Access Licensing: Escrow + Burn

The Kavach Protocol utilizes a high-velocity Deflationary Model to align platform usage with token scarcity.

Kavach Licensing Model

Licensing Model

A sustainable economic model that ensures the protocol scales globally without token inflation.

Escrow Holding: When an enterprise initiates a research project, their $KAV tokens are placed in a smart-contract escrow. Access is time-bound and automatically revoked once the license expires.

Consumption-Driven Burn: Tokens are burned as data is accessed and used by enterprises. This creates a direct correlation between platform utilization and token scarcity: More usage equals more burn.

Zero-Dilution Growth: The protocol scales globally without token inflation, as increased demand for longitudinal datasets naturally reduces the circulating supply.

Mechanisms

Smart Escrow

Tokens are locked for the duration of the license, removing them from circulation temporarily.

Token Burn

Active usage permanently removes tokens from supply, driving scarcity.

Organic Demand

Demand for data directly correlates with token demand, ensuring real-world value backing.