MoonbeamPrice

(GLMR)

Moonbeam is an Ethereum-compatible smart contract parachain on the Polkadot network. It enables developers to deploy existing Solidity smart contracts and decentralized applications (DApps) with minimal modifications. This integration allows DApps built on Moonbeam to gain access to the broader Polkadot multi-chain architecture and its shared security model. Essentially, Moonbeam bridges the gap between Ethereum's developer tools and Polkadot's advanced multi-chain capabilities.

Moonriver (MOVR) is Moonbeam’s sister network, operating on Kusama, Polkadot's canary network. It functions as an incentivized testing environment where new code, features, and updates are first deployed and rigorously tested under real economic conditions before they are introduced to Moonbeam. While both offer EVM compatibility, Moonriver serves as a proving ground. Moonbeam is the main network on Polkadot, designed for stable, production-ready deployments. A key difference also lies in their token supplies, with MOVR having a much smaller supply (10 million) compared to GLMR (over 1 billion).

As of March 2025, specifically at Block #10002956, Moonbeam implemented a crucial update to its tokenomics model. The primary change was the transition to a 100% fee burn model. Previously, only 80% of network transaction fees were burned. This increase means that all transaction fees collected on the network are now permanently removed from circulation. This adjustment is strategically designed to exert higher deflationary pressure on the GLMR token supply as network activity and usage grow over time.

GLMR is inherently inflationary, with a programmed target inflation rate of 5% per year. This inflation is primarily allocated to ensure network security and to fund the acquisition of future parachain slots on the Polkadot Relay Chain, as well as rewarding stakers and collators. However, the network’s 100% fee burn model acts as a significant counter-force to this inflation. If network usage is sufficiently high and transaction fees generated exceed the newly minted tokens from inflation, GLMR can experience periods of net deflation, where more tokens are burned than created.

The network-wide minimum amount required to stake GLMR is 50 GLMR. It's important to note that while this is the protocol's minimum, individual collators may set their own higher minimum thresholds to accept delegations and include delegators in their active set of earners. Therefore, users should check the specific requirements of their chosen collator before attempting to stake. Staking allows participants to contribute to network security and earn rewards.

XC-20 tokens are a distinctive token standard native to Moonbeam, designed to bridge different token standards within the Polkadot ecosystem. They enable "Substrate-native" tokens from other parachains on Polkadot, such as DOT, to be represented and function seamlessly as ERC-20 tokens on Moonbeam. For instance, when DOT is moved to Moonbeam, it becomes xcDOT. This allows users and developers to interact with these cross-chain assets using familiar Ethereum developer tools and wallets, integrating them into Moonbeam’s Solidity-compatible smart contracts and decentralized applications.