# Article Introduction
This comprehensive guide breaks down CHZ tokenomics through three core pillars: token allocation, inflation mechanics, and deflationary utilities. Learn how Chiliz distributes 65% to validators, 10% to community treasury, and 25% to ecosystem operations while maintaining a fixed 10.18 billion token supply. Discover the sophisticated exponential decay inflation model launching in 2024, starting at 8.80% annual rate, and how the fan token ecosystem creates natural deflation without traditional burning. Perfect for investors, validators, and Socios users seeking to understand CHZ's economic design, governance rights through PoSA delegation, and long-term sustainability mechanisms on Gate. Whether you're staking CHZ, purchasing fan tokens, or evaluating tokenomics fundamentals, this article provides essential insights into a blockchain project balancing security incentives, community participation, and controlled supply growth.