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Key Terms

Ayni Support Team avatar
Written by Ayni Support Team
Updated over a month ago

Familiarity with these terms helps users navigate the AYNI Gold ecosystem, understand internal processes, and grasp the economic mechanisms behind the AYNI token.

IIncludes:

  • Main terms related to tokenomics and cryptocurrencies

  • Technical terms related to gold mining and Minerales SH operations

  • Financial and investment terminology

Main Terms

AYNI Token (AYNI)

A utility ERC-20 token representing a share of gold mining capacity at a licensed mine in Peru, operated by Minerales San Hilario. One token corresponds to a specific amount of mining work (e.g., 4 cm³/h).

PAXG (Paxos Gold)

A digital ERC-20 token fully backed by physical gold (1 PAXG = 1 troy ounce, ~31.1 g), used to distribute income to AYNI holders.

Staking

The process of locking AYNI tokens on the project platform to participate in gold mining revenue and receive rewards in PAXG.

Minerales San Hilario (Minerales SH)

A licensed Peruvian company holding an 8 km² concession in the Madre de Dios region.

Concession

An official permit for mineral extraction issued by a government authority (INGEMMET), which includes compliance with environmental and financial obligations.

INGEMMET

The Peruvian government institute overseeing mineral extraction licenses.

Scoping Study

A technical assessment of a deposit to determine reserves, economic feasibility, and key mining parameters.

Qualified Person (QP)

An independent expert with at least 5 years of experience who signs technical reports under the NI 43-101 standard.

Timothy Strong

Lead geologist at Kangari Consulting, QP for the deposit’s Scoping Study.

Buy-back & Burn

A mechanism for repurchasing and destroying tokens to reduce total supply and support value.

ERC-20

The technical standard for tokens on the Ethereum blockchain.

DAO (Decentralized Autonomous Organization)

Decentralized autonomous organization allowing AYNI holders to make project governance decisions through voting.

Airdrop

Free distribution of tokens to the community to attract attention to the project.

Smart Contract Audit

Smart Contract Audit — an independent review of smart contracts for security and correctness (conducted by PeckShield in May 2025 and additionally by CertiK in October 2025).

DeFi (Decentralized Finance)

Decentralized financial services on the blockchain without intermediaries.

Doré Bars

Primary form of gold sold to banks and government entities, easily refined further.

Tokenomics

Economic model of the token: distribution, burn mechanism (buy-back & burn), fees, and rewards.

Private Sale / Pre-Sale

Early token sale to a limited group of investors before public launch.

Burn Mechanism

Process of buying back and removing tokens from circulation to reduce total supply and support value.

Airdrop

Free distribution of tokens to the community to encourage engagement and promote the project.

KYC (Know Your Customer)

Investor identification procedure to comply with regulatory requirements.

AML (Anti-Money Laundering)

Measures to prevent money laundering, including transaction monitoring.

Regulatory Compliance

Adherence to laws and regulations in the mining and crypto sectors, including licenses and audits.

Technical Terms

DeFi (Decentralized Finance)

Decentralized financial services on the blockchain without intermediaries.

Environmental Impact Assessment (EIA)

Analysis of mining impact on nature and ecosystems.

Gold Content

The gold content in the mined ore; at the AYNI site, the gold is naturally pure up to 99.7%.

Mining Capacity

The volume of work at the deposit corresponding to the number of staked AYNI tokens.

Mining Methods

Alluvial mining of the top 5 meters of ore followed by flotation to extract up to 80% of the gold.

OPEX (Operating Expenses)

Current mining expenses: salaries, equipment, logistics, and maintenance.

Operational Monitoring

Video monitoring and regular reports confirming the actual gold production.

Qualified Person (QP)

A certified expert who signs technical reports according to the NI 43-101 standard to validate geological data.

Scoping Study

Preliminary technical assessment of a deposit to determine reserves, potential profitability, and key mining parameters (conducted by Kangari Consulting).

Smart Contract

Program code on the blockchain that automates staking, revenue distribution, and token management.

Smart Contract Audit

Smart Contract Audit — an independent review of smart contracts for security and correctness (conducted by PeckShield in May 2025 and additionally by CertiK in October 2025).

Smart Mining Calculator

An online tool to calculate potential staking income on the AYNI platform.

Staking Contract

Ensures token locking, calculation, and payment of rewards in PAXG.

Success Fee

The percentage of profit retained by the project when calculating investor income.

Sustainable Mining

Gold mining conducted according to environmental and social standards.

Transparency Mechanisms

Methods to ensure project transparency: blockchain, audits, mining reports, and smart contracts.

Token Lock

The period during which staked AYNI tokens cannot be withdrawn.

Financial Terms

Access Level

Investor’s yield level depending on the amount invested and the staking period.

Buy-back & Burn

A mechanism of buying tokens from the market and subsequently burning them to reduce supply and maintain value.

Brink’s

International company for storing valuables where the gold backing PAXG is held, maintaining the highest security standards.

Costs

Daily operational expenses for mining.

Deflationary Mechanism

Reduction of the number of tokens in circulation through buy-back & burn to maintain value.

Due Diligence

Comprehensive assessment of legal, financial, and technical aspects of a project.

Final Reward

Investor’s income after all expenses and management fees are deducted.

Gold Production

Amount of gold mined per day at the site, proportional to staked AYNI tokens.

Liquidity

The ability of the token to be freely traded on exchanges, supported by the project strategy and community activity.

Management Fee

30–70% depending on the staking amount and period; 15% goes to buy-back & burn.

Price Correlation

AYNI token value and PAXG income depend on the market gold price.

Reinvestment

The ability to redirect staking income back into the platform to increase future payouts (planned for Q1 2026).

Reward Formula

Gold Production − Costs − Success Fee = Final Reward.

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