Zero Knowledge Proof (ZKP) has officially entered Stage 2 of its presale auction, reducing the daily token distribution to 190 million units. This change reflects a predefined adjustment in the project’s auction mechanics rather than a discretionary update or promotional initiative.
During the initial phase, the auction distributed up to 200 million tokens per day, establishing an early price discovery environment with relatively higher availability. The transition to Stage 2 permanently lowers daily issuance, narrowing the amount of ZKP available within each 24-hour auction window.
This adjustment represents the first scheduled reduction in daily supply under the project’s multi-stage distribution model. For observers tracking the auction’s progression, the move signals a shift from the initial participation phase toward a more constrained issuance schedule.
Supply Dynamics and Auction Mechanics in Stage 2
The ZKP auction operates on a daily reset structure. Every 24 hours, a fixed quantity of tokens is made available, with allocation determined proportionally based on total contributions during that period. Under Stage 2, the daily cap is set at 190 million tokens, representing a 5% reduction from Stage 1.
This reduction increases sensitivity to demand within each auction cycle. With fewer tokens available, the clearing price may respond more directly to participation levels. Importantly, any tokens not allocated during a given day are permanently removed from circulation rather than carried forward, reinforcing a deflationary supply mechanism over time.
Unlike models that retain unsold inventory in treasury reserves, ZKP’s approach removes excess supply immediately. This design limits future overhang and ensures that daily issuance strictly follows the published schedule without discretionary intervention.
Role of Proof Pods in the ZKP Ecosystem
Alongside the auction mechanism, ZKP incorporates Proof Pods as part of its operational framework. Proof Pods are hardware-based units that perform verifiable computation tasks for the network, such as proof generation and validation.
Rewards generated through Proof Pods are calculated using the prior day’s auction settlement price. This links operational participation directly to the auction’s pricing environment rather than relying on static reward assumptions. Pod operators earn tokens based on measurable network contribution rather than passive holding.
The system includes a tiered structure, allowing participants to increase capacity through software-based upgrades. Upgrade costs are fixed, with corresponding token allocations designed to align incentives between network support and token participation.
This dual structure—auction-based distribution combined with activity-based rewards—is intended to balance access, participation, and long-term network support.
Referral Structure and Participation Incentives
ZKP also includes a referral mechanism designed to encourage broader participation in the auction. The structure allocates a portion of contribution value between the referrer and the new participant, distributing incentives directly through the protocol rather than external marketing programs.
This mechanism is uncapped and operates automatically, without tiered qualifications or centralized approval. By design, it shifts user acquisition toward community-driven participation rather than paid promotion. The intent is to support steady inflows over time while maintaining transparency in how incentives are distributed.
As daily supply decreases through later stages, referral-driven participation may play a larger role in shaping auction dynamics. However, allocation remains governed solely by daily contribution ratios and fixed issuance limits.
Summary
The transition to Stage 2 marks a scheduled evolution in ZKP’s presale auction rather than a change in strategy. The reduction to 190 million tokens per day reflects the project’s predefined supply curve and introduces a more constrained issuance environment compared to the initial phase.
For participants and analysts, this stage highlights how ZKP’s auction model prioritizes predictable mechanics, transparent allocation, and gradual supply tightening. Combined with operational components such as Proof Pods and on-chain incentives, the structure emphasizes measured participation over accelerated distribution.
As additional stages roll out, daily availability will continue to adjust according to the published schedule, reinforcing the importance of timing, participation levels, and network activity within the auction framework.
Explore Zero Knowledge Proof
- Website: https://zkp.com/
- Buy: https://buy.zkp.com/
- X: https://x.com/ZKPofficial
- Telegram: https://t.me/ZKPofficial
This article contains information about a cryptocurrency presale. Crypto Economy is not associated with the project. As with any initiative within the crypto ecosystem, we encourage users to do their own research before participating, carefully considering both the potential and the risks involved. This content is for informational purposes only and does not constitute investment advice.
