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Token Recycling

Recycling returns AET to the emission system so it can be paid out again later. When someone pays a fee to the network, most of that AET does not vanish and does not go to any individual. It flows back into the pool that funds future block rewards.

AET Recycling

How It Works​

Certain on-chain fees are recycled rather than paid out or destroyed. The largest example is the registration fee: when an Owner creates a Neuronet, or a miner registers, the fee is split three ways:

  • 90% goes to the recirculation pool, which drains gradually back into block rewards over roughly nine days. This AET is then re-emitted through the normal emission formula.
  • 5% goes to the Treasury.
  • 5% goes to the pool that pays Block Validators.

The recycled 90% is not returned to whoever paid it. It is redistributed to the network as a whole through future emission, which is what makes it recycling rather than a refund.

Recycling vs Burning​

Recycling and burning are different fates for AET, and it helps to keep them apart:

  • Recycled AET returns to the emission pool and is paid out again. The supply in circulation is unchanged over time.
  • Burned AET is destroyed and never comes back. The main case of burning is slashing a miner for fraud.

Because registration fees are recycled rather than burned, AETRON keeps its fixed supply intact instead of shrinking it. See Token Burn for what actually gets destroyed.

Effect on the Halving​

Recycling has a direct effect on the halving. The halving is triggered by total issuance, not by a date. When fees are recycled back into the unissued pool, it takes longer for issuance to reach the next threshold, so heavy recycling activity pushes the halving further out.

Why It Matters​

  • Stable supply. Recycling keeps AET inside the ecosystem instead of removing it, preserving the fixed cap.
  • Continuous circulation. Fees become future rewards rather than dead weight.
  • A moving halving. Real network activity, through recycled fees, shapes when issuance milestones are reached.
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