Units

Units are the building blocks of a Community Funded Account (CFA) in the Radxu protocol. Here are some key things to know about units:

  • The more units you own, the more distribution you receive from your CFA. However, owning more units also increases your maintenance costs.

  • The protocol has an active cap of units. Once a user reaches this cap, any additional units they acquire become "inactive" units.

  • Active units are the ones that count towards CFA distribution and fees.

  • Inactive units are kept in reserve until the next halving epoch, at which point they will automatically convert to active units. This ensures that users don't lose out on distribution when the halving occurs.

  • To maintain the same distribution after a halving, a user should aim to have the same number of inactive units as active units before the halving occurs.

In summary, units are an essential component of the Radxu protocol's tokenomics. By understanding the distribution and costs associated with different unit levels, users can make informed decisions about how many units to own and how to maximize their CFA's potential.

To explore this product further, visit https://app.radxu.org/cfa.

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