FarmaTrust token design & use case - why you should HODL
This is an example of a use case set out to help readers and the community understand the whole ecosystem FarmaTrust provides. This should help you recognise the incentives the new tokenomic model provides — please refer to the whitepaper for detail.
What is the FarmaTrust (FTT) token function:
FTT has 2 primary functions:
- Bonding for regulatory tracking of a batch of medicinal products
- Staking to generate ZOI tokens
Use case for FTT:
A brand sends out 3 batches of a product per day, with an average use span of 8 months. Per batch needs 100 FTT needs to be locked into a smart contract, the Compliance Tracking Token Smart Bond, to add the serial numbers to the blockchain. In this case, a total of 300 FTT per day * 240 days (till first batch is released for re-use) results in a total FTT demand of 72K FTTs.
This is a very small company on average. So let’s go to a medium sized company:
54 product lines, on average 2 batches a day = 108 batches in total, average span before release 220 days results in 2376k FTTs in demand.
As we expect, FTT will eventually become a short supplied product. A brand can decide to convert ZOI tokens into Compliance Tracking (CT) tokens at a 1:1 ratio.
This provides a solution to the regulatory demands in the US and EU, as pharmaceutical companies are required to track medication per product. (Note — it’s already in action in the US, whereas the EU will announce this shortly named FMD).
Use case for ZOI:
Staking is done within the Zoi Staking Wallet (i.e. smart contract staking) which sits inside the Zoi ecosystem. From within the exchange environment, a person can either choose to sell the staked ZOI tokens (on the Zoi Exchange), or use it to their pleasing (e.g. if you as an end consumer wants to know more about a product, you can use ZOI tokens to purchase data on the Zoi platform).
As we believe researchers, regulators and NGOs would like access to data (anonymously), this becomes a secondary market for Zoi (and thus private holders that wish to stake and trade ZOI tokens).
What is the incentive for you to hold FTT and even stake ZOI?
As FTT gets locked by brands for various periods, they are removed of the active “pool”. In doing so, the availability of FTTs will decline per client that starts to use the platform. When the demand increases and availability declines, the market value adjusts accordingly.
By staking the FTT tokens in the ZOI Staking Wallet, they will be locked for an x period of time. As you are not able to sell these tokens, this also reduces market availability. As a reward for staking the FTTs, you in turn receive 500 ZOI every 7 days.
ZOI can be used in various cases:
- Converting them to CT tokens: For track & trace clients who have insufficient FTTs, they will need to purchase ZOI tokens and convert them to CT tokens (at a 1:1 ratio).
- Using the Zoi platform: after scanning a product for its authenticity, you can purchase additional data about that specific product.
- Obtaining additional data: Research centres, universities, brands and NGOs can use ZOI to purchase anonymous data
- Setting up alerts: brands, NGOs , regulators and basically anyone can set up notifications to alert them based upon supply, shortage and usage of a specific product
The demand and usage of ZOI creates a secondary market, directly involved with the products, but with a different angle to work with (data consumption/usage) or as replacement when there is insufficient FTTs for a company to comply with track and trace regulations.
The FarmaTrust Team
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