# QXT Token Utility

**Token Overview**\
The Qualoo Experience Token (QXT) is the fungible token serving as the primary driver of value in the Qualoo ecosystem. This token has several functions and is integrated primarily into the consumer end-user facing side of the business.

* **Payment for Partner Services**: QXT tokens can also be used for payment of services provided by Qualoo partners.
* **Testing Access**: QXT token holders have the opportunity to take part in Qualoo's standard and custom testing processes, earning further rewards.
* **Payment for Services**: QXT tokens can be used to pay for services offered by Qualoo.
* **Community Access**: Token holders gain access to status within the Qualoo community.
* **Staking**: By staking QXT tokens, holders can earn additional yields and share of Qualoo revenues by staking their token and keeping it in the Qualoo ecosystem longer.&#x20;

As the ecosystem evolves, new utility use cases will emerge.

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**Token Use Cases**

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**1. Rewards Mechanism**\
Users are incentivized to install Fixed Node devices and the Qualoo application on mobile\
and IoT devices through rewards mechanisms and access models. Fixed Node token rewards must allow enough incentive to onboard the minimum viable number of users to ensure adequate network coverage. These users will then be converted into registered participants on the platform or mobile app, where user retention focuses on the value provided by premium application services and features. Free mobile users will have access to features targeted towards a general economic agent profile while offering incentives to convert into premium users.

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**2. Access Model and Payment Barrier**\
The QXT token will not only serve as an incentive mechanism for data provisioning but will be\
integrated into various access models and payment barriers for both the Free and Premium\
versions of the application and platform. This will create an incentive for users to collect, hold, and\
spend the cryptocurrency, which will bring long-term value accrual to the asset for early financial\
backers.

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**3. Proof-of-Network-Contribution (PoNC)**\
Fixed Node operators that accrue token rewards demonstrate financial and emotional investment\
into the ecosystem and overall network health of their network vendor and Qualoo’s global network\
in general. This balance, therefore, serves as an effective metric in measuring participants\
contributions. Qualoo can prioritize these users by granting them exclusive rights and access to\
valuable services that align with their economic agent profiles.

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**Proof-of-Network-Contribution (PoNC)**

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The product economy allows token accrual in users' registered accounts in exchange for a\
number of different contributions. Many of these contributions involve data provisioning for the test network or contributing to network mapping efforts to create more accurate measurements of public network performance and reliability. Users that contribute information and data through diagnostics tests or node operation receive fungible tokens in exchange, which are deposited into a custodial contract.

Each user account will have access to their PoNC tokens only accessible by connecting their registered wallet. The simple metric of token accrual in each individual’s account measures their contribution and investment to the network efficiency and improvement of the Qualoo ecosystem. This metric can therefore be used to identify power users and target them specifically for exclusive benefits. These benefits may include

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•  Access to exclusive features on the mobile, desktop, and IoT applications\
•  Special promotions by ISP and Telecom providers\
•  Prioritized access to submitting customer service inquiries to their ISP or Telecom\
&#x20;   Network provider\
•  Participation in community-based initiatives launched by their ISP or Telecom Network\
&#x20;   provider

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**Rewards Replenishment Function**\
• Qualoo is dedicated to reallocating revenue from both Mobile Application subscriptions\
and service revenues from Telecom and ISP clients to a token buyback and lockup program.

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• A dedicated revenue reallocation to rewards replenishment will ensure that the token\
economy can be sustained as Qualoo expands its network of Fixed Nodes across global\
markets. This will also ensure investors see value accrual for their early financial\
backing.

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• A portion of mobile platform revenues through premium subscriptions and in-app purchases will\
be automatically converted into the $QXT token and locked in a rewards replenishment\
smart contract, along with a 10% baseline portion of client-facing service revenue. The\
tokens will be released aligning with the business development expansion plan to\
ensure ecosystem rewards are sustained as the network grows.

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**Non-Fungible Identifier Overview**\
Qualoo leverages NFT identifiers for all Fixed Test Node devices. Users are required to provide\
some hardware and network information on the Qualoo platform when registering their device\
and installing it on their network. Fixed Node operators must also elect to accrue\
cryptocurrency rewards for node operation, or forego rewards for recurring Premium\
Subscription on the platform.\


If users elect to accrue token rewards, they must provide a decentralized wallet address that\
will be whitelisted to claim their accumulating rewards. After registration, an NFT identifier\
corresponding to their specific Fixed Node Device is sent to their designated wallet address.\
This NFT serves as a certificate of authentication, denoting the device was successfully\
registered to the intended user, the device is actively connected, and the user is eligible to\
accrue token rewards. The NFT is also used for logging into rewards claiming function, where\
the designated wallet address must be holding the NFT to redeem tokens granted to the\
registered account holder.\


The added layer of the NFT identifier allows account authentication without the need to\
collect personal identifying information while buffering Qualoo from regulations that may\
hinder reward distribution.\
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