> For the complete documentation index, see [llms.txt](https://doc.datagram.network/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://doc.datagram.network/documentation/whitepaper/6.-datagram-rewards-and-emissions-model/6.2.-emissions-formula.md).

# 6.2. Emissions Formula

As more tokens enter circulation, emissions gradually decrease, creating a deflationary effect.\\

\
The rewards system follows a daily emissions model based on the following formula:

1. **Latent Supply =** Maximum Supply - Current Total Supply
2. **Daily Emissions =** Latent Supply x 0.125%

For example, if the Maximum Supply is 10,000,000,000 tokens and the Current Total Supply is 5,750,000,000, the&#x20;Latent Supply would be 4,250,000,000 tokens. Applying the emissions rate:\\

\
Daily Emission = 4,250,000,000 × 0.125% = 5,312,500 tokens per day.

As more tokens enter circulation, the latent supply decreases, which in turn reduces daily emissions. This&#x20;deflationary model ensures that as more tokens enter circulation, the daily emissions decline, reducing&#x20;inflationary pressure over time
