Network Incentives

The X-Project Network is a two-sided marketplace between application developers and users. For developers to be interested in building in the network requires a user base to use the applications. To keep users in the network requires applications for them to use and reap value from.
The goal of the network incentives is to bootstrap a sustainable revenue stream for the project by issuing reward tokens to incentivize behavior that grows the value captured in the network. Reward tokens are issued via two programs:
● Community Incentives
● Network Growth Rewards
Community Incentives
Community Incentives account for 10% of total token supply.
Tokens will be distributed across three distinct areas; Grants, Ambassadors and Bounties. These are designed to strengthen the community, incentivize participation in building the network, and encourage valuable partnerships across the ecosystem.
Grants will be provided to projects that benefit X-Project and its ecosystem. They are grouped into three work streams, Technical, Creative and Business. Each has their own focus in relation to the X-Project Network.
The Ambassador program is managed by the X-Project core team and allocated inline with the ambassador program charter. Ambassadors can directly contribute to the success of the network in both technical and non-technical ways and be rewarded. The aim is to support community growth and help bring self-sovereign data and identity to the world at large.
Bounties are ongoing and will be publicly listed on the X-Project website, open to anyone. Bounties are incentives for closing and fixing issues. Issues with bounties attached to them are listed on the bounties project board.
It’s anticipated governance of the community incentives program will become decentralized and managed through a future community DAO.
Tokens will be issued over five years as that’s the expected time frame required to invest heavily in the tech and community growth initiatives.
Network Growth Rewards
Network Growth Rewards are allocated 10% of total token supply.
Tokens will be distributed to end users and application developers to incentivize long-term network growth.
Network growth is measured by the total number of network interactions and is driven by:
  1. 1.
    Users referring new users
  2. 2.
    Developers onboarding new users
  3. 3.
    Retaining existing users
  4. 4.
    Existing users conducting more interactions
Rewarding Verified Users
End Users on the X-Project network can complete a verification process to become Verified Users and eligible to receive network rewards. These end users must maintain a minimum threshold of activity within a given reward period to receive network rewards.
The verification process for end users retains anonymity for the user and is sybil resistant. This provides new users with initial tokens to access services on the network without requiring payment, solving a critical blocker for mainstream Web3 adoption.
Rewarding Application Developers
Application developers can complete a verification process and register their decentralized applications on the network. This registration process enables developers to cryptographically sign data and services they provide to the network in a way that can be trusted by End Users.
In exchange, developers will be rewarded for every verified user they onboard to the network. Developers will also earn tokens for every message interaction that is sent or received from their application (see Network Economic Model above).
This provides a significant incentive for developers to build applications and rapidly grow their user base on the X-Project network.