Wiki / DRUG Token Guide

💎 DRUG Governance Token Complete Guide

Advanced ⏱️ 18-22 minutes Optional Updated: November 2025

Complete guide to DRUG Token - the first darknet marketplace governance token. Learn about token economics, fee discounts, vendor verification staking, governance voting, how to acquire tokens, and maximize benefits.

📋 Table of Contents

💎 What is DRUG Token?

DRUG is the native governance and utility token of DrugHub Market - the first darknet marketplace to implement a token-based economic model.

🌟 Innovation in Darknet Markets

DRUG Token represents a paradigm shift in darknet marketplace economics. Unlike traditional markets where operators take fees without community input, DRUG holders have direct governance power and economic benefits.

Key Features

💰 Fee Discounts

Hold DRUG tokens to receive 5-15% discount on marketplace fees

🏪 Vendor Staking

Vendors stake DRUG tokens for verification badges and reputation

🗳️ Governance Voting

Vote on marketplace policy changes, fee structures, and features

📈 Value Appreciation

Limited supply + growing demand = potential price appreciation

Why DRUG Token Exists

  • Community Ownership: Give users stake in marketplace success
  • Decentralized Governance: Reduce centralized admin control
  • Long-Term Alignment: Incentivize good behavior (vendors, buyers)
  • Economic Utility: Real value beyond speculation
  • Exit Scam Prevention: Admins holding tokens means they profit from market success, not exit scams

Technical Details

  • Blockchain: Ethereum (ERC-20 standard)
  • Ticker: DRUG
  • Total Supply: 10,000,000 DRUG (fixed, no inflation)
  • Decimals: 18
  • Contract: 0x[verified on Etherscan]
  • Launch Date: September 2023

📊 Tokenomics & Supply Distribution

Total Supply: 10,000,000 DRUG (Fixed)

Supply Distribution

40% - Community Rewards (4,000,000 DRUG) 40%
  • Vendor loyalty rewards
  • Buyer purchase rewards
  • Liquidity mining incentives
  • Vested over 5 years
30% - Public Sale & Liquidity (3,000,000 DRUG) 30%
  • Initial DEX offering (2,000,000)
  • Uniswap liquidity pool (1,000,000)
  • Publicly available since launch
20% - Team & Development (2,000,000 DRUG) 20%
  • Core team allocation
  • 4-year vesting with 1-year cliff
  • Aligned with long-term success
10% - Marketing & Partnerships (1,000,000 DRUG) 10%
  • Influencer campaigns
  • Exchange listings
  • Partnership incentives

Deflationary Mechanics

DRUG token implements several deflationary mechanisms to create scarcity:

🔥 Token Burns

Quarterly Burns: 10% of marketplace revenue used to buy back and burn DRUG tokens

  • Q4 2024: 12,500 DRUG burned ($38,000 buyback)
  • Q1 2025: 18,200 DRUG burned ($62,000 buyback)
  • Total Burned to Date: 87,300 DRUG (0.87% of supply)

🔒 Staking Lock-up

Currently Staked: 2,400,000 DRUG (24% of supply locked)

  • Vendor verification: 1,800,000 DRUG staked
  • Fee discount staking: 600,000 DRUG staked
  • Reduces circulating supply

💧 Liquidity Lock

Locked Liquidity: 1,000,000 DRUG in Uniswap LP (locked 4 years)

  • Prevents rug pull
  • Ensures price stability
  • Lock expires: September 2027

Circulating Supply Breakdown

  • Total Supply: 10,000,000 DRUG
  • Burned: -87,300 DRUG
  • Staked (Locked): -2,400,000 DRUG
  • Team Vesting (Locked): -1,200,000 DRUG
  • Liquidity Locked: -1,000,000 DRUG
  • Circulating Supply: ~5,312,700 DRUG (53%)

🎁 Token Benefits & Use Cases

For Buyers

💰 Fee Discounts (5-15%)

Hold DRUG tokens in your DrugHub account wallet to receive automatic fee discounts:

DRUG Balance Discount Annual Savings*
0 DRUG 0% $0
100+ DRUG 5% $125
500+ DRUG 10% $250
1,000+ DRUG 15% $375

*Based on $5,000 annual purchase volume (typical active buyer)

🗳️ Governance Voting Rights

1 DRUG = 1 vote on:

  • Fee structure changes
  • New feature implementations
  • Dispute resolution policy updates
  • Vendor verification requirements
  • Token burn schedules

🎯 Priority Support

Hold 500+ DRUG to receive:

  • Priority dispute resolution (24h response)
  • Dedicated support channel
  • Early access to new features
  • Beta testing invitations

For Vendors

🏅 Verification Badges (Staking Required)

Badge Level DRUG Required Benefits
Bronze 500 DRUG Bronze badge, 3% fee discount
Silver 2,000 DRUG Silver badge, 5% fee discount, priority listing
Gold 5,000 DRUG Gold badge, 8% fee discount, featured vendor

Staked tokens are locked but can be withdrawn (losing badge status)

📈 Revenue Increase from Badges

Vendor data shows badge holders earn 40-60% more revenue due to:

  • Increased buyer trust (badge = commitment)
  • Priority placement in search results
  • Featured vendor sections
  • Lower fees = competitive pricing

ROI: Most vendors recover staking cost within 2-3 months from increased sales

💸 Fee Discount System Explained

How It Works

  1. Acquire DRUG Tokens: Buy on Uniswap or earn through marketplace rewards
  2. Deposit to DrugHub Wallet: Send to your unique deposit address
  3. Automatic Discount: System detects balance and applies discount
  4. Maintain Balance: Keep minimum balance for ongoing discounts
  5. Withdraw Anytime: Tokens remain yours, withdraw whenever (lose discount)

Discount Calculation Example

Scenario: $1,000 Order Without DRUG

  • Order Total: $1,000
  • Vendor Fee (5%): -$50
  • Vendor Receives: $950

Scenario: $1,000 Order With 1,000 DRUG (15% Discount)

  • Order Total: $1,000
  • Standard Fee (5%): $50
  • DRUG Discount (15%): -$7.50
  • Final Fee: -$42.50
  • Vendor Receives: $957.50 (+$7.50 more)

Annual Savings (High-Volume Vendor)

  • Monthly Sales: $50,000
  • Annual Sales: $600,000
  • Standard Fees (5%): $30,000
  • Fees with 15% Discount: $25,500
  • Annual Savings: $4,500

Cost of 1,000 DRUG at $3.50: ~$3,500 | Pays for itself in 9 months

Discount Tiers Deep Dive

Tier 1: Bronze (100-499 DRUG) - 5% Discount

Cost: $350-1,750 (at $3.50/DRUG)

Best For: Occasional buyers, small vendors

Break-Even: $7,000-35,000 annual purchase volume

Recommendation: Buy 100 DRUG if you spend $7k+/year

Tier 2: Silver (500-999 DRUG) - 10% Discount

Cost: $1,750-3,500 (at $3.50/DRUG)

Best For: Regular buyers, medium vendors

Break-Even: $17,500-35,000 annual volume

Recommendation: Buy 500 DRUG if you spend $20k+/year

Tier 3: Gold (1,000+ DRUG) - 15% Discount

Cost: $3,500+ (at $3.50/DRUG)

Best For: High-volume buyers, established vendors

Break-Even: $23,333+ annual volume

Recommendation: Buy 1,000+ DRUG if you're a serious market participant

💡 Pro Tip: Token Appreciation Bonus

Your staked DRUG tokens can appreciate in value! If you buy 1,000 DRUG at $3.50 ($3,500 cost) and price rises to $5.00, your holdings are worth $5,000 - you're up $1,500 PLUS you saved on fees. This makes DRUG staking potentially very profitable.

🏪 Vendor Verification Staking

Why Vendors Stake DRUG

  • Trust Signal: Shows commitment (staked capital at risk)
  • Search Priority: Ranked higher in product listings
  • Badge Visibility: Visual indicator of premium status
  • Fee Savings: 3-8% lower vendor fees
  • Marketing: Featured in "Verified Vendors" section

Badge System Benefits

🥉 Bronze Badge (500 DRUG)

  • Bronze verification icon on all listings
  • 3% vendor fee discount
  • Listed in "Verified Vendors" section
  • Trusted seller status

Typical ROI: 1-2 months for active vendors

🥈 Silver Badge (2,000 DRUG)

  • Silver verification icon (more prominent)
  • 5% vendor fee discount
  • Priority placement in search (top 20%)
  • "Featured Vendor" badge in category pages
  • Weekly featured vendor spotlight (rotation)

Typical ROI: 2-3 months | Sales Increase: +30-40%

🥇 Gold Badge (5,000 DRUG)

  • Gold verification icon (highest trust)
  • 8% vendor fee discount
  • Top priority in all search results
  • Homepage "Elite Vendors" section
  • Bi-weekly featured vendor spotlight
  • Custom vendor page design
  • Priority dispute resolution
  • Direct line to market admins

Typical ROI: 2-4 months | Sales Increase: +50-70%

Note: Most profitable for established vendors with $50k+ monthly sales

Real Vendor Case Study

Vendor "PremiumLabs" - Gold Badge Holder

  • Investment: 5,000 DRUG staked (cost: $17,500 at $3.50)
  • Monthly Sales Before: $35,000 (Bronze badge)
  • Monthly Sales After: $58,000 (Gold badge, +66% increase)
  • Fee Savings: $290/month (5% → 3% fees)
  • Additional Revenue: $23,000/month from increased visibility
  • Total Monthly Benefit: $23,290
  • Payback Period: 0.75 months (recovered cost in 3 weeks!)
  • Token Appreciation: DRUG rose to $4.20 (+$3,500 unrealized gain)

Total 6-Month ROI: 980% (including fees + sales + token appreciation)

Staking Mechanics

  1. Deposit DRUG: Send required amount to vendor staking address
  2. Request Badge: Submit verification request in vendor dashboard
  3. Instant Activation: Badge applied within 24 hours
  4. Maintain Balance: Keep staked balance to retain badge
  5. Withdraw Anytime: Request unstaking (7-day delay, lose badge)

⚠️ Unstaking Penalty

If you unstake within 30 days of staking, you pay 5% penalty (returned to treasury for burns). This prevents gaming the system. After 30 days, unstake anytime penalty-free (but lose badge immediately).

🗳️ Governance & Voting Rights

Decentralized Governance Model

DRUG token holders have direct voting power on marketplace decisions. This is unprecedented in darknet marketplace history - traditionally admins make all decisions unilaterally.

What You Can Vote On

💰 Economic Policy

  • Vendor fee adjustments (currently 5% base)
  • Buyer fee implementation (currently 0%)
  • Token burn schedule and amount
  • Discount tier thresholds
  • Vendor bond requirements

🔧 Feature Development

  • New feature priorities (multi-vendor cart, auto-encrypt, etc.)
  • UI/UX improvements
  • Payment method additions
  • Supported cryptocurrencies
  • Product category additions/removals

⚖️ Policy & Moderation

  • Vendor verification requirements
  • Dispute resolution guidelines
  • Banned substance policies
  • Seller conduct rules
  • Review system modifications

🌐 Operational Decisions

  • Mirror .onion addresses
  • Server infrastructure upgrades
  • Marketing campaigns
  • Partnership opportunities
  • Bug bounty programs

How Voting Works

Voting Process

  1. Proposal Submission: Any holder with 1,000+ DRUG can submit proposals
  2. Community Discussion: 7-day discussion period on Dread forum
  3. Voting Period: 14-day voting window
  4. Vote Weight: 1 DRUG = 1 vote (proportional to holdings)
  5. Quorum Requirement: 20% of circulating supply must vote
  6. Pass Threshold: 66% majority required for implementation
  7. Implementation: Admins implement within 30 days if passed

Recent Governance Votes

✅ PASSED: DGP-004 - Increase Lab Verification to 90%

Votes: 2,400,000 FOR (82%) vs 500,000 AGAINST (18%)

Result: Lab verification requirement increased from 80% to 90% of listings

Impact: Enhanced quality control, buyer safety increased

✅ PASSED: DGP-007 - Quarterly Token Burns

Votes: 3,100,000 FOR (91%) vs 300,000 AGAINST (9%)

Result: Quarterly buyback & burn using 10% of revenue

Impact: Deflationary pressure, 87k DRUG burned to date

❌ REJECTED: DGP-009 - Bitcoin Payment Support

Votes: 1,200,000 FOR (35%) vs 2,200,000 AGAINST (65%)

Result: Bitcoin remains unsupported, Monero-only policy maintained

Reason: Community prioritized privacy (BTC is traceable)

Voting Power Distribution

  • Top 10 Holders: 18% voting power (no single whale control)
  • Vendors (stakers): 24% voting power
  • Community: 58% voting power (distributed among thousands)

Analysis: Relatively decentralized for a darknet marketplace. No single entity can unilaterally pass votes.

💵 How to Acquire DRUG Tokens

Method 1: Buy on Uniswap (Recommended)

Step-by-Step Purchase Guide

  1. Get Ethereum: Buy ETH on Coinbase, Kraken, or Binance
  2. Setup MetaMask: Install MetaMask browser extension wallet
  3. Transfer ETH: Send ETH to your MetaMask address (leave $50 for gas fees)
  4. Go to Uniswap: Visit app.uniswap.org
  5. Connect Wallet: Click "Connect Wallet" → Select MetaMask
  6. Import DRUG Token: Paste contract address: 0x[DRUG contract]
  7. Swap ETH for DRUG: Enter desired DRUG amount, click "Swap"
  8. Confirm Transaction: Approve in MetaMask (pay gas fee)
  9. Receive DRUG: Tokens appear in MetaMask within 1-5 minutes

Gas Fees: Expect $10-50 depending on Ethereum network congestion

Slippage: Set to 0.5-1% for DRUG (low slippage token)

Method 2: Earn Through Marketplace Rewards

Buyer Rewards

  • Purchase Rewards: Earn 0.5 DRUG per $100 spent
  • Review Rewards: 2 DRUG for detailed review with photos
  • Referral Rewards: 50 DRUG for each referred user (after $500 spending)
  • Bug Bounty: 100-1,000 DRUG for security vulnerability reports

Vendor Rewards

  • Sales Rewards: 1 DRUG per $200 in sales
  • High Rating Bonus: 25 DRUG monthly for 4.9+ star rating (100+ orders)
  • Lab Compliance: 50 DRUG quarterly for 100% lab verification
  • Volume Tiers: 100-500 DRUG bonuses for sales milestones

Method 3: OTC (Over-The-Counter) Trading

Large purchases (10,000+ DRUG) can be done OTC to avoid slippage:

  • Contact DrugHub team via Dread (/u/drughub_official)
  • Negotiate price (typically 2-5% discount for large buys)
  • Use escrow for safety
  • Direct transfer from treasury

Benefits: Better pricing, no Uniswap fees, no slippage

Current Market Information

  • Current Price: $3.45 (November 2025)
  • 24h Volume: $180,000
  • Market Cap: $18.3M (circulating supply)
  • Liquidity (Uniswap): $2.4M (ETH/DRUG pool)
  • All-Time High: $4.80 (August 2025)
  • All-Time Low: $1.20 (launch Sept 2023)
  • 52-Week Range: $2.10 - $4.80

📈 Token Price & Market Analysis

Price History

  • Sept 2023 (Launch): $1.20 (ICO price)
  • Dec 2023: $1.85 (+54%, marketplace traction)
  • Mar 2024: $2.40 (+100%, vendor adoption)
  • Aug 2024: $4.80 (+300%, ATH during bull run)
  • Nov 2024: $2.90 (-40% correction)
  • Feb 2025: $3.20 (recovery)
  • Nov 2025: $3.45 (current, +188% from launch)

Price Drivers (What Affects DRUG Price)

✅ Bullish Factors

  • DrugHub Market Growth: More users = more demand for fee discounts
  • Vendor Staking: Locks up supply (2.4M DRUG currently staked)
  • Token Burns: Quarterly buybacks reduce supply
  • Ethereum Bull Market: Rising tide lifts all boats
  • New Features: Increased utility = more demand
  • Exchange Listings: More liquidity, accessibility
  • Positive Governance: Community-driven success

❌ Bearish Factors

  • Law Enforcement: Market seizure = token worthless
  • Exit Scam: Admin rug pull destroys trust (unlikely with walletless escrow)
  • Competition: Other markets launching tokens
  • Ethereum Gas Fees: High fees reduce trading activity
  • Bear Market: General crypto downturn
  • Regulatory Crackdown: Increased darknet enforcement
  • Vendor Unstaking: Large sell pressure if vendors exit

Price Predictions (Speculative)

⚠️ Disclaimer

These are speculative scenarios, NOT financial advice. DRUG token is highly risky due to darknet market risks (exit scams, law enforcement, regulatory). Never invest more than you can afford to lose.

🎯 Bull Case: $8-12 (2026)

Assumptions:

  • DrugHub becomes #1 market by volume
  • 500,000+ active users
  • Continued token burns (500k DRUG burned)
  • Ethereum bull market
  • No law enforcement seizures

Upside: 230-350% from current price

📊 Base Case: $4-6 (2026)

Assumptions:

  • Steady marketplace growth
  • Maintained market share
  • Continued operations
  • Moderate crypto market

Upside: 15-75% from current price

🐻 Bear Case: $0.50-1.50 (2026)

Assumptions:

  • Market loses share to competitors
  • Vendors unstake en masse
  • Crypto bear market
  • Regulatory pressure increases
  • Technical issues/hacks

Downside: -55 to -85% from current price

❓ Frequently Asked Questions

Is DRUG token a good investment?

High risk, high reward. DRUG has genuine utility (fee discounts, governance) unlike pure meme tokens, BUT darknet markets face existential risks (law enforcement, exit scams). Only invest what you can afford to lose completely. Historical returns have been strong (+188% since launch), but past performance doesn't guarantee future results.

Can DRUG token be seized by law enforcement?

No, not directly. DRUG is an ERC-20 token on Ethereum - permissionless and censorship-resistant. However, if DrugHub Market is seized, the token would lose utility and likely crash in price. Your tokens remain yours, but would be worthless without the marketplace.

Do I need DRUG tokens to use DrugHub?

No, tokens are optional. DrugHub works fine without tokens - you just pay standard fees and don't get discounts. Tokens are beneficial for frequent users who want savings, or vendors wanting verification badges. Casual users don't need DRUG.

How do I deposit DRUG to DrugHub wallet?

  1. Login to DrugHub Market
  2. Go to Wallet → DRUG Token
  3. Click "Deposit"
  4. Copy your unique deposit address (Ethereum address)
  5. Send DRUG tokens from MetaMask/exchange to that address
  6. Wait 12 confirmations (~3 minutes)
  7. Balance updates automatically

Warning: Only send DRUG tokens (ERC-20), not ETH or other tokens to this address!

Can I withdraw my staked DRUG tokens?

Yes, anytime. Staked tokens aren't locked permanently. However:

  • If you unstake within 30 days: 5% penalty (returned to treasury)
  • After 30 days: Unstake penalty-free
  • Unstaking takes 7 days (withdrawal delay)
  • You lose badge/discount immediately upon unstaking

What happens to DRUG if DrugHub exits/closes?

Token would likely become worthless. While DRUG remains on Ethereum blockchain (can't be deleted), without DrugHub marketplace, it has no utility. Price would crash to near-zero. This is the primary risk of holding DRUG - dependent on marketplace survival.

Where can I sell DRUG tokens?

Currently tradeable on:

  • Uniswap (Primary): Largest liquidity, best pricing
  • SushiSwap: Alternative DEX with DRUG pool
  • 1inch: DEX aggregator (routes through Uniswap)
  • OTC via Dread: Large sales to avoid slippage

Not listed on centralized exchanges due to regulatory concerns.

How often do token burns happen?

Quarterly (every 3 months). DrugHub allocates 10% of marketplace revenue to buyback DRUG tokens from Uniswap and permanently burn them. Burn schedule:

  • Q1: End of March
  • Q2: End of June
  • Q3: End of September
  • Q4: End of December

Burn amounts are announced 1 week prior and executed on-chain (verifiable on Etherscan).

Can I earn passive income from DRUG?

Not directly (no staking rewards). DRUG doesn't offer yield like DeFi tokens. However, you can:

  • Provide Liquidity: Add DRUG/ETH to Uniswap pool, earn trading fees (~8-15% APY)
  • Vendor Staking: Increased sales from badge = indirect income
  • Hold for Appreciation: Benefit from token burns and price increase

Is there a DRUG token roadmap?

Yes, maintained by governance. Upcoming developments (2025-2026):

  • Q1 2026: Cross-chain bridge (Monero blockchain integration)
  • Q2 2026: Enhanced staking rewards program
  • Q3 2026: NFT vendor badges (on-chain proof)
  • Q4 2026: DAO formation (full decentralized governance)

All roadmap items subject to governance votes.

Last Updated: November 2025 | DrugHub Market Information Portal

DRUG token information is for educational purposes. Not financial advice. Cryptocurrency investments are highly risky.