Governance System

Governance System

Stakers: Positions, Eligibility and Authorization Rules

All Telcoin mobile application customers who enter another user’s referral code and stake TEL on Telcoin Application Network may participate as Stakers.

Introduction

The following section intends to make clear the two positions within the Miner type of Staker, the participants who can take those positions based on their attributes and subject to what conditions that must be met to participate.

Position Rules

There are two types of stakers, including both Merchant and Retail Stakers. While they both perform the same activities, compete over the same users to harvest fees at the same rate, and govern as one collective unit (Miner Group), they mine TEL issuance from separate flows and possess different attributes.

  • Merchant Stakers: Business, Telcoin mobile application users who market Telcoin to their customers.
  • Retail Stakers: Individual, mobile application users who market Telcoin to their friends and family.

    • Staker Eligibility Rules: Required Attributes

    The required characteristics an individual must possess in order to participate in the position of Staker, harvest TEL issuance, and participate in governance.

    Merchant Stakers

  • Organizational Requirements: All business or similar entities (e.g. trusts) are eligible to participate as Merchant Stakers.
  • Location Requirements: The entity must not have primary jurisdiction location in a sanctioned country according to the United States OFAC/FINCEN sanctions list.

    • Retail Stakers

  • Organizational Requirements: All natural, individual persons, not businesses or similar entities, are eligible to participate.
  • Location Requirements: The participant must not reside in a sanctioned jurisdiction according to the United States OFAC/FINCEN sanctions list.

    • Staker Authorization Process: Conditions for Participation

    The actions an individual must take to enter, maintain, and exit the position of Staker in order to to harvest TEL issuance and participate in governance.

    Entry Rules

    The following conditions must be met in order for users to enter the position of Staker.

    Authorization Process

    In order to enter the position of Staker, participants must:

  • User Registration: Download and fully register on a Telcoin Application using Business or Individual KYC.
  • Network Connection: Integrate another user’s referral code in their mobile application.
  • Proof of Alignment: Stake TEL to mine referral fees and issuance and to participate in governance.

    • Rules for Maintaining Position

    In order to maintain the position of staker, participants must:

  • Staked TEL: Stakers must maintain a staked TEL balance in order to continue harvesting TEL issuance from the Platform and to participate in governance.
  • User Account: Stakers must interact from a user account on a registered Telcoin mobile application.

    • Exit Rules

    The rules for how a Staker may or must exit their position.

  • Unstake TEL: Stakers may exit their position at any time by removing their entire staked TEL balance.
  • Account Termination: Users who voluntarily or otherwise terminate their TAN mobile application account may not participate as a staker until their account is reinstated.