Token Economy

The revenue generated from the NLT token utilities is designed to function in a circular economy where new users are incentivized to become a part of the Nilo ecosystem and utilize NLT in the Nilo store to save on product cost, while existing users benefit from advancing their Nilo avatars, receiving rewards, and saving on their monthly oral care expenses with discounts and offers on products.

• Nilo Foundation: The Foundation will receive revenue generated by the marketplace royalties. This revenue will be sent to the ecosystem treasury to provide the community developers and artists with grants to expand the Nilo IP.

• Time-Lock: The majority portion of the in app-spending of NLT will remain time-locked for a minimum of two (2) years and removed from the circulating supply. When the time-lock pool begins to unlock, the token supply will be recycled back into Health-to-Earn pool to support the ongoing weekly epoch rewards.

• Nilo Studio: Nilo Studio will earn the minority portion of the in app-spending of NLT and 100% of the revenue generated from the Nilo store discounts. The revenue generated will be subject to a 6 month lock-in to be later sold in the market to pay for operational and marketing expenses.

Token Source	Revenue Use Case	Foundation	Time-lock	Studio
App	Reward Box		70%	30%
	Leveling Up		100%
	Digital Items		70%	30%
	Transaction Fees		100%
Marketplace	Royalty Fees - (5%)	100%
Auction	Genesis Minting		*100%	*MSRP
	Seasonal Minting		*100%	*MSRP
Store	Product Purchases			100%
	Monthly Subscriptions			100%
	Member Offers			100%

MSRP: This is the retail cost of the smart toothbrush device and delivery cost that Nilo Studio will be responsible for when auction participants claim their device.

The Nilo Foundation

The Nilo Foundation is the owner of the Nilo intellectual property (IP), which supports the Nilo ecosystem in developing and marketing Nilo's collectibles. The main responsibilities of the Nilo Foundation are to conduct Nilo auctions, manage the community token allocations and ensure that the Nilo ecosystem operates smoothly.

The Foundation will create grant programs to incentivize community artists to contribute to the platform, thus making the seasonal auctions community-led. The Foundation will also undertake the task of gathering feedback from the community to make improvements and additions to the Nilo ecosystem.

Nilo Studios

Nilo Studios is the developer of the Nilo application and oral care products. Nilo Studios makes use of the Nilo IP to market and distribute smart oral care devices. Nilo Studios will continue to maintain the Nilo e-commerce store and the development of the Nilo application.

Nilo Studios will utilize the NLT token as its loyalty points currency for deep discounts and members-only offers in the Nilo oral care store. This partnership aligns Nilo Studios with the success of the Nilo IP collectibles.

Token Release Schedule