vision, as allowing the price to stay lower right as Karate Combat is hitting the inflection point of its growth curve (which I see as having started this last year and which I believe will extend into the next cycle peak) will maintain a low barrier to entry and enable more participants to onboard with a larger number of tokens, acquired at favorable prices.
And given the amazing ability to compound one’s holdings thanks to the brilliance of Up-Only-Gaming, the low token entry point is even more desirable as the network truly gains a foothold.
In short, look at this as an opportunity to buy in at prices that, thanks to the current and aggressive Tokenomics and vesting schedule, won’t likely be seen ever again. I know I am taking every opportunity to DCA in, particularly following fight night payouts (when some sell offs naturally occur) and especially following the 12th of every month, which is the monthly release date of tokens according to the current vesting schedule.
One last note is to bear in mind where we are in the broader market cycle. We are mere months, if not weeks away from seeing the true strength of the bull market commence, and even with the monthly release of new tokens into circulation, I believe that the KARATE token will still see strong appreciation between the rapid growth of the network and the natural influx of new capital we begin to see not far from where we are presently from a cycle perspective.
Now if you’ll excuse this pirate, I’ve got some rum to drink and more KARATE to commandeer.
Cheers mates.
congratulations 