Changes to “Minting and burning tokens”
#43 (zoobc.how, 2026-10-26 20:39 UTC) → #131 (zoobc.how, 2026-10-26 21:37 UTC): Seed article updated
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The ZBC comes from the token's own backing, not from the issuer's balance.
+ > [!example] **Example.** A redeemable token has a supply of 1,000 tokens and 100 ZBC of backing. A holder burns 100 tokens, a tenth of the supply, and receives 10 ZBC. The token is left with 900 tokens and 90 ZBC of backing: still 0.1 ZBC per token.
− > **Example.** A redeemable token has a supply of 1,000 tokens and 100 ZBC of backing. A holder burns 100 tokens, a tenth of the supply, and receives 10 ZBC. The token is left with 900 tokens and 90 ZBC of backing: still 0.1 ZBC per token.
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Minting rounds up what the minter pays in, and burning rounds down what the burner takes out. With amounts counted in atomic units, the effect is easy to see:
+ > [!example] **Example.** A token has a supply of 3 atomic units and a backing of 10 atomic units of ZBC. Minting 1 unit costs ceil(10 ÷ 3) = 4 units of backing; burning 1 unit returns floor(10 ÷ 3) = 3.
− > **Example.** A token has a supply of 3 atomic units and a backing of 10 atomic units of ZBC. Minting 1 unit costs ceil(10 ÷ 3) = 4 units of backing; burning 1 unit returns floor(10 ÷ 3) = 3.
Either way, what remains per unit for the other holders does not fall. Paying a transfer's fee in the token follows the same direction: the units it gives up are rounded up (see [[issuing-tokens]]).
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