How Does Minting Production Work?

Minting Production (MP) is determined based on the market price of the token LFi (P1) and its initial coin offering (ICO) price (P2), along with various factors such as Production Weight (PW), monthly distribution (MD), maximum index minting (MIM), carrying capacity (CC), and collateral index (CI). The formula for MP is as follows:

If P1 < P2: MP = PW * MD * (MIM - CC) * CI

If P2 < P1: MP = PW * MD * (MIM - CC) * CI * P2/P1

To qualify for Cloud minting rewards, you need to own an active Cloud minting license. You can either own the required cLFi Minting Utility token or borrow it from the market.

Do I need to own the Minting Utility Token to receive minting rewards?

No, you can choose not to own any cLFi Minting Utility token. In this case, the company will lend you the necessary cLFi Minting Utility token. However, this choice may affect your rewards.

What happens if I own my own cLFi Minting Utility token for my license?

If you own your own cLFi Minting Utility token, your reward assignment will not be affected, and you will receive the amount calculated in the Minting Production.

What happens if I borrow cLFi Minting Utility token for my license?

If you borrow cLFi Minting Utility token, your rewards are assigned proportionately based on the reward already generated compared to the cost of your license. The distribution scales as follows:

• 0% - 25% reward generated compared to License Cost: eligible for 45% of block distribution divided by participants.

• 25% - 50% reward generated compared to License Cost: eligible for 20% of block rewards divided by participants.

• 50% - 75% reward generated compared to License Cost: eligible for 15% of block rewards divided by participants.

• 75% - 100% reward generated compared to License Cost: eligible for 10% of block rewards divided by participants.

• 100% or more reward generated compared to License Cost: eligible for 10% of block rewards divided by participants.

Where do the rewards come from, and how are they distributed among users?

The rewards come from the monthly distribution of tokens minted for the entire ecosystem. This amount is divided per block, establishing the maximum tokens that can be distributed among users. The distribution among users is determined by the minting production and the cLFi Minting Utility token owned or borrowed. When all users have received rewards equal to the purchasing value of their licenses, rewards are distributed equally among all users.