# X Layer Token incentives Methodology

## 1. Overview

Token incentives is defined as the measurement of the value of native assets that are paid out to supply/demand-side users, core contributors, and/or investors. This metric is utilized to evaluate the cost of bootstrapping or maintaining network activity, serving as an analog to stock-based compensation in traditional finance. For **X Layer**, token incentives are set to zero. This constant value is maintained because no native asset distributions are currently allocated or paid out as ongoing user or validator incentives on the network.

## 2. Data sources

- **None**: This metric is set to a constant value and does not consume blockchain events

## 3. Step-by-step calculation

### Component A: Token incentives initialization

- **Purpose**: To initialize the token incentives metric for **X Layer**.
- **Logic**: The token incentives metric is hardcoded to zero for all daily intervals. This constant value is applied to reflect the absence of active native asset incentive programs on the network.
- **Key fields**: `token_incentives` (set to 0)

*This methodology was automatically generated by Token Terminal's methodology analyzer.*

Value of native tokens distributed as incentives.

Token incentives

X Layer

Token incentives

Token incentives

Chain breakdown