Capture Credit Explained, All You’d Like to Know!
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New Update on 2022/12/7: Since lots of users are confused about NUM Point and NUM Token, it has officially been re-named as “Capture Credit”! The rule for using Capture Credit (including referral rewards) are all the same as NUM Points.
Capture APP’s referral program was introduced last week and with it came the first official introduction of Capture Credits. Our community was delighted to hear about this new type of reward, however with excitement often comes questions.
What are Capture Credits? What can I do with it? What about NUM Token? We will be answering these questions and more in this article.
TLDR
- Capture Credits are an alternative way of facilitating Network Actions.
- The value of Capture Credits is pegged to the value of $NUM and as a result will always have a one-to-one credit to token evaluation.
- Capture Credits transactions are faster and have no gas fees.
- When Capture Credits are consumed through Network Action, an equivalent amount of $NUM token will be added to the quarterly burn program.
Context
For the past few months, we have been building on top of our content authenticity protocol to create a photo network based upon core principles of WEB3.0, namely community and decentralization. At the core of anything WEB3.0 is a native token, in our case $NUM. As outlined in NUM Token Rewards and Utilities, we saw $NUM as a utility token that can facilitate actions like Community Verification and especially Network Actions.
Network Actions are services within the Numbers network that digital media can opt-into. These services include WEB3.0 asset registration, listings onto NFT marketplaces, WEB3.0 storage and more. Instead of having to onboard and reupload onto separate platform servers as we do now with WEB2.0 projects, digital media in a WEB3.0 network, such as our own, can simply opt into multiple services through network actions. The “opt-in” that is afforded to digital media via Network Actions is fundamental in creating and achieving a fluid WEB3.0 digital media ecosystem. The more services digital media has access to the greater reach and value it has.
Our goal has been to empower digital media within the Numbers Photo Network. For that to happen, we need to increase the number of network actions digital content can opt into. This is what we have been focusing our efforts on. At the time of writing we have a total of 9 LIVE network actions with the highlights being “NFT Listing to NFTrade on Avalanche” and “Listing to OpenSea”.
The Need for Capture Credits
This brings us back to $NUM. Given the current state of transactions on the blockchain, the harsh reality is transaction speeds can be slow and gas fees are less than desirable. Add to the fact that a good portion of digital asset creators are unfamiliar with crypto and we officially have a $NUM dilemma.
We want our users to have a seamless User Experience and reduce the amount of barriers for everyday users. For that to happen we need an alternative solution that gives us fast transactions and allows the average non-crypto owning user to participate in our WEB3.0 photo network.
Enter Capture Credits!
What are Capture Credits & How does it work?
Capture Credits are an alternative form of Network Action payment that circumvents the slow blockchain transaction speeds and undesirable gas fees present with traditional $NUM payments. This is achievable because Capture Credits transactions are facilitated by our very own servers.
The value of Capture Credits is pegged to the value of $NUM and as a result will always have a one-to-one credit to token evaluation.
We are especially excited about Capture Credits and what it can do to bring more users to our network. Since its initial introduction last week, we have seen a significant increase in Capture App downloads and user registration. This is a good sign for the overall health of the network moving forward.
Though faster transaction speeds and no gas fees are conceptually great and attractive, $NUM token holders may understandably have concerns. Questions surrounding the correlation between credits and actual tokens have a lot of implications regarding their investments.
Let us dive further into what goes on with Capture Credits:
When Capture Credits are issued, they sit inside Numbers servers waiting to be allocated. Allocation events include events such as referral rewards, promotion events, direct Credit purchases. In the event Capture Credits are consumed through Network Action, an equivalent amount of $NUM token will be added to the quarterly burn program.
For example, assuming in Q3 2022, a total of 100K Capture Credits were consumed on Network Actions in the Numbers Ecosystem, a total of 100K $NUM Token will be burned. The burning will continue until the goal of 50% of the total supply is burnt which makes it align with the Deflationary strategy. After 50% of the total supply is burnt, we shall discuss with the community and propose to Numbers DAO and determine how the future tokens should be used.
We believe the relation between Capture Credits and $NUM Token is mutually beneficial, as it (1) encourages more digital asset activity in the Numbers Network making it more valuable and (2) passively increases the value of circulating $NUM tokens through additional quarterly burns.
Capture Credits Restrictions
At its core, Capture Credits are quality of life changes aimed at encouraging more Network Action usage. As mentioned before, more activity in the network means more value for digital assets and more value generated for the network. For this reason, we are NOT allowing Capture Credits withdrawals and using Capture Credits to buy Capture NFT is also prohibited.
A drawback of convenience is often abuse. These decisions were made to encourage healthy activity in our network and protect honest stakeholders. The discussion surrounding Capture Credits will remain fluid and future decisions regarding Capture Credits will be done in collaboration with the community.
If the community has any concerns or suggestions to improve Capture Credits or anything related to the Numbers Network, create an issue on our Community GitHub. We are always listening!
About Numbers Protocol
Numbers is building a decentralized photo network for creating community, value, and trust in digital media. Its Numbers Protocol redefines digital visual media as assets and is the backbone of a suite of tools for registering and retrieving images and videos in the Numbers network.
These include:
- Capture App: The first blockchain camera in the world that users can easily register photos and use Web 3.0 applications.
- Seal API: Developers and enterprises can implement Numbers API to register photos and access their Web3.0 addresses and certificates.
- Certificates: content authenticity certificates with on-chain provenance
- CaptureClub marketplace: Native NFT marketplace which allows photo generators to sell and stake their creations.
- NFT Search Engine: The first Web 3.0 NFT search engine that helps users verify the history of NFTs and prevent potential NFT fraud.
Numbers champion the purity of digital media and enable people to think more critically about the interactions between our images and the world around us. The goal of Numbers is to tokenize authentic photos (including images and videos) to create a decentralized photo network in Web 3.0.
