How Does the Redeem Value Go Up?

If you’re unsure what the redeem value is, please read about it here.

One thing you have to know is that a maximum of 100,000 SEED can be issued each day.

Now, let’s look at a hypothetical example for one day on one blockchain.
If Sesameseed earned 100,000 TRX in one day, and distributed 100,000 SEED, every single one of those SEED tokens could be redeemed for 1 TRX.

But what if Sesameseed earned 200,000 TRX in one day, but could only distribute the maximum amount of 100,000 SEED? That would mean every single SEED could be redeemed for 2 TRX!

More people staking to Sesameseed = more node rewards = higher redeem value for SEED.

[For the more advanced, the total TRX earned over the two days is 300,000 TRX, and only 200,000 SEED were issued. This means every SEED in existence is worth 300K/200K = 1.5 TRX. So the redeem value started at 1, and then jumped to 1.5 the next day. Every day it will fluctuate depending on amount of node rewards earned.]

So you can see that as long as {Node Rewards} is more than {SEED Distributed}, the redeem value goes up. This is what Sesameseed does every single day for all its blockchains combined! (See “How is SEED Distributed?”)

The total redeem value of SEED is designed to always be increasing over time. This means the longer you hold your SEED, the more it will be worth.