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PAYMENTS & MONETIZATION
INFLOWS FROM OTHER AREAS
Estimated Year 2021 2021 2021 2021 2021 2022 2022 2023
Overall Total In-app Purchases (other than LODE Assets) In-app Advertising Advertising - Merchants Premium Account fees for Hyperledger Fee for premium version of app Other security tokens traded for AGX Regulated exchange revenues Percent micropayment reinvestments
Fiat or Crypto Both Both Both Crypto/ Both Both Crypto Crypto Crypto/ Both
Importance to the vision of silver money Low Low Low Low Low Medium Medium Low
Importance to Revenue Low Low Low Low Low Medium MediumLow Low
Overall Importance Low Low Low Low Low Medium Medium Low
LODE SYSTEM REVENUE INFLOWS There are a large number of potential inflows
to the LODE System, the chart highlights the main expected inflows along with the
projected release timelines of the products and services associated with these inflows.
BULLION ENGINE
The LODE Tokens are the virtual equity of the group. LODE Tokens are purchased with fiat capital, or physical private silver or gold
assets. The inflows are utilized to construct
a silver and gold monetary mass which is utilized for the tokenization and minting of the systems products - AGX and AUX Coins.
As the LODE Silver or Gold Reserves grow, new silver and/or gold inflows allow for the
minting of new AGX or AUX Coins, to be sold to members for use in daily trade and commerce. The intention is to limit the number of LODE Tokens to a maximum of 77 Million.
SYSTEM LEDGER & MINTING
The LODE System Ledger operates on Hyperledger Fabric. LODE Tokens and AGX/ AUX Coins are minted from the vaulted silver and gold monetary mass via a multi-signature minting protocol.
SYSTEM FEES There is a markup on the sale price of retail coins vs the underlying silver, as well as, transaction fees when users send their tokens P2P.
Tiered Transaction Fee: a progressively smaller percentage is taken from transactions until it caps out.
Demurrage: a small, time-based fee paid daily or hourly, based on the number of coins held, and is not affected by transactions.
This fee is not currently implemented and is held in reserve for public blockchains where transaction fees are not able to be implemented.
For non-crypto systems, LODE requires a “fees per transaction” like any other payment system.
77M
TOKEN STAINING & WHITE LABELLING PATINA™ is a white label and collectable coin program that allows AGX and AUX Coins to be rebranded and used by third parties, or used as promotional coins. They are still backed by the same underlying metal, and the branded money will still be accepted by merchants just the same as unbranded coins. Corporations and non-profit organizations can pay a small There will be a small fee to apply a stain to coins, which will be made non-fungible, essentially turning them into the digital equivalent of a fifty-cent coin or five-cent
coin. User’s wallets will automatically use the change from their regular AGX/AUX to make up the difference in transactions or can break
a stained coin into the base currency for a small fee. 77M fee to create branded coins that they can use for promotional purposes, or to be able to more easily track what happens to specific money after it’s been donated or spent.
PAYMENTS PLATFORM LODE Payments International (LPI) powers the distribution and processing of “digital representations of real-world assets” As the LODE Silver or Gold globally, using trustless technology as its Reserves grow, new silver and/or foundation to sending, receiving, and storing money simply. gold inflows allow for the minting of new AGX or AUX Coins The current primary product offered by LPI is the LODEPay Wallet: A noncustodial universal multi-currency wallet that enables holders to gain access to LODE’s “digital representations of real-world assets” and use them in a fee-reduced environment for commerce, banking, and business. Trustless liquidity features will allow individuals to instantly settle, manage, and hold assets in whatever currency or capacity they choose. LODE also has a small but growing marketplace “LODEMarkets” featuring goods and services that can be purchased using AGX and AUX Coins.
CURRENT PRODUCTS & SERVICES
LODEPay Wallet LODEPay Wallet (LPW) (Current Release Version 1.4.2) - a native application for dominant mobile platforms (iOS & Android), providing members with a means of utilizing their AGX and AUX Coins for commerce and financial transactions. The LPW relies on
fast, trustless, off-chain transactions, which
are secured with on-chain settlements through the Syscoin Z-DAG™ protocol. The LPW is a non-custodial, multi-asset, multinetworked wallet unlike any other, enabling the movement of AGX and AUX Coins from one blockchain to another, calling upon BATON™ to do the heavy lifting. It also enables peer-topeer transfers and functions as a simple POS. The LPW is currently available on both iOS and Android through the applicable stores.
LODEPay Web Wallet (LPWW) This wallet mirrors the functionality of the mobile wallet and is accessible through any web browser on a desktop or mobile device with no download or installation required. The LPWW offers users the same bank-grade
security as the LODEPay Mobile Wallet.
LODEPay Gas Station LODEPay Gas Station - Many potential customers are unfamiliar with how blockchains work and aren’t familiar with the concept of gas. It essentially refers to the execution fee for every operation made on the blockchain. The Gas Station tab in the mobile wallet is designed to simplify buying transactions, so as to make AGX and AUX Coins easier to use for crypto novices. A low volume one-directional exchange will allow people to convert AGX or AUX Coins into the platform token for the platform they are on, and cover the costs for these transactions. Each platform has different
gas requirements, and the gas station tab is designed to handle that on the user’s behalf. The LODE Gas Station is not a true exchange. As such, it is expected that users will purchase small amounts at a time. To users familiar with bank service charges offering
12 transactions for $5 or more, the low cost of the LODE Gas Station fees is a much less expensive offering for the convenience of
using the App. For example, sending $100 USD will cost approximately $0.03 to send on the LPW, through the Gas Station. This will enable people to do microtransactions at a considerably lower cost.
LODEMarkets Currently, LODEMarkets is a trade and commerce marketplace that enables sales and purchases using AGX and AUX Coins. Unlike usual card payments, businesses that accept AGX and AUX Coins for payment of their products and services will pay almost $0 cash fees for the sales costs. LODE intends to extend the services for large trade organizations as a way to mitigate their losses in heavy foreign exchange fees and the cost of transactions. LODEMarkets enable merchants to pay for the products and services with new revenue streams from new sales to new customers.
LPI will look to provide an affordable, borderless merchant service offering available to all merchants.
FUTURE PRODUCTS & SERVICES
LPI is intending to develop Payment Gateways in order to connect to Payment Processors in multiple jurisdictions that will allow LPI to offer its wallet services as a local or
regional entity for each of its markets. As well, it will allow for the connection to local merchants networks, ISOs, and resellers that offer LPI products to
these merchants. This will also allow for the issuing of virtual and physical cards to LODE Project Members, as well as, offering virtual IBAN accounts.
The list of products below outlines the current development plans but are only in the planning stages; each product is undergoing a process of road mapping and scope development. No code or product outcomes have yet been completed.
Third-party Payment Platform Integration Through integrations with other thirdparty payment platforms, LPI is able to access users of wallet providers around the world.
Transaction Monitoring - AML5 Transaction monitoring and KYC/AML services required by regulators is a complex and expensive undertaking. Adherence to AML5 regulated processes that will be required by everyone, from end users to commercial buyers of the LPI System. As such, the LPI System customers and users will be required to run through scanning with their transaction networks supporting industry-leading forensics solutions that ensure token traceability and wallet risk scoring. This service will be integrated across other monetization inflow channels. Bulletin Board - Fiat To AGX/AUX, Crypto To AGX/AUX Exchange Through the custom development of exchange trading pairs between AGX/AUX Coins and other digital and fiat assets, the LODE Project via
LPI can offer AGX/AUX Coin Holders
with liquidity services and can offer
investors the ability to trade against digital assets. In time, the development of further exchange services will continue to drive monetization opportunities. Users can also access services such as prepaid cards or ACH payment transfers to off-ramp from
the exchange providing additional monetization opportunities for the LODE Project through LPI.
Merchant Networks Integration Through the development of payment network integrations, shopping cart plugins, ATM integration, and custom wallet integrations, LPI will look to provide an affordable, borderless
merchant service offering available to
all merchants. LPI provides this channel the ability to leverage the LPW as is or for larger clients, the ability to leverage the wallet APIs and development services team to provide ancillary wallet services on top of the platform.
Trade Networks There are many reasons to connect Barter Exchanges, Networks of Exchanges, and Corporate Barter to the LODE Project via LPI, but the most compelling reasons are the benefits it
provides to all participants. Barter, also known as Reciprocal Trade, provides liquidity, a massive array of product and service availability from hundreds of thousands of suppliers that can be purchased with AGX/AUX Coins, new distribution channels for LODEMarkets merchants, and bottom-line cost savings and profit for all participants.
Connecting the $85 Billion Reciprocal Trade Industry to the LODE Project via LPI also creates a network effect for LPI
via interconnected marketplaces and merchant directories between exchanges worldwide, which enhances transaction velocity. LPI for SME’s & Corporations Expanding the ecosystem to support ancillary products “bolt-on” offerings
will allow companies the ability to customize the LODEPay Application. By offering APIs and dynamic settings
and workflow support, organizations
will have the ability to customize the LODEPay experience for their unique business process to service the needs of their customer communities and internal departments.
Part of the LPI for Enterprises initiative will include the targeting of B2C and B2B organizations looking to provide their customer communities with wallet technologies tailored for their organization.
Products on SME & Corporate Roadmap include: • Staining Services • Bleaching Services • Restaining Services • White Labelling of the
LODEPay Wallet • KYC/AML • Advertising • Maps & Notifications
• Analytics • Merchant Processing • Loyalty Tokens • Event Ticketing • Post-Paid Credit Solutions • Premium Support Services • Payroll • Distributor Gateway • LODEPay Switch • Merchant Terminal Solution (“Zero”)
