The $DAG Token
Technically speaking $DAG is the financial state channel of the Constellation Network. It allows the seamless exchange and interaction between the various state channels and nodes that make up the network. $DAG binds the components of the network together and enables them to relate to each other.
1 Token. 2 Purposes.
While $BTC does not provide a utility besides a store of value, $DAG provides a second functional value as is tokenized throughput or bandwidth in the Constellation network. At the same time, basic rate-limited functionality will remain free, allowing users to send single transactions for one-off P2P payments. For any serious data processing or data exchange process more throughput is needed. This is acquired through $DAG micropayments or by contributing resources as a node operator to the network.
$DAG allows the attribution of value to data. It does not matter if it’s a single package of data or an entire data stream that is traded in real-time on an event basis– $DAG enables the decentralized data marketplace for the data economy.
It enables data-preneurship as individual and corporate users can securely and compliantly monetize on their data.
The Function of $DAG
USE CASE
As illustrated in the diagram above, the Constellation network is composed of $DAG nodes, state channel nodes, and ‘hybrid’ nodes – nodes performing consensus for multiple state channels and $DAG. Each state channel can ‘license’ or share its data to accounts, either by granting access rights via payment in $DAG or via a throughput allowance for validating data as a node operator (sole state channel node or hybrid). Hybrid nodes allow for direct license exchange via atomic commits from hybrid nodes.
OUTPUT
It is important to understand that in contrast to classical Blockchain solutions, the Constellation network architecture is based on the idea of microservices. That means that as the network adoption grows, different types of application specific or task specific hybrid nodes are foreseeable. Hybrid nodes ultimately will allow for cross-chain liquidity while $DAG is the financial aspects that ties all types of state channels, data or currencies together.
The Numbers
4B $DAG tokens have been initially minted.
Due to a commitment to more decentralization the Constellation Founders opted to burn 288m $DAG tokens.
| Token | Total Supply | Circ. Supply | MarketCap | Price |
| $DAG | 4,000,000,000 | 1,095,398,230 | 3,440,802 | 0.0031 |
| 3,712,000,000 | ||||
| *288m tokens burnt |
| Purpose | Address | Current Amount* | Remarks |
| Validator | 0x0EeF872B21cf4cfF3d793731CaEE6512211458F4 | 1,600,000,000 | 10 years from Mainnet start |
| Community | 0xf38dDe18b63406a5815d1584334b68BafAbB696F | 66,859,000 | Distributed when needed |
| Advisors & Partners* | 0x4231F1557bc0ad3D810E45AC35fBb3287FF2Cb53 | 114,474,965 | Vesting until June 1 2020 |
| Private Sale* | 0x6120eF25715232Ed048eA8e59103a87ae95839bA | 355,889,807 | Vesting until June 1 2020 |
| Foundation | 0x786bde4504f9ea2Df104f593f056CD6e1A11C20a | 32,526,146 | Illiquid |
| Foundation | 0x103B0055475A758a2b1A232aA734A4Ae0D776b06 | 501,607,623 | Illiquid |
| Burnt | 0x0704201907042019070420190704201907042019 | 288,000,000 | Taken out of supply. Illiquid. |
*Amounts change due to vesting
| Purpose | Amount | New % | Old % |
| Private Sales | 730,124,83 | 19.67 | 18.25 |
| Foundation | 764,810,165 | 20.60 | 19.12 |
| Advisors & Partners | 537,065,000 | 14.47 | 13.43 |
| Validator | 1,600,000,000 | 43.10 | 40.00 |
| Community | 80,000,000 | 2.16 | 2.00 |
| 3,712,000,000 | 100.00 | ||
| Burn | 288,000,000 | 7.2 | |
| 4,000,000,000 | 100.00 |
