# FAQ

## User Tokens

### What is a user token?&#x20;

A user token (or sometimes called creator token) is the token that every user can create when they join Kaichi in order to monetise their content.&#x20;

It represents their unique brand or social capital. Every token has a price and market cap. Think of the user token as a ‘social market cap’. Users or creators can as a result monetize their content, and let their fans become owners in their success. Tokens can be linked to exclusive content.&#x20;

### How many tokens do I have?&#x20;

When minting your creator token, there are a total of 1,000,000,000 (one billion) tokens minted. This number is the same for every user. The distribution depends on the presets chosen.&#x20;

### What are my tokens worth?&#x20;

Every user begins with the same token price of $0.00010, but the price will change depending on the demand for the token. To put it simply, your tokens will be worth what the market decides. Like most things, as your brand value grows, so will your token.

### Should I hold or should I sell my token?

That’s entirely up to you, these coins are yours. But we recommend taking a measured approach. You should view these tokens as your ‘social equity’ in a way.&#x20;

If you see yourself as an entrepreneur, you will understand that most entrepreneurs don’t want to sell much of their equity early on, when it's the cheapest. They just want to sell a bit of equity early on to raise enough money to grow their business, and keep most of their equity for themselves for selling later when the price will have increased drastically.&#x20;

It’s the same here with your user token, you probably want to sell only a small portion of your token to cover your costs and also to get a feel for the demand from the market.&#x20;

### How does a creator token relate to my business?

On Kaichi, a creator who wants to monetise his content becomes a business owner.&#x20;

Kaichi unlocks the asset-value potential of audience networks by assigning creator followers tangible representation through a crypto-token. Through our proprietary tools, creators can tokenize their content, allowing fans to invest directly in their work and share in the financial rewards.&#x20;

Creator-tokens empower creators to become their own business owners (1) and in a way, link the growth of their fan/audience base directly to financial benefits (2).&#x20;

Depending on token holdings, a creator is entitled to a proportionate share of revenue. This means that the amount of revenue (from your own sales) you receive is directly tied to the number of tokens you hold. Essentially, the more tokens you own, the larger your share of the revenue generated by the platform:

If the creator has kept 90% of his token supply, then he will earn directly $90 for every $100 worth of sales he realizes on our platform. This creator is signaling he believes in himself as a business owner, is going to create value, is focused on cash flow generation, and shares 10% of it with his own token holders, $KAI holders, and Kaichi protocol.&#x20;

If the creator has kept 80% of his token supply, then he will earn directly $80 for every $100 worth of sales. Token-holders, $KAI holders, and Kaichi as a protocol share up to 20% of the revenues.&#x20;

This system incentivizes token creators and holders to acquire and hold onto tokens, as it directly impacts their potential earnings from the platform's revenue. It also makes the choice of the appropriate preset an absolute necessity. &#x20;

Anyone who believes in a specific creator's current or future success can choose to support them by purchasing their tokens, democratising crowdfunding in a way.&#x20;

The introduction of token-based mechanisms serves as a novel means for both creators and users to directly communicate their preferences and assign a tangible value to content, audience & growth. Kaichi users vote for content not through abstract clicks but actual crypto, staking tokens in people and ideas they wish to see rise.&#x20;

It turns superficial likes/comments/shares into substantive financial endorsements, as users can directly sponsor creators by staking crypto, aka tangible value, in their success.&#x20;

This is plain straight skin-in-the-game support. Users and fans can directly invest, support, and benefit from their favourite creators' growth.&#x20;

### What currencies can I use to purchase creator tokens?

You can use USDT, USDC, SOL or KAI to buy any creator token. To buy or sell someone’s token, you can simply navigate to the profile of the user on Kaichi and swap KAI, USDT, USDC, or SOL to the creator token through the Swap component on the right of the profile.&#x20;

Another feature available to you is the ability to send creator tokens to any Solana address (either using your Kaichi wallet, or by using any external wallet you signed-up with).&#x20;

### What are Creator tokens useful for?

Creator tokens are a type of asset that is tied to the reputation of a Kaichi account (an individual or a brand, or community), but also allows for revenue sharing on the revenue generated by that account to its token holders.

Creator tokens can be used for a variety of things. Some use cases might be to allow your followers to access exclusive content, to invest in you, or to simply allow your friends to speculate on your price. Some creators might sell their tokens to raise capital, while others might want to give them away as perks for certain actions.

Your token, your business, your choice.

### What should I post to increase my token price?&#x20;

Anything that you think is valuable to your audience, that people will be interested in, and could lead them to buy more of your token.

### How can I cash out?&#x20;

The revenues from your content sales (subscriptions and pay-per-view) go directly into your wallet when you claim them.&#x20;

For your tokens, if you sell some of your tokens in your pool, you will be able to receive USDC in return. For example, you can sell your JOE tokens in the JOE/USDC pool, and you will then cash out some JOE for USDC. Note that selling pressure may cause your token price to decrease.

Regarding your rewards coming from the revenue-sharing program, you have to claim them in your rewards dashboard: https://kaichi.xyz/rewards&#x20;

### No one is buying my tokens. What should I do?&#x20;

You need to build your audience, and offer more value to your fanbase/community.

### What if I have sold all my tokens?

If you have sold all your tokens, that means you’ve probably made good money already. People can still continue to buy your tokens to access your private group chat, except that they’ll buy the tokens that others are selling (not yours anymore).&#x20;

If you want to stay invested in yourself, you could consider rebuying your own token on the market directly.

### What if my competitors buy all my tokens?

If someone buys all of your tokens, that means that:&#x20;

1/ you offered all your tokens for sale, instead of keeping the majority of it, and&#x20;

2/ that this person is spending a significant amount of money on you directly.&#x20;

It's difficult to see why competitors would give you money and increase your token price, but if that’s the case and if you sold all your tokens by mistake (or potentially sent them to another wallet by mistake), you could consider either rebuying your tokens on the market (from others, if they’re selling them), or simply recreating a new account (with a new token), but your community will have to follow you on that new account, and purchase that new token, which they might not be willing to.

### Can I give my tokens away for free?&#x20;

Yes. You can simply send your tokens to anyone (user tokens are SPL tokens on the Solana blockchain, so you can send them to any Solana address (also called PublicKey)).

### How is the initial token price formed?

Every user starts with a token price of $0.00010, the price then varies according to user demand. For example, if there is no trading for one’s particular token, then the price will stay the same. If people buy a token, its price will increase, and vice versa.

## Subscriptions and Private Feeds

### How to se tup my subscription and pay-per-view price?&#x20;

If you have created a user token, you will be able to set up your monetisation options in your settings (under Monetisation). You will have to enter a short description about you and the content you plan to offer to your subscribers, and the amount of USDC they need to spend each month to access your private content.

### How do subscriptions work?&#x20;

The subscription payments from your followers will be  locked into a wallet, and you'll be able to claim the payments from your subscribers at any time (whenever they pay your subscription or pay-per-view price), the amount you'll receive will be pro-rata to the number of user tokens you hold.&#x20;

Users subscribing to you will pay upfront the full amount corresponding to the duration they wish to subscribe for. For example they can pay 1 month worth or subscription, or 10 months right away, it's up to them. And the money spent will be claimable by you and your token holders within 24 hours.

If you later change your subscription price, the current subscribers will remain subscribed.

People subscribing to you, or purchasing your one-off pay-per-view fee will be able to view your paid private posts.

### How often can I claim my rewards?

If you own a user token (like an influencer token) you can claim the rewards associated from the fees each day (these rewards are in USDC or SOL). If you don't claim for some time, then your rewards accumulate until you claim them.

If you stake KAI tokens, you will also earn rewards from various fees (paid in USDC, SOL) and you'll also receive some Memecoin airdrops. And similarly you can claim these rewards each day otherwise they simply accumulate under your account.

### Can I cancel a subscription I paid for?&#x20;

No, the payments are onchain and final, we cannot revert them. Once you are subscribed to someone, you'll remain subscribed for as long as you paid for.

## Referrals

### How does the Referrals and Rewards program work?&#x20;

Each user gets 5 referral codes when they join. These codes can be shared with others who might want to join Kaichi. Once someone you invited signs up with your referral code, you will earn 2.5% of their trading fees. These rewards will be claimable on your Kaichi account’s wallet page.

### How can we get more referral codes?&#x20;

To earn more referral codes, you can post quality content that gets upvoted, or attract new followers to your account. The exact parameters are currently not public (to avoid people trying to game the system), but the idea is that the better your content is, the more of a thought leader you might be, therefore the more people you’ll be able to invite. Also, as more people follow you the potential to generate more referral codes increases.

### How are the rewards calculated for people we invite?&#x20;

You earn 2.5% of the fees paid by your invitees. For example, if someone you invite trades for $1000 of user tokens, he will pay 5% trading fees to Kaichi (which is $1000 x 5% = $50), and you will earn 2.5% of this fee, which is $50 x 2.5% = $1.25. The rewards are claimable in USDC.

### What is the limit of invites you can get?&#x20;

There is no limit at present.

## Creating your account - What you need to know&#x20;

On Kaichi your token represents your market cap. Even if you are not a creator or looking to earn money on Kaichi you will still have the option to be minted a token when you create an account. These are your tokens and you have full control over them. This is why you need to connect or create a wallet to join as each token is in your personal wallet.

## Minting your token:

The minting process is relatively straightforward. Here are the 4 easy steps to mint your user token.

#### 1. Connect or create your wallet.

a. Kaichi does not gain or retain your password or seed phrase when you connect your wallet. This might be an existing Phantom wallet or any other Solana based wallet.

b. If creating a new Kaichi wallet make sure to store your seed phrases somewhere safe (writing them down on paper is preferred)

#### 2. Choose a username

a. This is similar to other social networks. Your username is what will be displayed to access your account on the platform.

#### 3. Choose a ticker symbol for your token.

a. This is similar to Bitcoin having the ticker BTC or Solana being SOL or Kaichi being KAI.

b. Try and choose something unique but recognizable as your ticker. If your username is MoonShot then maybe a ticker of MOON might fit.

c. We advise making the ticker up to four characters. The longer it is the less likely it will be memorable.

#### 4. Mint your token.

a. We set every user to have an initial price of $0.00010 and a with an equal amount of 1 billion tokens. This ensures all users start at the same point, and it is clear if a user has a higher price they will also have a higher market cap.

#### Things to Remember:

Minting all your tokens might take a few minutes to complete. Please be patient and contact the team here if you experience any errors.

Also do not forget to have some SOL in your wallet for gas fees.

### Uses of your token

Your user token can be used for a variety of things. Some use cases might be to allow your followers to access exclusive content, to invest in you, or to simply allow your friends to speculate on your price. Some creators might sell their tokens to raise capital, while others might want to give them away as perks for certain actions.

Like we have said, these are your tokens and you are in control of them.

For further instructions on setting up your account, please visit the Tutorials section.

### Understanding Marketcap and user token price

When you first join Kaichi you might be confused by your token price and other users’ market cap/price. This is normal, especially if you aren’t experienced in trading or tokenomics.

#### Marketcap:

The market capitalisation of a user indicates how much their total value for all their tokens is. Since every user begins with the same token price and liquidity pool, the market cap is a direct indication of the overall value of a user on the platform. If the market cap is high, then they must have a lot of demand for their token. If the market cap is low, then they do not.

Finding low market cap tokens might be a fun way to invest early or when a creator is still growing. However, there is often more risk associated with low market cap tokens.

#### Token price:

The token price is simply the price for one of the users’ tokens. Some creators might set a minimum requirement of tokens held for access to their private group chat. This means if you buy the required amount of tokens you will be able to access their group chat. Token price is important because it shows how much you need to spend to gain access to this content or have a stake in a creator on Kaichi.

Don’t forget if you buy a user token you can still sell it in the future (this might be for a profit or loss).

### How to become a top gainer?

Top gaining tokens are listed based on the 24hr change of token price. If your token has a lot of attention and there are a large number of buyers in this period then it might become a top gainer. This is dependent on how other tokens do in this time frame. If you want to become a top gainer then we encourage you to get your audience, or friends to buy your tokens. The best way is to provide great value to your token holders, so they're incentivized to become a holder of your token.

### What if I never want to share content and mainly follow people?&#x20;

That’s fine too! In fact, most people on social media are not participating in terms of creating content, they’re just watching.&#x20;

But you can still have a token, a token price, and a market cap. Your friends can still buy your tokens if they believe in you, and in case one day you decide to share your talents with the world; they will have bought your token before its price increases!

### How can I mint an NFT and how much does it cost?&#x20;

Every user can mint NFTs directly on your own profile page (in the NFT tab).

Minting an NFT on the Solana blockchain costs about 0.00912 SOL in transaction fees, so make sure you have enough SOL in your wallet.
