An Analysis of the Stability of YappaFi Ecosystem

The Ethereum Virtual Machine is currently the leader in Web3 blockchain application deployment, so by using Polygon it allows us to access the market leader and also resolve the scalability issue presented in Ethereum co-founder Vitalik Buterin’s ever relevant trilemma.

https://www.crypto-news-flash.com/jpmorgan-ibm-microsoft-amazon-are-buying-ethereum-eth/ (40); However our decision to use Polygon allows us to access and offer our partners to have nodes within our system to validate transactions and usage across the core Ethereum layer but also allow users to become a validator across the Polygon layer with currently the cost of becoming a validator on the polygon network only being 1 MATIC (41) which we believe is affordable to almost the whole global population.

Furthermore the view is to automatically stake each user's first $YPA = equivalent value of 1 matic to convert that user at some point into a validator. Then enhancing that option for them to become a validator for both YappaFi and Polygon networks.

The long-term view is to become a fully decentralised system with verification of $YPA transactions and data being spread across a network both within the Polygon and Ethereum blockchain.

Publishers and advertisers will be offered Validator positions within the Ethereum layer of our architecture and again we are happy to service them in becoming both YappaFi validators and Ethereum Validators for a small maintenance fee.

This staking in exchange for validator positions will be mandatory later down the line for those wishing to access our YappaFi API extension or access to our data stack for them to develop on build outs they desire.

We believe that this will provide a high value of TVL for the YappaFi Ecosystem.

To maintain a healthy flow of volume within our ecosystem as previously mentioned all parts, be it publishers, advertisers, users, data users will be able to reward one another with $YPA. Thus as more B2b and c2B transactions happen and more $YPA is released eventually more TVL increases causing a gradual supply shock.

What makes YappaFi Stable -

• Polygon Matic due to its multi layer infrastructure as well as its scaling solutions allows for a unique opportunity as we will be creating nodes that will provide additional income within the network without having to spend exorbitant amounts on gas fees. We would instead use the increase in users and transactions of not only YappaFi, but also the entire Polygon ecosystem to generate additional revenue. A portion of this revenue will be used to buy back the YappaFi ($YPA) main supply on a quarterly basis. We will eventually offer these nodes to users as we will store individual user data in a decentralized manner by utilizing Polygon ID and storing additional data within nodes thus eventually giving users the option to receive yields from maintaining the network that holds their individual data.

• Advertisers + Publishers will become validators within our network in order to get access to the full data stack; However in order to leverage the high qualitative data we will require enough Ethereum to stake and create an Ethereum node on the base layer of Polygon. This will come with a management fee which will be used for reinvestment into the ecosystem such as buybacks. A portion of the commission we receive from yield from nodes will buy back tokens and provide new rewards for the main ecosystem.

• 0.84% of 350,000,000 ($8,750,000) tokens working out at 2,940,000 at 0.025 = $73,500 tokens a month will be released to users on a monthly basis. Thus making much more irregular exit times counterbalanced with the deflationary pressure of additional token buy backs mentioned.

• As we have our own native wallet this causes YappaFi to be less susceptible to negative forces affecting markets and other projects such as hacks and network outages etc.

• A portion of fees charged to vendors who will be creating NFTs to reward users for completing challenges or being sold to users will be used to provide additional ecosystem rewards for our users and most importantly will also contribute towards token buybacks. This will be executed at the same time and in the same manner in regards to royalties received from NFTs sold within the YappaFi NFT marketplace and also sales of NFTs minted within YappaFi but resold within external third party secondary marketplaces.

• There is a unique and high demand for data sets to train AI and Machine Learning software as the majority of training systems are built using free data sets thus reducing the quality of output. YappaFi will be offering data sets from select users who opt in to share their data with AI & Machine Learning companies. Of which proceeds will be used to provide sustainability and longevity to the ecosystem. In addition to this a portion of the funds created from this revenue strand will be used to provide education to users on machine learning and AI.