> For the complete documentation index, see [llms.txt](https://yappafi.gitbook.io/yappafi-ypa-whitepaper/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://yappafi.gitbook.io/yappafi-ypa-whitepaper/6.-yappafi-metrics/6.2-earning-mathematics.md).
# 6.2 Earning Mathematics
YPA = YappaFi TOKENS
YAPp = YappaFi Ecosystem Points
YAPp is to be converted for $YPA once a month
There will be a total of 350,000,000 YappaFi ($YPA) tokens issued
Distributed at 2,940,000 $YPA Tokens a month
With a public launch price of $0.025
**All YAPp conversions are presuming a 1:1 Conversion rate of YAPp for $YPA**
With $YPA at (0.025) per token
#### **What determines the value of a Yap?**
There’s 5 fundamentals for understanding what determines the value of a yap.
Pi - primary interaction
Si - secondary interaction
Ci - comment interaction
Vi - voice interaction
Fi - face/video interaction
The primary interaction is the first yap. It determines the topic, thus the category of data that will follow.
The first yap:
* begins the succession of yaps
* determines the topic of discussion for yaps
* determines the likeliness for the category of data that will follow
The value of a Primary interaction (Pi) is determined by the Secondary interaction (Si), the quantity of these secondary interactions multiplied by their quality.
Value of Pi is determined by the Si(n x quality), where ‘n’ = quantity
### **Pi = nSi / Si**
### **Si = YAPp\[total] of all secondary interactions \[Ci +Vi + Fi]**
*Pi = value of primary interaction*
*nSi = number of secondary interactions*
*nSic = number of secondary interactions comments*
*nSiv = number of secondary interactions voice*
*nSif = number of secondary interactions face/video*
***C**i = comment quality*
***V**i = voice quality*
***F**i = face/video quality*
(None of these variables can ever be zero unless there is no interactions on a primary interaction)
#### **How is quality determined?**
The quality of a yap is determined via its effectiveness of data content (data captured for vendors \[AI]) and the succession of secondary Yap interactions it generates (its virality)
***Quality of interaction is determined by engagement, succession of yaps, length, comment, face/video, audio “***
***Face/Video - Fi***
*Fi (numeric value) = length + key phrase + video recognition*
***Voice - Vi***
*Vi (numeric value) = length + text to speech + key phrase*
***Comment - Ci***
*Ci (numeric value) = length + keywords*
#### **Comment (Ci) - Quality**
Users can earn YAPp through using keywords in their comments on different topics. Topics can also be staked by users, allowing them to earn extra from keywords that are used within topic discussions.
The value of a comment interaction = **length** (exponential) + **keyword**
**The length is calculated below:**
In a comment interaction we add value of the length and value of the keywords.
*YAPp = YAPp0ekt*
*YAPp0= 0.01*
*2000 characters = apx 500 words*
*YAPpmax = 0.25 =*
*0.25 = 0.01 x e500k*
*ln(2500) = ln(e500k)*
*ln(25) = 500k*
*k = 6.43 x 10-3 = 0.00643*
For the length of a comment interaction we need exponential growth. We apply an exponential equation to determine k - a constant for the exponential equation. Going from 10 characters to 2,000.
The constant k gives us the ability to determine the amount of **YAPp** for any number of characters or words.
K is the constant that is multiplied by the length of the comment which allows the rewards for a variable comment length within reward bounds to be calculated.
The minimum **(YAPp0)** being 0.01 ( if less than 10 characters minimum bound is used).
The maximum **(YAPpMax)** is 0.025 (if more than 2000 characters or 500 words max bound is used).
In this case the constant is *k = 6.43 x 10-3 = 0.00643*
*Therefore if the **YAPpMax** was different the K would also change.*
Keywords are designed based on relevance to the topics in the **Pi** (Primary Interaction).
**Keyword staking pool: Example**
Yap topic ‘The Game - The Merge Explained’: **KEYWORDS**
1. ***Ethereum2.0***
2. ***Proof of stake***
3. ***Proof of work***
4. ***Blockchain mechanisms***
5. ***Mining***
6. ***Validators***
7. ***Consensus***
8. ***Nodes***
9. ***Transactions***
10. ***Blocks***
These keywords are generated by the API, reconfigured, and then broadcasted to the blockchain. They are held by the API for only the time period of a transaction on the YappaFi network (milliseconds) in order to assure that off-chain data does not cause anomalies on-chain.
If a user additionally decides to stake **$YPA** on the ***topic*** of ‘The Merge’, they unlock the ability to earn a % of all transactions that utilize keywords from this ***topic.***
These APIs can be high, as pool period can be decreased so that only engaged users can take advantage of earnings.
Keyword staking pool is designed by ***topics*** as it allows groups to stake their interest in ***topics***.
These keywords are assigned automatically by the API and are hidden from users to stop exploitation.
In a given ***topic*** there’s a range of keywords associated with it. The words are associated with the specific topic and the broad topic.
Users using the keywords are rewarded for engaging with the ***topic***..
The raw data (YAPp) value should be increased by 5% per use case of keywords if they’re using the keywords appropriately.
**ONLY NODE HOLDERS CAN CHOOSE TOPICS**
**Opens up a new method to earn income. Node holders in specific industries (e.g. womens fashion) can stimulate topic discussion by increased earning through keywords through staking of the *****topic*****, thus generating an income for people yapping in their community.**
**Keyphrase Marketplace**
We aim to set the base at 12 ***topics*** with 10% APY each. Only Vendors with Ethereum Nodes can choose a ***topic***. If we have more than 12 vendors with nodes. This will initiate a ***topic*** bid where Vendors can bid for the ***topic*** slot.
#### **EXAMPLE 1:**
‘**Proof of stake** is going to transform the way **transactions** are verified on the **blockchain’**.
Keywords used:
* **proof of stake**
* **transactions**
* **blockchain**
**Appropriateness of use:**
**used in sentence✔️**
**used within succession of each other ✔️**
**forms a viable statement ✔️**
**forms sentence with 15 different words ✔️**
**(allows YappaFi to monitor whether a user is trying to farm keywords by placing them in unnatural succession)**
**Raw data value (based on length): 0.011 YAPp**
**3 keywords: 15% (increase on raw data value YAPp through each keyword at 5% each)**
**NEW YAPp Value based on KEYWORDS = 0.017 YaPp**
#### **EXAMPLE 2:**
**Ethereum’** has had its days running the **PoW** **mechanism** as **miners** are no longer essential for forming, signing, and adding **blocks** to the chain. It’s much more efficient now that this process can be authorized by **ethereum 2.0** **validators** in **consensus** groups by electing **nodes** to oversee these transactions.’
Keywords used:
* **Ethereum**
* **PoW**
* **Consensus**
* **Nodes**
* **Miners**
* **Mechanism**
* **Validators**
* **Ethereum 2.0**
* **Blocks**
**Raw data value (based on length): 0.014 YAPp**
**13 keywords: 45% increase of YAPp Value**
**NEW YAPp Value based on KEYWORDS = 0.2**
**MAX YAPp SCENARIO - YAPp Max = 500 words**
**Raw Data Value = 0.25**
**15 Keywords = 75%**
**New Max Value = 0.44**
**Therefore max theoretical reward of YAPp one can achieve per comment is 0.44 YAPp**
The reward system is designed so that the highest achievable reward for a comment is equal to the lowest achievable reward for a voice.
Users will first have the earnings of YAPp paused if negative or copycat yaps are detected.
**KEY PHRASES FOR AUTHENTICATION AUDIO & VIDEO YAPS**
General phrases associated with ***topic***
Examples:
*‘Proof of work and proof of stake use algorithms to validate cryptocurrency on a blockchain network.’*
*‘The main difference between PoS and PoC is how they choose and qualify users to add transactions.’*
**Key phrases can be determined from the Pi or by staking an interest (cross references with phrases mentioned by other users in yap thread and also phrases stored in interest pool by API)**
A *“ key phrase “* will be limited to 20 words and there will be a max of 3 key phrases per yap registered by API. The “key phrases “ allow the API to know that the user is engaged and hence give them a reward.
Key Phrases will be limited to video and audio allowing for unique and contextual use of vendor phrases E.g. “ JUST DO IT “ would allow a vendor to have videos of users using the phrase in context, with our full access data stack limited to Node holders. Use cases:
* This would allow vendors an increased level of targeting and potentially the ability for vendors who are forward thinking to create challenges for users
* Rewards and NFTs for users who fall under the remit of usage of phrases with consistency. Collectively the use of subject specific terminology should allow for rewards of up to 5% more per adequate use per yap.
#### **Keyword Auction**
Influencers/Users will have the ability to stake $YPA on keywords that they can suggest. Influencers/ Users can select words e.g. “ Air Force One “ the top 12 words per region will receive the staked tokens from the words that fell outside the top 12. Therefore encouraging users to talk about topics using keywords as this will encourage other users to stake on what appears to be the most used / trending / popular word.
#### **Audio Rewards**
Voice *- Vi*
*Vi* **YAPp** *(value) = length**(time)** + text to speech + key phrase*
For Audio Yaps the length variable is time (the length of time of a yap).
**Vi(Audio) YAPp0** Min is **0.1** = (10s) 10 Seconds (If less than 10 seconds minimum bound is used).
**Vi(Audio)** **YAPpMax** Max is **0.6** = (60s) 60 Seconds (if more than 60 seconds maximum bound is used).
For the length of an Audio interaction we need exponential growth. We apply an exponential equation to determine k - a constant for the exponential equation. Going from 10 seconds to 60 seconds.
The constant k gives us the ability to determine the amount of **YAPp** for any length of an audio yap.
K is the constant that is multiplied by the length of the comment which allows the rewards for a variable comment length within reward bounds to be calculated.
In this case the constant is ***k** = 0.03 (0.0298) for **Vi***** (AUDIO).**
*Therefore if the **YAPpMax** was different, the ‘K’ would also change.*
#### **AUDIO Example:**
**“Proof of stake is going to transform the way transactions are verified on the blockchain. Ethereum has had its days running the PoW mechanism as miners are no longer essential for forming, signing, and adding blocks to the chain. It’s pretty efficient that this process can be authorized by ethereum 2.0 validators in consensus groups by electing nodes to oversee these transactions.”**
**LENGTH: 25 seconds**
**388 characters**
**64 words**
**4 sentences**
**k=0.03 x 25s (Seconds) therefore: Pi25s = 0.1e0.03x25 = 0.21**
**Raw data value (based on time): 0.21**
#### **KEYWORD MULTIPLIER**
**15 Keywords = 75%**
**15 keywords: 75% Increase of YAPp Value**
**NEW YAPp VALUE Based on KEYWORDS = 0.37 YAPp**
**MAX YAPp SCENARIO - YAPp Max = 60s (Seconds)**
**k=0.03 x 60s therefore MAX: 60s: 0.1e0.03x60**
**MAX YAPp Raw Data Value = 0.6**
**Therefore max theoretical reward of YAPp one can achieve per Vi (voice) is 0.6 YAPp**
#### **FACE/VIDEO REWARDS**
Face/Video = Fi
*Fi* **YAPp** *Value = length(**time**) + key phrase + video recognition*
For Video Yaps the length variable is time (the length of time of a yap).
**Fi(Video) YAPp0** Min is **0.55** = (10s) 10 Seconds (If less than 10 seconds minimum bound is used) = $0.013
**Fi(Video) YAPpMax** Max is **0.98** = (60s) 60 Seconds (if more than 60 seconds maximum bound is used) = $0.024
For the length of Video Interaction we need exponential growth. We apply an exponential equation to determine k - a constant for the exponential equation. Going from 10 seconds to 60 seconds.
The constant k gives us the ability to determine the amount of **YAPp** for any length of a video yap.
K is the constant that is multiplied by the length of the comment which allows the rewards for a variable comment length within reward bounds to be calculated.
In this case the constant is ***k** = 0.009 for **Fi***** (VIDEO).**
*Therefore if the **YAPpMax** was different, the ‘K’ would also change.*
#### **FACE/VIDEO Example:**
**“Proof of stake is going to transform the way transactions are verified on the blockchain. Ethereum has had its days running the PoW mechanism as miners are no longer essential for forming, signing, and adding blocks to the chain. It’s pretty efficient that this process can be authorized by ethereum 2.0 validators in consensus groups by electing nodes to oversee these transactions.”**
**LENGTH : 25 seconds**
**388 characters**
**64 words**
**4 sentences**
**k=0.009 x 25s (Seconds) therefore: Pi25s = 0.55e0.009x25 = 5.2**
**Raw data value (based on time): 5.2 = $0.13**
**KEYWORD MULTIPLIER**
**15 Keywords = 75%**
**15 keywords: 75% Increase of YAPp Value**
**NEW YAPp VALUE Based on KEYWORDS = 9.1 YAPp = $0.227**
**MAX YAPp SCENARIO - YAPp Max = 60s (Seconds)**
**k=0.009 x 60s therefore MAX: 60s: 0.55e0.009x60= 121.77**
**MAX YAPp Raw Data Value = 121.77 = $3.04**
**Therefore max theoretical reward of YAPp one can achieve per Fi (video) is 121.77 YAPp**
SUMMARY of **YAPp** Values
Value ranking:
**(Ci)Comment min YAPp : 0.01 (WITHOUT KEY WORDS) = $0.000025**
**(Vi)Voice min YAPp: 0.1 (WITHOUT KEYWORDS & WITHOUT ENGAGEMENT) = $0.0025**
**(Fi)Face/Video min YAPp: 0.55 (WITHOUT KEYWORDS & WITHOUT ENGAGEMENT) = $0.013**
**MAX YAPp** values
**(Ci)Comment MAX YAPp = 0.4 (WITHOUT KEYWORDS & WITHOUT ENGAGEMENT) = $0.01**
**(Vi)Voice MAX: YAPp = 1.05 (WITHOUT KEYWORDS & WITHOUT ENGAGEMENT) = $0.026**
**(Fi)Face/Video MAX:YAPp = 121.77 YAPp (WITHOUT KEYWORDS & WITHOUT ENGAGEMENT) = $3.04**
For every authentic YAP creator that starts the thread in cases where there is an interaction this would amplify the YAPp Rewards alongside initial first interactions for users joining the comment thread.
#### **Example:**
**You a comment (c), audio (v), or video (f): v Pick 1 2 or 3: 2 0.55 Begin new succession (Y/n): n End succession (v/n): n You a comment (c), audio(v), or video (f): f Pick 1 2 or 3: 2 1.34 Begin new succession (y/n): Y You a comment (c), audio (v), or video (f): f Pick 1 2 or 3: 3 2.24 Begin new succession (v/n): Y You a comment (c), audio (v), or video (f): V Pick 1 2 or 3: 1 2.54 Begin new succession (y/n): n End succession (y/n): Y 1.968503937007874 YAPP End succession (y/n): n You a comment (c), audio (v), or video (f): C Pick i 2 or 3: 1 3.24 Begin new succession (v/n): n End succession (v/n): n You a comment (c), audio (v), or video (1): C Pick 1 2 or 3: 2 3.4800000000000004 Begin new succession (Y/n): n End succession (y/n): Y 1.7241379310344827 YAPP End succession (y/n): Y 1.4084507042253522 YAPP**
A user interacts with another user’s post via Video YAP so this user becomes a secondary interaction (Si) the score form this YAP in this instance is
1.968 YAPp this secondary interaction adds value to the initial primary interaction in the thread.
This value is dependant on the length and quality (further interactions, quality of data eg. Video (Fi) ranking higher than text comments (Ci)
#### Scenario 1:
Initial comment is a text comment (Ci) valued at 0.55 YAPp = $0.013 the comment then gets secondary interaction.
Video (Fi) primary user reward 1.34 YAPp
Video (Fi) primary user reward 2.24 YAPp
Audio (Vi) primary user reward 2.54 YAPp
Giving the initial creator of the thread who initially was rewarded 0.55 YAPp = $0.013 for a text comment (Ci) now receives a reward of 3.24 YAPp = $0.081 because of the quality of the secondary interactions in the thread.
#### Scenario 2**:**
Initial comment is a Video comment (Fi) valued at 0.55 YAPp = $0.013 the comment then gets secondary interaction.
Video (Fi) primary user reward 0.9 YAPp
Video (Fi) primary user reward 1.8 YAPp
Video (Fi) primary user reward 2.7 YAPp
Video (Fi) primary user reward 3.6 YAPp
Video (Fi) primary user reward 4.5 YAPp = **$0.0832**
RESULT 3.33 YAPp from thread
The original creator of the thread who initially was rewarded 0.55 YAPp = $0.013, the minimum for a video comment (Fi), now receives a reward of 3.33 YAPp = $0.0832 because of the quality of the secondary interactions in the thread.
#### **YAPp to $YPA CONVERSION**
Each month 2,940,000 $YPA tokens will be released to the ecosystem in order to convert YAPp to $YPA.
YAPp is given to the user after a transaction that can only be verified by the blockchain. YAPp will have an unlimited supply, allowing us to turn YAPp tokens into $YPA at any given time as long as there is a transaction to support it.
When the YAPp is converted by the user, the YAPp is burnt from the supply.
However, any users who fail to convert will have the YAPp burnt but the $YPA reward will be locked for a period of 90 days before being burnt. Users have 90 days to claim $YPA rewards.
Any conversions of YAPp to $YPA cause a partial value burn mechanism for $YPA.
#### **Scenario 1:**
1,500,000 YAPp have been issued
$YPA monthly supply is 2,940,000
Therefore 2,940,000 is divided by 1,500,00 = 1.96 conversion rate
Therefore for every 1 YAPp the user will be rewarded 1.96 $YPA
With a burn rate of 1.96 on the amount issued and is taken from all users equally.
2,940,000 with a burn rate of 1.96% (57,624) supply issued is **2,882,376**
After the YAPp amount equals the $YPA amount, the burn rate will be set to 2% of issued amount. After 2 years we will allow users to vote whether the Burn calculation is added to the 2% flat burn rate or if the model is to be kept the same.
#### **Scenario 2:**
8,643,596 YAPp is issued
2,940,000 $YPA is issued
Therefore 2,940,000 is divided by 8,643,596 = 0.34 conversion rate
Therefore every 1 YAPp the user will be rewarded 0.34 $YPA
With a burn rate of 2% issued and taken from all users equally
2,940,000 with a burn rate of 2% (58,800) supply issued is **2,882,376**
MAX EARNINGS will be 12,000 $YPA tokens which is currently equivalent to a $300 monthly cap will be initiated and will be capped via utilization of KYC and Polygon ID.
Excess YAPp users will have the ability to reward both advertisers, publishers and other users, or exchange for rewards for vendors or NFTs.
Users can gift/send other users YAPp in exchange for access to content and other offerings from the content creator. Sending YAPp will also give the user a chance of a reward.