Introduction

Greetings Verse Community,

We are excited to present a bold new proposal that represents the most ambitious tokenomics transformation in Verse history.

Today, VERSE faces weakened price confidence driven by excess supply, which dilutes scarcity and long-term value.

To address this, we propose the “Verse Mega Burn” initiative, which will burn 38-42% of the total supply of VERSE from the Development Fund and Team Fund over a period of 4 years, starting with an immediate 15-17% supply reduction of VERSE between Sep–Dec 2025, subject to community approval.

This is a decisive move to restore scarcity, strengthen holder confidence, and re-energize market engagement.

Background

When VERSE launched in Dec 2022, 49% of the total VERSE supply was allocated to the Development Fund (34%) and Team Fund (15%).

To-date, the team has built a strong foundation of decentralized applications, integrations with the Bitcoin.com platform, and partner ecosystems, which simplifies the journey to explore Bitcoin and crypto for new users who are crypto curious.

This is evident in the impact that we have achieved in the last year alone: we’ve seen over 30M+ downloads from mobile app stores including web wallet accounts and tripled Monthly Active Users.

This has been achieved through prudent management of the Development Fund, with only 3.5% of which has been utilized to-date.

We believe the foundation we have established can sustain growth without further activation of the Development Fund and are proposing to burn the remaining unutilized Development Fund (68.8B VERSE) including available, claimable, and future vesting tokens. (Verse Mega Burn Proposal 1)

Further, the Team Fund was intended as a reward for members who committed their time, energy and dedication to the project. 44.4% of the Team Fund has been utilized to-date, vested and unlocking incrementally till 2029.

We are further proposing to burn the remaining unutilized Team Fund (17.4B VERSE) as a signal that we are committed to continue building the project without relying on additional team incentives. (Verse Mega Burn Proposal 2)

The Ecosystem Incentives Fund will be maintained to fuel growth.

Summary of Development Timeline (Dec 2022 to-date)

Since its inception, VERSE has served as the rewards and utility token powering the Bitcoin.com and Verse Ecosystem.

The team has built a strong foundation of decentralized applications, integrations with the Bitcoin.com platform, and partners ecosystems, which simplifies the journey to explore Bitcoin and Crypto for new users who are crypto curious.

• 2022–2023: Core infrastructure launched: Verse DEX, liquidity pools, staking, farms, over 200+ partner integrations.
• 2023–2024: Ecosystem expansion: Governance, Polygon Migration, ETH and USDC Liquid Staking, Verse Scratcher, Verse Clicker, Burn Engine, Web3 Explorer in the Bitcoin.com self-custodial wallet.
• 2024–2025: Utility expansion: Verse web3 prepaid debit card, spend VERSE on Bitcoin.com AI, Verse Merchandise, Quests and Rewards in the Bitcoin.com self-custodial wallet, community advocacy programs.

Impact

These efforts have created a stable foundation for the Bitcoin.com and Verse Ecosystem.

• Over 318K+ VERSE holders across Ethereum and Polygon https://dune.com/verse_api/verse-token-holders-all-chains
• Users can now trade permissionlessly across supported chains through an easy-to-use interface on verse.bitcoin.com and within the Bitcoin.com self-custodial wallet’s Web3 Explorer
• Users can explore self-custodial yield opportunities and earn in a decentralized way on both platforms
• New users taking their first steps into Bitcoin and crypto can use the Bitcoin.com and Verse Ecosystem as a gateway to learning about Bitcoin, crypto, and Web3
• Community members are empowered to engage, contribute, and shape the future of Verse through governance

We’ve achieved the above with prudent management of the Team Fund. To-date, 55.59% (17.49B VERSE) remains unutilized in the Team Fund. Underutilization of the Team fund affects scarcity and long-term value confidence.

Proposal: Authorize the burn of the remaining unutilized Team Fund (17.49B VERSE).

We propose to commit the remaining unutilized Team Fund of 17.49B VERSE tokens worth US$1.3M at the time of writing, to be burnt as part of the Verse Mega Burn initiative. This will result in a total VERSE supply reduction of 9% over a period of 4 years, starting with an immediate 3.9% total VERSE supply reduction between Sep–Dec 2025.

Team members receiving existing allocations via the quadratic team allocation contract and/or Sablier contracts will continue to receive their assigned allocations.

Voting Options

• YES: Commit the remaining unutilized Team Fund to be burnt
  • Total VERSE supply reduction of 9% over a period of 4 years
  • Token value destroyed: $1.3M
  • Immediate total VERSE supply reduction of 3.9% (7.6B VERSE, $570K) between Sep - Dec 2025
  • Strong message: “Team is committed beyond token incentives”
• NO: Preserve the remining unutilized Team Fund
  • No contribution to total VERSE supply reduction from Team Fund
  • No immediate scarcity narrative shift

Pros

• Signals Ultimate Team Commitment: Demonstrates that the team is dedicated to VERSE’s success beyond financial incentives.
• Strengthened Market Confidence: Removal of a large supply overhang reassures investors and holders.
• Deflationary Pressure: Supply reduction adds meaningful scarcity to VERSE.
• Alignment with Community: Team actions align directly with holder interests.

Cons & Mitigations

• Loss of Team Fund as Incentive Pool: Removing tokens reduces flexibility for direct team incentives.

  Mitigation: Team incentives to be aligned with long-term growth via ecosystem revenue, protocol fees, partnerships, and dapp development.

• Market Misinterpretation Risk: Some may see the burn as a signal that the team has no future incentive.

  Mitigation: Future incentives are maintained through existing allocations assigned to team members which will continue to unlock incrementally till 2029.

Voting Period

The voting period for this proposal will commence on 25 September 2025 and conclude on 9 October 2025. We encourage all community members to make their voices heard and actively shape the future of the Verse Ecosystem.

Discussion

To share your thoughts, suggestions, and feedback regarding the proposal, please join the conversation in the Verse Lounge, our verified community Telegram group. Visit guild.xyz/verse to connect and contribute to the dialogue.

Your involvement is crucial in determining the direction of the Verse Ecosystem. We appreciate your dedication to the Verse community and look forward to hearing from you.

Thank you for being an integral part of the Verse journey. Together, let's create something extraordinary!