ApolloX Token and Token Economics.

1. Roles on ApolloX

The common roles in an e -commerce ecosystem are the following. In actual operations, they convert to each other or have multiple roles at the same time. For example, a region distributor

is a buyer to his upstream factory and a seller to his customers.

Buyer: Refers to the role of purchasing products in the e-commerce system. A buyer pays a

certain amount of money and expects the purchased product to be delivered on time. For a

buyer, the quality, price and cost effectiveness of the product are the most important factors to consider when making a purchasing decision.

Seller: Refers to the role of selling products in e-commerce systems. Sellers often have their own channels of purchasing and rely on trading spreads to make profits. For sellers, the goal is to increase the price margin of the product and acquire customers at a lower cost.

Service Provider: A service provider refers to the role of providing sellers with an advertising service or logistics service. This includes search advertisements, click advertisements, email advertisements, social influencers advertisements and so on.

Platform: Refers to the business managing the online website within the traditional e-commerce system. A traditional marketplace usually provide sellers with a series of service integration plans and takes a large commission from the seller’s sales. On the ApolloX platform,

ApolloX Protocol replaces the traditional platform to connect sellers and buyers without being a

middleman for information or payment. The system provides a platform for peer-to-peer cooperation among various roles.

2. Use Cases of ApolloX Token (APXT) Some use cases of the ApolloX Token in applications built with ApolloX protocol (including

ApolloX Marketplace).

2.1. Promotion and Marketplace services Sellers can bid for promotional services, including search result promotions, mail list

promotions and affiliate traffic promotions on ApolloX platform using ApolloX token. Sellers will

also pay ApolloX tokens to have items listed on the ApolloX platform. This ensures liquidity for

ApolloX tokens and serves as a permanent demand for tokens.

2.2. Purchasing Products and Getting Discounts Customers can purchase any product on the ApolloX platform with ApolloX tokens or fiat currency. Sellers can choose to receive tokens or fiat currency as a payout. By conducting the purchase transaction with the platform tokens, the purchase will have additional protection because of the smart contracts rules. The purchase will also avoid transaction processing fees that are charged by the card processor or banks. These fees range anywhere from 3% to 10%. . Both parties have a clear incentive to conduct the sales with the ApolloX token. Should any

party select to use fiat currency only, the token will convert into fiat currency in real time and reduce the effect of changing in the exchange rate.

2.3. Rewards and Loyalty Program

Customers will receive ApolloX tokens as rebates, loyalty program rewards or deals throughout the ApolloX platform. Since ApolloX tokens can be used to purchase any product on the ApolloX platform, the tokens provide value to customers and will keep them engaged on the ApolloX

platform.

2.4. Internal transaction of platform members ApolloX community members can pay each other with ApolloX tokens and use the tokens as a convenient and secure source of payment for various types of services or resources. For example, a shop owner can pay other members with ApolloX tokens for translation services, customer support services, dispute settlement services, logistics service, etc.

2.5. Miners ( resource providers)

ApolloX miners are the ones who provide resources for the ApolloX ecosystem. They will receive ApolloX tokens as compensations to their contributions. Buyers can mine by sharing their shopping history and social profile. Sellers can mine by listing and selling best-selling products. Others can mine by providing technical resources for hosting the ApolloX nodes.

3. ApolloX Token Incentives All various roles within the ApolloX ecosystem are incentivized to hold a certain amount of APXT tokens and actively acquire APXT tokens. They are also driven by a profit incentive to contribute resources to the community.

3.1. Incentive for New Buyers

Buyers can obtain free APXT tokens by setting up an account, filling in an address and payment information, associating historical shopping information, associating social network accounts, etc. The information of these buyers will greatly help the e-commerce platform to understand the needs of users and automate product recommendations. This kind of data is usually strictly controlled by traditional e-commerce companies. On ApolloX buyers can choose to offer their own data in exchange for tokens.

3.2. Incentive Sellers to Upload Best Selling Items The number of best-selling items is crucial to the rapid growth of early e-commerce platforms. We determine whether a product is a best seller by the number of products sold over a period of time. When a new product is determined to be a best seller, the platform will reward the seller with a certain amount of APXT tokens to encourage more sellers to continue to bring their own excellent products to the ApolloX platform.

3.3. Encourage Integration of Third-Party Service with ApolloX ApolloX will develop API interfaces to third-party service providers, including logistics, external traffic and more. ApolloX will provide APXT rewards when a service provider or third-party developer provides an integration with ApolloX.

3.4. Hold APXT Tokens to Receive Rewards When an account holds a certain amount of APXT tokens for a period of time, they will become

ApolloX premium members and enjoy the ApolloX platform’s preferential treatment. For

example, a premium member can get an additional 1% rebate point when purchasing a product.

Premium sellers can get 10 free product listings and 10 free transaction per month.

3.5. Encouraging members to invite new members to join Similar to affiliate marketing, members can invite new people to join ApolloX network and browse suggested products. After new people join and generate deals, inviters will receive

ApolloX rewards.

3.6. Long-term locking and burning of tokens collected by the platform

Sellers pay various tokens for marketing and transaction fees to the platform. The ApolloX platform will not immediately place all these tokens back in the market. Instead, it will extract some of them into the long-term lock-up period (between 2 and 3 years). The purpose of this is to dynamically adjust the supply of circulation to help the stable growth of the platform. A small

percentage of the tokens collected as fees will be burnt to provide a stable economic value to the tokens in the long term.

4. Spontaneous Adjustment and Stability of Token Economics

The value of the ApolloX token is determined by the public demand. As more sellers and buyers move onto the platform, the higher the demand for the ApolloX token will be. Thus, the exchange rate for ApolloX token value will rise. We also see that the price fluctuations in the token exchange today are large, not often affected by the value of the project itself, but also by the overall market conditions of the cryptocurrency. This may bring a negative impact on the healthy growth of the ecosystem. Thus, we have designed a series of measures for spontaneous adjustment to stabilize the APXT circulation market by dynamically adjusting various incentives and fees.

5. Flow Chart of ApolloX Token

Diagram - Token Flow inside the ApolloX Network.

6. ApolloX Governance ApolloX, as a community and blockchain based platform, needs to adapt to its environment to become successful. The initial design of the protocol and rules is important, but the right mechanism for changes is more important.

6.1. Quadratic Lock Voting for Proposals

The ApolloX foundation will host a portal for community members to submit proposals and vote on them. The proposals can be for upgrading the protocol or for implementing some marketing/operational plans. Depending on the nature and impact of the proposal types, a

proposal may require a 60% approval or 85% approval for a consecutive 7 or 14-day period

before it is approved. Quadratic lock voting system will be employed, where N coins let you make N*k votes by locking up those coins for a timer period of k^2. This is to aligns incentives over a long time:

more voting power requires the voter to live with the decision for a longer time. This is important for a community that is easy to enter and leave through the trading of tokens.

6.2. Funding Innovation ApolloX foundation will use at least 25% of the annual platform profit to encourage contributions be made to the ApolloX blockchain and marketplace’s core protocol. The

financing of innovation can be done by proposals for bounty programs for certain features or improvements that are important to the platform’s future growth. This allows the decentralized platform to rapidly evolve without requiring the initial founding team to be committed longer than they want.

7. APXT Token Sale

The ApolloX platform will initially generate and issue 10 billion tokens. The token sale will

launch soon after the incorporation of the ApolloX Foundation.

7.1. Allocation of ApolloX Token

Diagram : Distribution of ApolloX Tokens

38% of the tokens will be held in reserve for the marketing events and for future end-users, to

encourage participation in the ecosystem. Tokens will be distributed to attract large brands to the ApolloX marketplace or used to attract developers to build feature enhancing applications

on the ApolloX platform.

35% of the tokens will be given during the token sale.

5% of tokens will be pre-allocated to ApolloBox for its role in developing the initial ecosystem of

ApolloX Marketplace. ApolloBox will contribute its brand and integration of 1+ million active

users with ApolloX.

15% of tokens will be pre-allocated to the team for developing the technology and operating the Foundation. This token allocation will be subject to a long-term (3 years) vesting period.

7.2. Use of Token Sale Proceeds

The funds raised from the token sale are intended for the following purposes

1. Fund the development of the ApolloX Protocol

2. Partnership and strategic partners

3. Marketing for ApolloX platform

4. Legal expense

5. Operation expense related to migrating the ApolloBox platform to ApolloX Marketplace.

Learn more:

• https://apollox.network
• https://www.facebook.com/apolloxnetwork/
• https://twitter.com/apolloX_network
• https://www.linkedin.com/company/apollo-box-inc.
• https://www.reddit.com/r/ApolloX/.
• https://medium.com/@apolloxnetwork.