Merit Crypto Token Whitepaper Version 2.0 February 2026 Status: Draft – Subject to updates
TL;DR – Executive Summary
MERIT is a utility and reflection token on Base (Ethereum L2).
- Core mechanism: 2% transaction tax — 0.5% liquidity, 1% ETH dividends to holders (≥1,000 MERIT, auto-claim daily), 0.5% marketing.
- Passive rewards: No staking; ETH dividends accrue and auto-distribute.
- Max supply: 1,000,000,000 MERIT (mintable cap).
- Initial supply: 100,000 MERIT.
- Purpose: Reward long-term holding + fund real products (video games, decentralized AI compute, small AI datacenters, trading platforms, grants).
- Deployment: Base chain, Uniswap V2 (MERIT/ETH LP). Contract: 0x77776236f6fb3007f85BE6FD1C803e8E34d93C47 (18 decimals).
- Not investment advice. DYOR. No profit guarantees.
1. Introduction: What is MERIT?
MERIT has dual roles on Base:
- Reward Alignment — Automatic ETH dividends from taxes for holders ≥1,000 MERIT (passive, no staking, auto-claim daily).
- Product & Utility Alignment — Native currency for ecosystem products: payments, access, incentives, discounts. Taxes fund development of tangible projects.
Launched late January 2026. Combines reflection with product-funding treasury for sustainable growth.
2. Tokenomics & Supply
- Decimals: 18
- Initial supply: 100,000 MERIT
- Max supply cap: 1,000,000,000 MERIT (controlled minting)
- Burn: Holders can burn; LP tokens burned
- Minting: Strategic for products/grants; capped
Small start for liquidity bootstrap; minting tied to milestones.
3. Tax & Distribution
2% tax on all buys/sells/transfers:
- 0.5% → Liquidity (added to Uniswap V2 pool, LP burned)
- 1% → ETH dividends (proportional to qualifying holders, auto-claim)
- 0.5% → Marketing wallet
Swap threshold: 0.5% of pool value. Excludes contract/LP/marketing. Owner can adjust, pause, blacklist, recover tokens.
4. Contract Features
- Mintable (capped)
- Pausable
- Blacklist
- Token recovery
- Burnable
- Configurable taxes
Audits recommended (pending public release).
5. Ecosystem & Funded Products
Tax/treasury funds:
- Video games (MERIT for purchases/rewards/NFTs)
- Decentralized AI compute (pay/reward for workloads)
- Small AI datacenters (access/credits)
- Trading platforms/tools (reduced fees/premiums)
- Grants & smaller initiatives
New: Reward System Restaurants, cafes, service partners (electricians, painters, plumbers, etc.) enroll to give/claim MERIT points for visits/services. Users earn/redeem across any enrolled location — universal network, not siloed programs.
6. Value Drivers & Flywheel
- Passive ETH dividends
- Real utility from products
- Controlled supply
- Flywheel: Products → users/activity → taxes → dividends → holders → funding
On-chain transparency.
7. Risks & Disclaimers
- Volatility/low liquidity
- Execution/product risks
- Contract bugs (audit pending)
- Regulatory uncertainty
- Centralized controls
Not financial/investment advice. High risk of loss. DYOR.
8. Conclusion
MERIT delivers passive ETH rewards + product-building treasury on Base. Aims for holder rewards, ecosystem funding, real utility.
Official Links (always verify):
- Website: meritcryptotoken.com
- Contract: 0x77776236f6fb3007f85BE6FD1C803e8E34d93C47 (Base)
- Buy: Uniswap V2 (MERIT/ETH)
Version History: 1.0 (Jan 2026) → 2.0 (Feb 2026) – Expanded details. Updates ongoing.