XFC Reward Vault Mechanism

XFC is distributed to contributors through an Epoch Mechanism.

To fairly distribute the 7.168 million XFC allocated to the rewarding participation on the xFRAC platform, an epoch mechanism was employed to reward all existing rToken LP Token and XFC holders. In this system, the seven epochs each consist of 1.024 million XFC. Rewards in each epoch get distributed weekly; this is to say rToken LP Token holders and XFC Stakers will be rewarded weekly for their contribution to the xFRAC Marketplace. The rewards are distributed on a 60:40 basis, with rToken LP Token holders having a larger portion of the weekly allocation because of their position in the Ecosystem (rToken Liquidity provision). The Reward Vault wallet will be a multisign wallet with five xFRAC Executive’s wallets as key holders in its signerList, and it requires a minimum of 3 signatures to execute a transaction. Since there is no daily distribution schedule, the reward allocation will be released to the distribution wallet weekly. To Avoid spamming, we introduced eligibility criteria for rToken LP Token Holders and XFC Stakers to fulfill before receiving rewards.

• There will be a minimum amount of XFC a Staker must maintain to receive the weekly rewards.

• There will be a minimum rToken LP Token Value a liquidity provider must hold to receive weekly XFC rewards.

• Both minimum values are changeable by the xFRAC DAO through the rToken Governance Process.

Every week, XFC gets distributed to all XFC Stakers with the minimum reward eligibility value, and their rewards are 40% of the weekly reward pool. rToken LP Token Holders with the minimum eligible LP Token value will share the remaining 60% in the weekly reward pool.