The locking and claiming mechanism is self-balancing, matching supply with demand through engagement
In the dVIN ecosystem, Tasting Tokens introduce an innovative way to manage the $VIN token's supply and its market dynamics. Each luxury wine bottle is preloaded with $VIN to be released with up to 12 Tasting Tokens. This unique system has several implications. Initially, the $VIN embedded within each bottle is essentially "locked" away from the general market supply until the bottle is opened. Given the nature of luxury wines, many bottles may not be opened for 10-15 years, delaying the entry of this $VIN into circulation.
Moreover, there's an anticipated behavior where a considerable number of consumers might not engage in the process of "opening" the Digital Cork to mint Tasting Tokens. This behavior could be likened to air travelers who do not claim their air miles; despite the value and potential rewards, some individuals will opt out of the process. This phenomenon means that a portion of $VIN designated for these tokens will remain unused and out of circulation.
In practice, most 750ml wine bottles are shared among 3-4 people, not 12, which is the maximum number of Tasting Tokens that can be minted per regular bottle large format bottles can mint more Tasting Tokens). Consequently, the $VIN allocated for any Tasting Tokens that are not minted will be considered as "burned" or permanently removed from circulation. This mechanism of locking up $VIN and the potential for it not to be fully utilized (or burned) effectively reduces the available supply of $VIN in the market.
These factors combined—the locking up of $VIN for extended periods, the likelihood of some $VIN never being claimed, and the burning of $VIN allocated to unclaimed Tasting Tokens—are expected to decrease the overall supply of $VIN. A reduced supply, against a backdrop of constant or increasing demand, should naturally exert inflationary pressure on the value of $VIN, making it more valuable over time. This supply management strategy is designed to benefit the dVIN ecosystem by potentially enhancing the value of $VIN for holders and participants.
Wine is inherently social, $VIN makes it even more fun and rewarding
The process of integrating physical wine consumption with the digital $VIN ecosystem is designed to enhance the wine-drinking experience while fostering genuine community engagement.
When a user opens a physical bottle from their cellar, this act is mirrored in the digital cellar by "opening" the corresponding Digital Cork. This digital action effectively burns the Digital Cork, signifying that the wine has been consumed. Currently this is an incentivized and voluntary process, but many on-bottle solutions are being developed to automate this process and make it more trusted.
In place of the Digital Cork, the user receives a Tasting Token, a digital representation that not only confirms the consumption of the wine but also carries with it an allocation of $VIN tokens. This seamless integration of physical and digital experiences enriches the act of wine tasting, transforming it into an interactive and rewarding activity within the $VIN community.
Further enhancing this experience, the platform allows the primary user, the one who opens the physical bottle and the Digital Cork, to issue Tasting Tokens to other individuals with whom they are sharing the bottle. This is done using a simple QR code, but over time will include simpler and faster technological solutions.
These Tasting Tokens, like the original, come with attached $VIN, extending the rewards and engagement to a wider circle of participants. This feature encourages social interactions around wine tasting, allowing others to partake in the digital benefits of the $VIN ecosystem.
Each Tasting Token holds the metadata of the original bottle, including details like the date, time, place, and occasion of the tasting. This adds a layer of personalization and authenticity to each token, making the wine-tasting experience more memorable and meaningful.
To ensure the integrity of this system and prevent any attempts to exploit it, sophisticated mechanisms like timers and geofencing are employed. These tools are designed to discourage users from "gaming" the system — for instance, by claiming to open bottles or issue Tasting Tokens without actual physical consumption.
The timer ensures that there is a realistic time frame between the opening of a bottle and the issuance of Tasting Tokens, reflecting a genuine tasting session. Geofencing helps verify the physical location of the tasting, ensuring that the Tasting Tokens are issued to individuals who are genuinely present and sharing the bottle.
These measures are critical in maintaining the authenticity and trust within the $VIN ecosystem, ensuring that both the Tasting Token holders and $VIN recipients have genuinely participated in the shared wine experience.