Gov/en/Portal:Economy/Rewards: Difference between revisions
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Rewards are a type of WikiDeal Reward that can be converted to CHF | Rewards are a type of WikiDeal Reward that can be converted to CHF, but '''without guarantee'''. They represent a conditional claim on future subscription revenue, not a debt or financial instrument. Their availability depends entirely on the financial health of the platform. | ||
Rewards are honest: they are distributed at the rhythm of subscription income. If subscription income is low, rewards can be low. It is a transparent process: each subscription immediately and automatically generates a distribution to all Reward holders, proportionally. | Rewards are honest: they are distributed at the rhythm of subscription income. If subscription income is low, rewards can be low. It is a transparent process: each subscription immediately and automatically generates a distribution to all Reward holders, proportionally. | ||
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When you fund WikiDeal through the Fund WikiDeal page, your contribution passes through the [[Gov/en/Portal:R&D/Innovations:Bonding Curve|bonding curve]] algorithm. Depending on your chosen reward type (Priority 2), you receive Rewards in your personal account. | When you fund WikiDeal through the Fund WikiDeal page, your contribution passes through the [[Gov/en/Portal:R&D/Innovations:Bonding Curve|bonding curve]] algorithm. Depending on your chosen reward type (Priority 2), you receive Rewards in your personal account. | ||
Rewards accumulate over time. They can be cashed out when the conditions are met | Rewards accumulate over time. They can be cashed out when the conditions are met: specifically, when sufficient subscription revenue has been generated by active WikiDeal users. | ||
=== How Rewards Work === | === How Rewards Work === | ||
# '''Funding contribution''' | # '''Funding contribution:''' You contribute CHF via the funding flow. | ||
# '''[[Gov/en/Portal:R&D/Innovations:Bonding Curve|Bonding curve]] processing''' | # '''[[Gov/en/Portal:R&D/Innovations:Bonding Curve|Bonding curve]] processing:''' The algorithm converts your CHF into Credits based on the current reserve level. Early funders receive more Credits per CHF (e.g. ×100 multiplier at very low reserve). | ||
# '''Credit allocation''' | # '''Credit allocation:''' Your Credits are split by the [[Gov/en/Portal:R&D/Innovations:Funding Stabilizer|Balance Boost]] mechanism into Rewards (P2) and community pool contributions. | ||
# '''Cash-out:''' When platform conditions allow (sufficient subscription revenue), you can request conversion to CHF. | # '''Cash-out:''' When platform conditions allow (sufficient subscription revenue), you can request conversion to CHF. | ||
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Rewards are '''funded directly from subscription revenue'''. At the start, the revenue collected from the CHF 1/month subscriptions is allocated to the holders of Rewards. As these holders are progressively paid out, their number decreases over time. | Rewards are '''funded directly from subscription revenue'''. At the start, the revenue collected from the CHF 1/month subscriptions is allocated to the holders of Rewards. As these holders are progressively paid out, their number decreases over time. | ||
The system is sized so that Rewards are fully honoured once the platform has reached '''CHF 100 million in cumulative collections'''. As an order of magnitude: with roughly 1 million active users (≈ CHF 12/year each), reaching CHF 100 million in collections would take on the order of '''10 years'''. If adoption grows faster | The system is sized so that Rewards are fully honoured once the platform has reached '''CHF 100 million in cumulative collections'''. As an order of magnitude: with roughly 1 million active users (≈ CHF 12/year each), reaching CHF 100 million in collections would take on the order of '''10 years'''. If adoption grows faster (for example reaching 3 million users within 3 years), that horizon shortens accordingly. | ||
=== Two blocks of Rewards (Prototype 1) === | === Two blocks of Rewards (Prototype 1) === | ||
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Within the Prototype 1 framework, Rewards are split into '''two distinct blocks''': | Within the Prototype 1 framework, Rewards are split into '''two distinct blocks''': | ||
* '''Early supporters''' | * '''Early supporters:''' '''50 million''' Rewards | ||
* '''Funders / donors (funding contributions)''' | * '''Funders / donors (funding contributions):''' '''50 million''' Rewards | ||
That is '''100 million Rewards in total''', drawn down from subscription revenue as it accrues. | That is '''100 million Rewards in total''', drawn down from subscription revenue as it accrues. | ||
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The time needed to cash out Rewards depends entirely on how much the platform is used. To be deliberately cautious, the cash-out horizon is described as ranging '''between 1 and 10 years''', with an '''estimated average of 3 to 4 years'''. | The time needed to cash out Rewards depends entirely on how much the platform is used. To be deliberately cautious, the cash-out horizon is described as ranging '''between 1 and 10 years''', with an '''estimated average of 3 to 4 years'''. | ||
'''⚠️ This figure is purely theoretical. There is no guarantee whatsoever.''' It is an '''estimated projection''', not a promise. The actual timing will depend on the platform's attractiveness and adoption. A faster uptake (more users, more subscription revenue) shortens the horizon; slow adoption lengthens it | '''⚠️ This figure is purely theoretical. There is no guarantee whatsoever.''' It is an '''estimated projection''', not a promise. The actual timing will depend on the platform's attractiveness and adoption. A faster uptake (more users, more subscription revenue) shortens the horizon; slow adoption lengthens it, or, in the honest design, may mean Rewards are simply not distributed in a given period. | ||
=== Tax Implications === | === Tax Implications === | ||
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=== Needs Addressed === | === Needs Addressed === | ||
Rewards address the legitimate financial interests of early funders who take on the highest risk. When WikiDeal has few users, the platform is unproven | Rewards address the legitimate financial interests of early funders who take on the highest risk. When WikiDeal has few users, the platform is unproven: early funders deserve recognition for their trust. Rewards provide a conditional path to financial return without creating speculative pressure or securities-law complexity. | ||
=== No Guarantee | === No Guarantee: An Honest Design === | ||
The absence of guarantee is not a weakness | The absence of guarantee is not a weakness: it is the honest architecture. WikiDeal does not promise what it cannot deliver. Rewards will be distributed when and only when subscription revenue allows. This aligns funder interests with platform growth, not with speculation. | ||
* No financial return is guaranteed. See Terms & Conditions and FAQ for full details. FINMA sandbox rules apply. | * No financial return is guaranteed. See Terms & Conditions and FAQ for full details. FINMA sandbox rules apply. | ||
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'''See also:''' [[Gov/en/Portal:Economy/Rewards|Rewards Explained]] [[Gov/en/Portal:Economy/Miles-Credits|Miles Credits]] [[Gov/en/Portal:R&D/Innovations:Bonding Curve|Bonding Curve]] [[Gov/en/Portal:R&D/Innovations:Funding Stabilizer|Balance Boost]] [[Gov/en/Portal:Economy/Subscriptions|Subscription Model]] Funding Contract FAQ | '''See also:''' [[Gov/en/Portal:Economy/Rewards|Rewards Explained]] [[Gov/en/Portal:Economy/Miles-Credits|Miles Credits]] [[Gov/en/Portal:R&D/Innovations:Bonding Curve|Bonding Curve]] [[Gov/en/Portal:R&D/Innovations:Funding Stabilizer|Balance Boost]] [[Gov/en/Portal:Economy/Subscriptions|Subscription Model]] Funding Contract FAQ | ||
💡 '''Improve this concept''' | 💡 '''Improve this concept:''' submit a proposal via [[Gov/en/Portal:R&D/Open-Call:Main|Open Call]] | ||
[[Category:Migration June 2026]] | [[Category:Migration June 2026]] | ||
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