OCS Tokenomics: Securing Policy Enforcement

The OCS Token and the Cryptoeconomic Guarantee of Policy

1. The Three Pillars of OCS Token Utility

The OCS Token is not an equity token; it is a utility primitive designed to secure the protocol and enforce user policy.

Gas for Policy Execution

Used to pay for L2 transaction execution. Gas fees are higher for transactions requiring complex PGTAIL checks, acting as an anti-spam barrier.

Sequencer Staking & Slashing

Mandatory staking by Sequencers ensures their financial alignment with user security. This is the core mechanism guaranteeing PGTAIL obedience.

Decentralized Governance

Token holders vote on network upgrades, fee structures, and the approval of new, global Policy Template Standards.

2. The PGTAIL Policy Guarantee

The primary function of the OCS Token is to eliminate the Malicious Sequencer threat by making dishonesty cryptoeconomically unprofitable.

How Slashing Enforces Policy

If an OCS Sequencer includes a transaction that violates a user's **Smart Account Policy** (e.g., sends funds to a non-whitelisted address), that violation is provable to the L1 settlement layer. The Sequencer's staked OCS Tokens are immediately **slashed (burned)**, providing a direct financial deterrent against policy corruption.

3. Monetization and Sustainability

The OCS Network utilizes a dual-fee structure to reward Sequencers and fund the proprietary off-chain intelligence layer (the PGTAIL Engine).

Fee TypeDescriptionProtocol Purpose
L2 Transaction GasStandard fee for transaction execution and L1 data submission.Rewards honest Sequencers for network operation.
Policy Intelligence FeeA small premium service fee for using real-time behavioral analysis and fraud scoring.Funds development and maintenance of the proprietary PGTAIL Engine (.NET 8).