# Coin Mechanics

## <mark style="color:red;">Scarcity is a utility in economics. It creates demand and Demand generates $VALUE.</mark>

## How Scarcity relates on Staava EVM Chain?

Blockchains cannot do without Nodes. Nodes are the consensus life-lines of any network.&#x20;

On the **Staava EVM Chain**, node-validating creates temporal scarcity from one hand and add inflation on the other hand. On the Chain, a fixed 100,000 nanoSTAV inflation is forged per second (a fixed 100 nanoSTAV per milliseconds). These generated STAV are incentives paid or distributed to the nodes that supports the network and also to be used for tap2earn campaigns.

Hence, a day must records an average counts of 86,400 seconds on MainNET. **That is an approx. \~86.4 STAAV inflation is generated on daily bases.**

## Staava Governance wrt VsTs? <a href="#how-dapp-will-works-3" id="how-dapp-will-works-3"></a>

Any person (user) can create scarcity on Staava dApp to promote scarcity of Verified Scarcity token.

### <mark style="color:red;">**HOW SCARCITY MINT WORKs:**</mark>&#x20;

In an instance, where a user locks a Verified Scarcity Token (e.g FAAM) for a defined Ppy (Periodic-lock Per Year) and an Ed (Entry Days) of 15 Days. The user is instantly minted (rewarded) with STAV coins according to stated Ppy via the Minting formulae via the scarcity-contract.

The user’s collateral asset is splits in twain by the contract, where 25% is burnt as deflationary and 75% is locked as scarcity.

At the end of the locking period, the 75% of locked collateral asset, is return to the user intermittently or at end of Scarcity factor (unlocking period).
