> For the complete documentation index, see [llms.txt](https://milk-mocha.gitbook.io/milk-mocha-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://milk-mocha.gitbook.io/milk-mocha-docs/milk-mocha-metaverse.md).

# Milk Mocha Metaverse

The Milk Mocha game ecosystem is designed as a self-sustaining, token-powered economy where $HUGS serves as the primary currency for gameplay, rewards, and progression. All in-game actions — from entering mini-games to unlocking cosmetic upgrades — are linked to $HUGS, ensuring that player activity directly influences token demand and circulation.

<figure><img src="https://3659782975-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FjtXqLrNWnXxkdDOzKDLw%2Fuploads%2FQT2JgmSVCz4ihCS5z9RY%2Fgitbook.gif?alt=media&amp;token=617f0e91-7c8f-4261-8de3-215164c47bf6" alt=""><figcaption></figcaption></figure>

At the heart of the system is a **token loop**. Players spend $HUGS to enter games, participate in tournaments, or unlock special features. A portion of this spend is recycled into the **reward pool**, distributed back to players as performance-based prizes. Another portion is **burned permanently**, creating consistent deflation and supporting long-term value. The remaining portion funds game development, seasonal events, and ecosystem expansion. This closed-loop model ensures that tokens flow continuously between players, the reward system, and deflationary sinks.

Spent tokens are split between three sinks:

1. **Reward Pool** — redistributed to players based on performance, rankings, or event achievements.
2. **Burn Mechanism** — permanently removes a percentage of tokens from supply to maintain scarcity.
3. **Ecosystem Treasury** — funds game development, seasonal content, and prize expansions

Further game and metaverse documentation and information will be released as a stand alone paper