Index

Monthly INDEX Supply Reduction Program — Treasury
Category: Treasury · Tokenomics
Author: @0xdunerider Reviewers: @0xDev, @mrmadila
Date: June 10, 2025

Summary

• Beginning July  1  2025, Index Coop will reduce the total supply of INDEX by 1.00 % (100 k INDEX) each month for three months, sourced from the IC treasury.
• After the initial three‑month pilot period (July – September), core contributors will consult with the community and review the results before evaluating program extension into Q4 ’25.

---

Background

Members have asked for concrete actions demonstrating disciplined treasury management and tokenomic support. With a fixed maximum supply of 10 M INDEX, reductions to that maximum supply represent material tokenomic support.
The DAO’s long‑term plan to create value for token‑holders remains:

1. Execute our product vision — automated re‑balancing leverage products, yield‑generating smart loops, improved distribution, and relentless focus on UI/UX to drive top‑line growth.
2. Optimize DAO cost structure to improve operational efficiency.
3. Return future net operating profits to INDEX holders via governance‑driven, sustainable, programmatic mechanisms.

---

Program Details

1. Monthly INDEX Supply Reduction
   • 1.00 % of total supply (100,000 INDEX / month).
2. Source
   • INDEX stored in the IC treasury multisig.
3. Duration
   • July 1 – September 30 2025 (three consecutive monthly supply‑reduction events).
   • Post‑September, we’ll consult with the community, review the impact, and may extend for another three months.

---

Timeline

• Early June 2025: Forum announcement
• July  1  2025: First 1 % supply reduction
• August 1 2025: Second 1 % supply reduction
• September 1 2025: Third 1 % supply reduction
• End of September 2025: Community consultation and program review; decide on program extension

Voting: FOR: Approve the supply reduction program

AGAINST: Reject the supply reduction program