Governance Parameters
Monolythium exposes key economic and consensus parameters that can be adjusted through on-chain governance proposals. This guide documents the adjustable parameters, their current values, and the governance process for changing them.
Parameter Overview
| Parameter | Current Value | Adjustable Via |
|---|---|---|
| Inflation rate | 8% annually | Governance proposal |
| Validator burn deposit | 100,000 LYTH | Governance proposal |
| Active validator set size | 53 | Governance proposal |
| Slashing (downtime) | 0.01% | Governance proposal |
| Slashing (double-sign) | 5% | Governance proposal |
| Fee burn ratio | 90% | Chain upgrade only |
| Unbonding period | 3 days | Governance proposal |
Inflation Rate
Current Model
Monolythium uses a fixed inflation rate from genesis: 8% annually.
Annual Mint = Total Supply × 0.08
Daily Mint ≈ 112,658 LYTH (at 514M supply)
Per-Block Mint ≈ 2.61 LYTH (at 2s blocks)
Unlike milestone-based or bonded-ratio-targeting models, Monolythium's inflation is simple and predictable. Validators and delegators know exactly what to expect.
Governance Adjustment
The inflation rate can be changed through a standard governance proposal:
- Submit a
ParameterChangeProposaltargeting themintmodule - 14-day voting period with 33.4% quorum
- 50% approval threshold
- Change takes effect after the proposal passes
# Query current inflation
monod query mint inflation
# Query mint parameters
monod query mint params
Validator Burn Deposit
Current Value
Validators must permanently burn 100,000 LYTH to register. This is enforced by an ante handler decorator in the x/mono module.
Purpose
- Sybil resistance: Economic commitment prevents spam validators
- Network alignment: Permanent burn demonstrates long-term commitment
- Security baseline: Ensures minimum economic stake at risk
Governance Adjustment
The burn deposit amount is a governance-adjustable parameter in x/mono:
# Query current burn requirement
monod query mono params
Active Validator Set
Current Value
53 active validators (a prime number, chosen to resist coalition formation).
Why 53?
- Prime numbers cannot be evenly divided into subgroups
- Balances decentralization with consensus performance
- Maintains sub-3-second finality
Fee Burn Ratio
Current Value
90% of transaction fees are burned; 10% goes to the block proposer.
Not Governance-Adjustable
The fee burn ratio is hardcoded and requires a chain upgrade to modify. This ensures the deflationary mechanism cannot be weakened through governance alone.
Slashing Parameters
| Violation | Slash | Jail Duration | Adjustable |
|---|---|---|---|
| Downtime | 0.01% | 10 minutes | Yes (governance) |
| Double-signing | 5% | Permanent | Yes (governance) |
Parameter Queries
All Module Parameters
# Mint module (inflation)
monod query mint params
# Staking module (unbonding, validators)
monod query staking params
# Slashing module
monod query slashing params
# Mono module (burn deposit, fee split)
monod query mono params
# Distribution module
monod query distribution params
Submitting a Parameter Change
monod tx gov submit-proposal param-change proposal.json \
--from <your-key> \
--chain-id <chain-id>
See Governance for the full proposal process.
Module Architecture
Monolythium extends the Cosmos SDK with three custom modules:
| Module | Purpose |
|---|---|
x/burn | Token burning mechanics |
x/devfund | Development fund allocation (10% of block rewards) |
x/mono | Fee interception (90/10 split), validator burn deposit enforcement |
The x/mono module's BeginBlocker intercepts transaction fees each block, burns 90%, and routes 10% directly to the block proposer.
FAQ
Can any parameter be changed?
Most economic parameters are governance-adjustable. The fee burn ratio (90/10) requires a chain upgrade, providing stronger guarantees about Monolythium's deflationary design.
How long does a parameter change take?
14-day voting period after proposal submission. Changes take effect immediately upon passing.
Who can submit proposals?
Any LYTH holder who meets the minimum deposit requirement.
Are there any safeguards against harmful changes?
Yes. The 33.4% quorum and 50% threshold ensure broad consensus. Additionally, the Timelock governance system adds a minimum 1-day delay before execution.
Related
- Tokenomics - Economic model overview
- Fee Model - Detailed fee mechanics
- Governance - How governance works
- Validator Registration - Burn deposit requirement