Sentinel Coin (DVPN)

Sentinel Coin (DVPN) Update: Freezing, Burning, Bridges, Buybacks and Hardcaps

The Foundation, DAO, and community are all determined to make 2025 Sentinel's "year of revenue," crafting strategic initiatives to bolster both the coin and broader on-chain economy.

Sentinel Independent News

27 Mar 2025 — 6 min read

The Sentinel Foundation, Growth DAO, and community have all been actively engaged in making strategic improvements to the blockchain's native digital asset since the start of the new year—a year in which revenue has been designated as the foremost focus.

Initiatives to strengthen the Sentinel Coin and the broader on-chain economy have been all the rage since January. Several governance proposals targeting aspects of the coin such as maximum supply and inflation have already passed; and the core team has made many announcements regarding revenue and pumping up DVPN trading volume.

In the past week, two new major developments have taken place in this area. In this article, we'll summarize both of them for you, round up other tweaks to the Sentinel Coin which have taken place so far this year, and also lay out some of the other planned changes coming in the near future.

Freeze & B.U.R.N.

The DAO's sprawling new tokenomics manifesto.

Freeze & B.U.R.N. (buyback, utilise, restake, nodes), the massive overhaul of the Sentinel Coin's fundamentals drafted by Sentinel Growth DAO founder Seventh, is now open for review and discussion on the project's Common forum.

Freeze & B.U.R.N. - Read on Common

Overview

The draft proposal is not yet finalized, and is awaiting feedback from the community and core contributors. However, the measures suggested by the draft have proven uncontroversial with the community (who were consulted on its content while it was being compiled) and there have been sparse suggestions for tweaks with only a few days remaining before coinholders will begin voting.

The Freeze & B.U.R.N. initiative focuses on revising many fundamentals of the chain's native asset to generate buy pressure, reduce the coin's circulating supply, capture more revenue from the dVPN network's 10,000+ daily users, and create an overall more dynamic economy for the ecosystem.

Once finalized, aspects of the initiative could be split into separate governance proposals for the actual voting process.

More details about the mechanics of the Sentinel Coin are available on the project's documentation website.

Draft Details

Some measures included in the initiative include:

A cap on monthly data for free dVPN users.
A buyback program which would remove billions of coins from active circulation.
A slight increase in subscription plan prices.
Plans for NFT-based dVPN subscription passes with other bonuses.
Requiring deposits to deploy dVPN nodes.
Node earnings based on bandwidth provision, including bonuses for service quality.

We highly recommend reading the original proposal on Common (linked at the start of the article), as a bullet point summary can never sufficiently encapsulate the breadth of what the initiative is trying to accomplish.

Community Burn Initiative

Sentinel diehards and developers take action.

In addition to the DAO's proposal draft, some other major coin-related news dropped this week—this time from the community. Several prominent members of the Telegram community teamed up with MathNodes to set up a voluntary burn mechanism for the chain.

🔥

Burn Wallet Address
sent1qqqqqqqqqqqqqqqqqqqqqqqqqqqqqqqqgckxrj

The action was the result of a surge in discussions about the fundamentals of the Sentinel Coin since the start of the new year, which have included many calls for burn mechanisms and other deflationary measures to create more demand for the asset and draw in new investors.

A "null" DVPN address with no corresponding private key (and therefore no owner) was created by Meile dVPN lead developer freQniK using a Python script. Assets sent to the address will be permanently frozen and irretrievable by anyone.

import bech32

prefix = "sent"
data_length = 32  # payload
data = [0] * data_length
null_address = bech32.bech32_encode(prefix, data)  
print(f"Null address: {null_address}")

freQnik posted the script used to create the address for the sake of transparency.

Over 20,000 DVPN have been sent to the address already—a small amount in dollars or euros, but every single coin deposited is one which will never be in circulation again. The wallet's creators hope it can be put to use by on-chain entities like dVPN applications and validators for promotional burns.

A core community member and DVPN whale called Peter Henry has already committed to sending a sum to the address periodically. Other holders have also pitched in or even committed to make periodic deposits.

Other Coin Changes

What's been going on, and what is coming next.

Recent

Hardcap: Proposal 62, which was passed last month, necessitates an impossible 99% supermajority for any future attempts to raise the maximum supply of DVPN via governance. The maximum supply for the asset was specified as 48 billion in the 2021 mainnet whitepaper, but never hardcoded due to technical restrictions.
Inflation Reduction: Proposal 55, which was passed in late January, sliced the Sentinel Coin's maximum inflation down to 10% (from 15%). Likewise, the minimum rate was dropped from 12% to 7%.

Upcoming

Sentinel Scout & cVPN: The team has expressed confidence that the launch of Sentinel Scout and the onboarding of a prominent cVPN (which has yet to be publicly named) will catapult Sentinel to the top ten in active users and top twenty in gross revenue among DePIN blockchains.
Axelar Bridge: The Sentinel Foundation is working on establishing a bridge to the Axelar blockchain. This bridge, once completed on both ends, would provide a thoroughfare for DVPN DEX listings in the Ethereum and Solana Ecosystems.
Buybacks: The Foundation has also announced that they'll be initiating a coin buyback program using the profits made from markups on fiat customers in the Sentinel Shield and Cosmo dVPN applications. These buybacks will encompass both DVPN and ATOM.
CEXs: The team plans to approach centralized exchanges; but this is contingent on many factors such as development progress and DVPN trading volume after the aforementioned DEX listings.