SPORES NETWORK

The full-stack NFT & DeFi platform for creative industries

The full-stack NFTs & DeFi platform for massive adoption Page 0 of 19
Contents
Abstract.......................................................................................................................................... 2
1 NFTs: an Exploding Market ................................................................................................... 3
1.1 What are NFTs? ..................................................................................................................3
The characteristics & advantages of NFTs ................................................................................... 3
Benefits of NFTs ..........................................................................................................................4
1.2 How do NFTs work? ................................................................................................................ 4
1.3 NFTs booming ........................................................................................................................... 5
2 The Marriage of NFTs & DeFi ............................................................................................... 7
2.1 NFTs for creative industries ................................................................................................... 7
2.2 Limitations of current NFT space .......................................................................................... 7
2.3 How SPORES solves the problems ....................................................................................... 8
3 SPORES Specializations ...................................................................................................... 10
3.1 Spores architecture & technologies .................................................................................... 10
3.2 How Spores platform works ................................................................................................ 12
3.3 Spores usecases and benefits ......................................................................................... 13
Benefits for NFT creators and users of Spores platform ....................................................... 15
3.4 Spores’ NFT-DeFi model: a deeper look .................................................................................. 15
3.5 Spores differentiations .................................................................................................... 15
4 Tokenomics and Fee Policy ................................................................................................. 17
4.1 Spores’ native token .................................................................................................. 17
4.2 Token usage ...................................................................................................................... 17
4.3 Fee policy ........................................................................................................................... 17
5 Tentative 3-year Roadmap .................................................................................................. 18
References .................................................................................................................................... 19

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Abstract
Spores Network is building a multi-chain interoperable NFT marketplace and DeFi protocols for
Creative Industries: Animation, Collectibles, Digital Artworks, Fashion, Gaming, Sport Cards.
Spores Network founders deeply believe that a digital “metaverse” is being built today that will
revolutionize our thoughts and behavior with respect to living, owning, sharing our physical and
digital lives. Crypto enables two exciting and eventual two paths: Decentralization of Ownership,
Frictionless Redistribution of Capital.
Spores seeks to empower creators to create, exchange, and communicate their life’s work. Our Core
Values are defined as: Creator Centricity, Frictionless, Borderless, Community.

It is now the marriage of NFTs & DeFi for massive applications.

Keywords: Blockchain, collectibles, digital artwork, decentralized finance (DeFi), decentralized

NFT finance, gaming, Non-Fungible Token (NFT), smartcontract.

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1 NFTs: an Exploding Market
1.1 What are NFTs?

Non-Fungible Tokens (NFTs) refer to unique, non-transferable digital assets stored in

blockchains. This one-of-a-kind asset is something that cannot be tinkered with but can still
be traded as an asset or bought with a cryptocurrency such as Ether (ETH), USD Tether
(USDT). Essentially, this makes an NFT a digital certificate of authenticity: The token
serves as a unique code irrevocably associated with a digital file, allowing to distinguish the
original file from copies floating around on the Internet. This relatively new technology
allows for various applications.
NFTs are used to represent ownership of unique items. They let us tokenize things like art,
collectibles, even real estate. They can only have one official owner at a time, and they're
secured by the Ethereum blockchain – no one can modify the record of ownership or
copy/paste a new NFT into existence. NFT stands for non-fungible token. These things are
not interchangeable for other items because they have unique properties. Fungible items, on
the other hand, can be exchanged because their value defines them rather than their unique
properties. For example, ETH or dollars are fungible because 1 ETH / $1 USD is
exchangeable for another 1 ETH / $1 USD.
Several famous examples of where NFT was used include the Beeple’s image auction sale
worth $69M USD (see Figure 2 also), Twitter founder Jack Dorsey selling his very first tweet
through NFT marketplace Valuables, sports platform Top Shot - where basketball fans can
buy and collect packs of NBA highlights. NFT is also used for investments, with an investor
specializing in this technology ranking among Europe's biggest Fintech investors in the seed
stage. The NFT world is relatively new. Theoretically, the scope for NFTs is anything that is
unique that needs provable ownership. Here are some examples of NFTs that exist today, to
help you get the idea. Readers can find extensive knowledge about NFTs on [1, 2]. In the
following, we present NFTs based on Ethereum, which may also be similarity applied for other
Blockchains (e.g.BSC, Polkadot).
Examples of NFTs What are NFTs used for?
• A unique digital artwork. • Digital content
• A unique sneaker in a limited-run fashion line. • Gaming items
• An in-game item. • Domain names
• A thesis, essay or intellectual property. • Physical items
• A digital collectible. • Investments and collateral
• A domain name.
• A ticket that gives you access to an event or a
coupon.

The characteristics & advantages of NFTs

• Limited: The value of NFTs comes from their scarcity. NFT creators can create an
unlimited volume of non-fungible tokens; they often modify the underlying digital
file to increase interest.
• Indivisible: Most NFTs are indivisible into smaller units, impossibly buying a
fractionof them.
• Unique: NFTs have a strong information tab that explains their uniqueness. This
information is fully secured and genuine by blockchain.

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Benefits of NFTs
• Easily Transferable: NFTs are purchased and sold on special marketplaces, normally
via the medium of cryptocurrencies (e.g. ETH, USDT). The use of NFTs depends on
their originality.
• Trustworthy: Blockchain technology provides the framework for non-fungible
tokens. Therefore, you know that your NFT is accurate since it’s hard to create
counterfeits with a decentralized and permanent record.
• Maintain Ownership Rights: This refers to an NFT’s worth of decentralized platforms
where no purchaser can change the data later.

1.2 How do NFTs work?

NFTs have some special properties: If you own an NFT:

- Each token minted has a unique - You can easily prove you own it.
identifier. - No one can manipulate it in any way.
- They're not directly interchangeable - You can sell it, and in some cases this will earn the
with other tokens 1:1. For example 1 original creator resale royalties.
ETH is exactly the same as another - Or, you can hold it forever, resting comfortably knowing
ETH. This isn't the case with NFTs. your asset is secured by your wallet on Ethereum.
- Each token has an owner and this And if you create an NFT:
information is easily verifiable. - You can easily prove you're the creator.
- They live on Ethereum and can be - You determine the scarcity.
bought and sold on any Ethereum- - You can earn royalties every time it's sold.
based NFT market. - You can sell it on any NFT market or peer-to-peer.
- You're not locked into any platform and you don't need
anyone to intermediate.

An NFT internet The internet today

A copy of a file, like an .mp3 or .jpg, is the
NFTs are digitally unique, no two NFTs are the same.
same as the original.
Ownership records of digital items are
Every NFT must have an owner, and this is of public record
stored on servers controlled by institutions
and easy for anyone to verify.
– you must take their word for it.
Companies with digital items must build
NFTs are compatible with anything built using Ethereum.
their own infrastructure. For example, an
An NFT ticket for an event can be traded on every
app that issues digital tickets for events
Ethereum marketplace, for an entirely different NFT. You
would have to build their own ticket
could trade a piece of art for a ticket.
exchange.
Creators rely on the infrastructure and
Content creators can sell their work anywhere and canaccess distribution of the platforms they use.
a global market. These are often subject to terms of useand
geographical restrictions.
Platforms, such as music streaming
Creators can retain ownership rights over their own work,
services, retain the major profits from
and claim resale royalties directly.
sales.
Items can be used in surprising ways. For example, you can
use digital artwork as collateral in a decentralized loan.

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1.3 NFTs booming

The market cap of NFT, or non-fungible

tokens, shows a fast-moving development,
growing nearly ten-fold between 2018 and
2020. The source of these figures states that
coming up with a market capitalization for a
market this young is "a tricky exercise" and
even mentions this particular estimate is
"conservative". The volatile nature of
developments in this new market can also be
seen in the transaction volume of NFT for
various segments as well as the market size
of NFT within the same segments:
Transactions declined for gaming, whilst
value grew for arts. This latter aspect was
demonstrated in early 2021, when an NFT Figure 1. Market cap of NFTs worldwide 2018-2020.
digital artwork was sold in an auction for By Raynor de Best, Mar 16, 2021. Sourced Statista
roughly 69 million U.S. dollars - making it and Coingecko.
the third-most expensive art piece ever sold by
a living artist.

Top NFT projects by marketcap, captured on 25 Mar 2021. Sourced https://www.coingecko.com/en/nft

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Figure 2. Beeple's image sold for $69M US dollars

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2 The Marriage of NFTs & DeFi
2.1 NFTs for creative industries

Blockchain and NFT technologies enables a borderless and frictionless development era for
creative industries, covering digital collectibles, digital contents, various gaming types,
fashion, digital artwork, entertainment, sport. In a Bloomberg interview, The CEO of Verisart,
Robert Norton explained how he believed that NFTs were a “wake-up call for the creator
economy” and that there was a “new generation willing to purchase art as an NFT”. Readers
can find more articles about NFTs on Coinmarketcap, NFTS and Techcrunch. In the
following, the Top 6 NFT Coins by Market Capitalization by Coingecko is presented (or refer
to Opensea also). The NFT market capitalization has achieved incredible all-time-high as
$7.48B US dollars on 23 Mar 2021. According to Coindeck, NFT marketplace OpenSea
raised $23M USD led by Andreessen Horowitz. Transaction volume on OpenSea has grown
incredibly more than 100x over the last six months. Seascape proposes the concept of DeFi
gaming, then being pushed up by a special partnership with Binance. 11 projects (NIFTEX,
Mintbase, NFTX, and more) are exploring the nexus between NFT & DeFi, targeting to make
NFT market as flexible and liquid as the rest of the crypto space.

Top sold NFTs token by price. Sourced https://coinranking.com/

2.2 Limitations of current NFT space

It is undoubtful that NFT is making a disruption in creative & gaming industries, potentially
in many other fields in a near future. However, we should point out several challenges to the
development and adoption of NFTs at presence. To enable the development of NFT
applications, there are a number of important barriers which need to be overcome. Several
remarks should be liquidation, infrastructure problems, user experience, regulation, bridging
the gap between the centralized and decentralized world, see [3].

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Centralization vs Decentralization. Mik from Cryptokitties pointed out that the distinction
between the online and offline world is increasingly blurred, as more and more people are
choosing to spend most of their lives online and, in many cases, in virtual worlds. Whilst this
is certainly the case, there is still a huge divide between the decentralized and centralized
realms. Many non-crypto-native NFT projects will struggle when it comes to bridging the gap
between the relatively self-governed decentralized realm and the centralized realm which is
bound by various rules and regulations.
Illiquidity & fragmentation. Unlikely fungible tokens (e.g. ERC-20 types), NFTs have low
liquidity due to their scarcity and rarity nature. In addition, NFTs are fragmented on many
marketplaces without a seamless connection. Contrasting to rather mature cross-chain
wrapping protocols for most crypto assets, NFT owners cannot sell their Ethereum-based
NFTs for BEP-20 USDT without an intermediary.
Scalability & transaction fee. The development of NFTs is heavily dependent on underlying
blockchain infrastructure. Solving for scalability and transaction fees, for instance, is
likely to have a huge impact on the speed of development of this space. Alongside this, the
lack of accessibility when it comes to NFTs is a real problem. Lili, Co-Founder at
Cryptodecks and designer by trade, discussed this in detail. Particularly for non-crypto
natives, interacting with decentralized ecosystems entails a large amount of friction. From
having to manage your private keys, to paying several gas fees per transaction and having to
set up a new wallet each time, there are so many barriers to entry. Cryptodecks is tackling this
problem byproviding a simple interface for users to interact with their NFTs.
Shared ownership issue. Whilst many people view NFTs as a way of creating new financial
assets and democratizing access to capital, regulation will most likely act as a barrier to
this. For instance, Codex might use NFTs as a mean to fractionalize ownership of a piece of
art or we could consider fractionalizing ownership of a property. Whilst this is interesting in
theory, there is a risk that doing so would turn these tokenized assets into securities and
they would, therefore, need to be regulated accordingly.

2.3 How SPORES solves the problems

Spores’ ultimate goal is to build a full-stack NFT platform, consisting of an NFT minting
portal and a marketplace for trading NFTs, supported by cross-chain interoperable
decentralized finance protocols, which is feasible to solve the aforementioned limitations of
NFT space. A full-stack decentralized NFT finance platform is in urgent need for both
vertical and horizontal application scaleup, as analyzed by Rachel M. [4]. We target bridging
the three major blockchains (Ethereum, Cardano, BSC and Polkadot) for frictionless NFT
minting and exchanging. Furthermore, Spores marketplace is blockchain-agnostic and
friendly for everyone to join. Services offered by popular decentralized finance (DeFi)
protocols (e.g. wrapping, atomic swaption, staking & lending) are sophisticatedly
integrated on the whole Spores platform to improve NFT liquidity to allow seamless
capital access for the new class of crypto assets. DeFi users join Spores’s NFT
marketplace with gamification of staking, collateral dept positions, farming and more.
Simply, ones can see Spores as a full combination of an NFT minting platform, a marketplace
and a DEX for NFTs. The foundation team of Spores Network believes that the
composition and complementation of NFT and DeFi will bring a significant progress for
the crypto space, making it more applicable in real world. Readers may find projects
proposed the nexus between NFT & DeFi on [5, 6, 7].

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 Sketching the SPORES NETWORK and platform architecture

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 3 SPORES Specializations
Spores Network envisions a universally full-stack NFT platform which is cross-chain
interoperable to issue NFTs, to auction and exchange the assets and to utilize other DeFi
products without any barrier. Spores takes the advantages of blockchain and smartcontract to
authenticate NFTs, track their ownership and buy/sell history, securely decentralize their
trading procedure, while fully complying with intellectual property & copyright licenses to
protect the NFT creators & owners’ benefits. Spores is equipped with full functioning
features to facilitate and benefit all participants (artwork & content creators, game
developers, entertainment producers, clubs, collectors, celebrities and fans, etc).
✓ NFT minting portal for token creators ✓ Marketplace and NFT ranking
✓ Account management tools for token ✓ Interoperable DeFi gamification
holders ✓ AI assistant for checking and
✓ Auction engine tracking
✓ Cross-chain exchange, staking & LP ✓ APIs & SDKs for developers

3.1 Spores architecture & technologies

Basically, Spores platform is an open NFT ecosystem built on cross-chain interoperable NFT-
DeFi protocols and infrastructure. The platform consists of four major components as
followed.

Blockchain-agnostic & DEX design of Spores platform

❖ NFT marketplace is the place for auction, sale and exchange of NFTs. The marketplace is
facilitated with cross-chain swap protocol, auction engine. When a transaction (e.g. an
NFT auction) is complete, it will be forwarded to the corresponding smartcontracts and
their underlying blockchains to settle payment and transfer ownership. An AI assistant is
employed to check existence and copyright of any new NFT submitted for minting and

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 auction. It searches over all popular NFT marketplaces, then comparing similarity among
items/files on sale to report copycats for enforcement actions.
❖ NFT decentralized exchange is a cross-chain interoperable DEX allowing NFT holders and
DeFi users to trade NFTs for fungible crypto assets across BSC, Ethereum and Polkadot-
Substrate. The DEX is supported by decentralized wrapping and cross-chain atomic
swap protocols to make transaction seamlessly regardless any underlying blockchain.
Moreover, the DEX provides extensive decentralized finance utilities, for instances,
staking, NFT-collateral lending, farming, LP & transaction mining. Thus, NFT liquidity
is significantly improved while reducing high transaction fee on Ethereum (see Figure 4).
❖ Minting & Management Interface (MMI) allows game developers, artwork & digital
content creators to mint (issue) and manage their NFTs representing their assets/items,
NFT holders to play & trade with their collections. The MMI also allows users to connect
to the Spores Marketplace for NFT auction and exchange. MMI is blockchain-agnostic,
built to be user-friendly as everyone can play on it easily.
❖ Blockchain-smart contract protocols and infrastructure are built on multiple Solidity-
compatible platforms (Ethereum, BSC, Polkadot-Subtrate-Moonbeam), utilizing cross-
chain interoperable protocols to facilitate seamless and frictionless NFT minting and
trading on Spores with lower fee. Most NFTs are built using a consistent standard known
as ERC-721. However, the ERC-1155 standard allows for semi-fungible tokens which is
particularly useful in the realm of gaming. And more recently, EIP-2309 has been
proposed to make minting NFTs much more efficiently. This standard allows mining per
transaction. A fungible (ERC-20 type) token reward mechanism is also implemented to
incentivize all participants (game developers, artwork & digital content creators, clubs,
celebrities, influencers, fans, collectors, sellers & buyers, etc) on Spores Platform.

Figure 4. Cross-chain interoperable NFT-DEX model on Spores platform

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3.2 How Spores platform works

Without loss of generality, we assume that Bob is a designer who created a game card, Aliceis
a collector, then describing the most basic workflow on Spores platform. Bob’d like to sell
that (digital) card and Alice wants to buy it. We will describe in detail how Bob and Alice
utilize Spores platform to complete the transaction.

Figure 3. Basic workflow on Spores platform

❖ Initialization.
✓ Account registration. Bob creates an account as a creator on Spores platform via
Issuance & Management Interface (IMI). Then Bob is provided a public address on a
blockchain associated with a private key. Bob’s account is secured by an ECDSA
technique which cannot be hacked. Now, he may proceed to issue any NFT
representing ownership over his own digital artworks.
✓ Copyright checking. Firstly, he must upload the card file for checking. The AI
assistant will search for existence and measure similarity of the likes throughout
popular NFT marketplaces. If the similarity index is greater than a predefined
threshold, then the AI tool will report copycats. Otherwise, Bob can proceed to next
steps. This checking is to ensure originality of the work, hence protecting copyright
and intellectual property compliance.
✓ File storage. The card file will be uploaded to a cloud storage platform.
Typically, Spores uses IPFS protocols (e.g. Storj, Filecoin, Bittorrent) to host the file.
❖ Tokenization.
✓ Deploying contract. After passing the check, Bob can choose and set parameters to
issue one or many NFTs identifying his card. This action is easy as the template has
user-friendly design such that everyone can go without coding skill. Popular contract
standards are ERC-721/1155 and EIP-2309 which fit different needs of the creator.
✓ NFT storage. After the deploying contract is triggered 1, the NFT is now a record on
the underlying blockchain, which identifies the digital file and its ownership. Only
theprivate key holder has the right and control over the NFT. Bob can hold it, transfer the
ownership to others, auction for money or exchange for other cards.

1
The creator may need to pay a gas fee for triggering the contract.

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❖ Auction (exchange) on Spores marketplace.
✓ Posting. Bob posts his NFT for an auction on Spores marketplace. The auction may
be powered by a smartcontract.
✓ Bid ordering. Collectors will join the marketplace to search posted auctions, find what
they want and then place bid orders on active auction sections. A certain fund deposit
on a smartcontract is required to place bid orders.
✓ Execution. During an auction section, all bid orders are recorded. The top winners are
selected, according to predefined rules, when the auction ends. Then, the marketplace
will forward the winner list to corresponding smartcontracts and their underlying
chains for settlement and ownership transfer.
❖ Settlement and ownership transfer.
✓ A period of time is given for the top winner to make full payment associated with the
winning bid order. If the winner cannot pay within the locking time, he will lose the
deposit and the right is moved to the second winner, so on until the end of the winner
list.
✓ When the payment is settled in full, the NFT ownership is simultaneously transferred
to the payer.
✓ A fee is applied for a successful transaction (e.g. auction).

If the auction is replaced by an exchange for another card or crypto asset, the procedure is
much simpler. Two parties should agree on an atomic swap contract, then payment and
ownership transfer are executed accordingly without any bid order or deposit. A fee is
applied for any type of transaction.

3.3 Spores usecases and benefits

Although NFTs have a wide range of applications in many disciplines, we focus on

creativeindustries as the most priority.
❖ Gaming: The gaming industry and non-fungible tokens are a perfect match. Imagine
being able to check a detailed history of the magic shield or sword you have just bought.
NFTs can provide a proof of ownership for every item within blockchain-supported
games.
o Virtual Real Estate is Booming “Let’s go to Decentraland” is a phrase you might
hear in the not-so-distant future. Virtual real estate represents a real potential for
investors. Like URL domain grabs of the early Dot Com era, digital land grabs are
going for millions. Since its opening to wider audiences in February 2020,
Decentraland sold $1 million in virtual land. In Axie Infinity, a crypto-Tamagotchi
virtual ecosystem, a community member purchased nine digital plots of land as one
parcel for 888.25 Ether. At the time, 888.25 Ether was worth $1.5 million.
o NFTs are popular in the gaming industry since these tokens solve some of their
internal difficulties. For example, popular games today such as PUBG and Fortnite
ban the purchase of rare features and items such as weapons. With NFTs, these
items can easily be transferred and used.
❖ Digital Artworks: Blockchain provides provenance, which is proof of ownership and
origin of the art pieces. Digital artists find it increasingly difficult to copyright of their
artwork. The use of NFTs can enable one to buy a work of art and showcase it within a
digital space, being fully aware of the history of the asset, such as artist name, date of
creation, list of other owners, and value of the asset throughout its lifecycle. It will also
allow the artists to get better payment for their work through the elimination of brokers by
initiating P2P payments. After reviewing it all, we can claim that the non-fungible

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 tokens are creating a strong foundation for blockchain and crypto adoption, with a broad
spectrum of use cases aiding industries to save money on counterfeit products,
copyright issues, while helping people safeguard their data and privacy.
❖ Digital Collectibles: NFTs has brought a new character to the collectible world.
Traditional professionals are now onto digital assets. The use cases of NFTs are
developing. A few days back, Jehan Chu, founder of blockchain investment firm
Kenetic, divided over $84,000 for 680,000 Handshake (HNS) NFTs, allowing the bearer
to issue .NFT web domain extensions via the Handshake blockchain. Chu called
NFTs the “true lacking link between online and offline things” and stated his
hope that they could convert business, finance, society, and culture. As well as
being rare, NFTs help fromclarity thanks to their recording on a public ledger,
adding a layer of security to collectible assets that people appear to be attracted
to.
❖ Entertainment: Tickets to music concerts or football games are usually unique and
interchangeable. They give us permission to see an event or activity. Due to those
aspects, the ticketing space could have huge benefits employing NFTs on the blockchain.
❖ Sport: The sports industry suffers a lot due to counterfeit merchandise and tickets, which
blockchain can help in eliminating. The immutability of blockchain prevents counterfeit
collectibles and tickets, with the help of tokenized game tickets getting issued on the
blockchain network. This is a great use case for non-fungible tokens. Each game ticket
might be similar, but each will hold unique identifiable information connecting it with
the designated owner on the blockchain. Sports NFTs have gained recent popularity with
prominent athletes becoming tokenized assets on the blockchain, and their value getting
determined by how they perform. There is ongoing work on turning merchandise into
NFTs allowing the owner to register and verify the official merchandise as theirs.

Gaming
cards

Collectibles Digital Art

SPORES
usecases

Film/TV Sport

Music

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Benefits for NFT creators and users on Spores platform

If you create an NFT via Spores platform: For NFT owners and DeFi traders:
- You can easily prove you're the creator. The - You can easily prove you own an NFT.
authentic proof is distributed on blockchain - No one can manipulate it in any way.
which is immutable and stored permanently. - You can sell it on Spores marketplace,
- You determine the scarcity. and you may earn the original creator
- You can earn royalties every time it's sold on resale royalties.
Spores marketplace. - You can enjoy DeFi gamification on
- You can sell it on any (other) NFT Spores’s DEX with staking, collateral
marketplace or peer-to-peer. lending, farming and more,
- You're not locked into any platform and you regardlessany underlying blockchain.
don't need anyone to intermediate.

3.4 Spores’ NFT-DeFi model: a deeper look

Spores Network discovers the extensive nexus between NFTs and DeFi markets. It is
necessary to show readers a deeper look at Spores’s NFT-DeFi model, which basically
combines NFT marketplace and DEX. Spores targets to erase the barriers and frictions
caused by blockchain technical issues, then help artists, designers, game developers
efficiently monetize their works via DeFi space. Besides, Spores facilitates DeFi traders with
financial gamification on the NFTs space, then helps them enjoying and earning from
collectibles, game items, digital cards & contents. Spore’s DEX is specialized for NFTs
market, roughly speaking, to provide the most optimized liquidity and financialization for all
NFTs in accordance with the native governance/utility tokens of NFT platforms. Spores
builds a marketplace with efficient fee (supported by a layer-2 scale solution) which seems
now the biggest paint-point2 of NFT market.

3.5 Spores differentiations

The NFT market is booming with multiple players out there. Among the top competitors of
Spores in the NFT world, we are going to capture fundamentals and comparisons as

2
One may lose hundred dollars to mint and sell a single NFT.

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followed. It is worth to note that Spores Network builds a full-stack decentralized NFT
finance platform which gamifies DeFi users and collectors to enjoy NFT space and
facilitates developers and creators in the creative industries to monetize easier from their
works.

Projects Enjin OpenSea OnFlow Seascape Spores

Description Social Full-stack Blockchain Gaming Interoperable full-
gaming marketplace for gaming & ecosystem stack DeFi-NFT
platform NFTs platform
Blockchain Ethereum Ethereum Flow Ethereum Ethereum, BSC
BSC Cardano, WAX
Polkadot Polkadot, Polygon
Applications Gaming Various Various Gaming Various
NFTs

Staking/Lending ✗ NA NA ✓ ✓
Burn/Shares ✓ NA ✓ ✓ ✓
Royalty ✗ NA NA NA ✓
Backing ✓ NA NA NA ✓
LP mining ✗ NA NA ✓ ✓
DeFi (DEX)

Staking/Lending ✗ NA NA ✓ ✓
Profit share ✗ NA NA ✓ ✓
Interoperability ✗ NA NA ✗ ✓
SDKs NA ✓ NA ✓ ✓
Dev Tools

Whitelabel NA ✓ NA NA ✓
Cross-chain ✗ ✗ NA ✓ ✓
bridge protocols Centralized Decentralized

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4 Tokenomics and Fee Policy
4.1 Spores’ native token

The native digital cryptographically-secured fungible (i.e. ERC20 / BEP20) token of the
Spores platform (ticker symbol SPO) is a transferable representation of attributed
governance and utility functions specified in the protocol/code of the Spores platform, and
which is designed to be used solely as an interoperable utility token on the platform. SPO is
designed to be NFT-creator-centric and DeFi-community-driven, and to incentivize all
contributors and participants across the whole Spores ecosystem.

As the economic incentive for network participation SPO token incentives will be distributed to
incentivise users to participate in community governance, reward contributors on the platform
and other utility purposes including platform fees discount.
Community incentives (NFT minting, trading, LP mining and other DeFi rewards):
➢ Reward for NFT creators for each newly minted NFT on Spores platform.
➢ Reward for buyers and sellers per confirmed transaction (auction, exchange, etc).
➢ Reward for LPs to provide liquidity on the platform supporting transactions related to
SPO.

4.2 Token usage

SPO would allow holders to propose and vote on on-chain governance proposals to
determine future features and/or parameters of the Spores platform, with voting weight
calculated in proportion to the tokens staked (the right to vote is restricted solely to voting on
features of the Spores platform; it does not entitle SPO holders to vote on the operation and
management of the Company, its affiliates, or their assets or the disposition of such assets to
token holders, and does not constitute any equity interest in any of these entities or any
collective investment scheme, and the arrangement is not intended to be any form of joint
venture or partnership).
As the base platform currency, SPO may be utilised to participate in a variety of interactions
with integrated third party DeFi protocols (e.g. LP mining, staking, usage as collateral
lending), to engage with these protocols and receive incentives for such engagement.
Usage of SPO for payment of platform fees would entitle a user to discounted fees. SPO may
also be acquired to pay for periodic subscription plans relating to NFTs (e.g. Elite Club
subscriptions to receive exclusive NFT airdrops, collectible rewards and presale access to
exclusive NFT drops).
➢ NFT-DeFi incentives
➢ NFT club subscription
➢ Governance & Voting

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 Mining SPO tokens.
Users can earn SPO
tokens by performing
beneficial activities such
as minting NFTs,
staking SPO token,
providing liquidity on
Spores platform, LP
mining on other DEXs
(e.g. Pancakeswap,
Uniswap) and many
more incentives.

In particular, it is highlighted that SPO: (a) does not have any tangible or physical
manifestation, and does not have any intrinsic value (nor does any person make any
representation or give any commitment as to its value); (b) is non-refundable and cannot be
exchanged for cash (or its equivalent value in any other digital asset) or any payment
obligation by the Company, the Distributor or any of their respective affiliates; (c) does not
represent or confer on the token holder any right of any form with respect to the Company,
the Distributor (or any of their respective affiliates), or its revenues or assets, including
without limitation any right to receive future dividends, revenue, shares, ownership right or
stake, share or security, any voting, distribution, redemption, liquidation, proprietary
(including all forms of intellectual property or licence rights), right to receive accounts,
financial statements or other financial data, the right to requisition or participate in
shareholder meetings, the right to nominate a director, or other financial or legal rights or
equivalent rights, or intellectual property rights or any other form of participation in or
relating to the Spores platform, the Company, the Distributor and/or their service providers;
(d) is not intended to represent any rights under a contract for differences or under any
other contract the purpose or pretended purpose of which is to secure a profit or avoid a
loss; (e) is not intended to be a representation of money (including electronic money),
security, commodity, bond, debt instrument, unit in a collective investment scheme or any
other kind of financial instrument or investment; (f) is not a loan to the Company, the
Distributor or any of their respective affiliates, is not intended to represent a debt owed by
the Company, the Distributor or any of their respective affiliates, and there is no
expectation of profit; and (g) does not provide the token holder with any ownership or other
interest in the Company, the Distributor or any of their respective affiliates.

Notwithstanding the SPO distribution, users have no economic or legal right over or
beneficial interest in the assets of the Company, the Distributor, or any of their affiliates after
the token distribution. To the extent a secondary market or exchange for trading SPO does
develop, it would be run and operated wholly independently of the Company, the
Distributor, the distribution of SPO and the Spores platform. Neither the Company nor the
Distributor will create such secondary markets nor will either entity act as an exchange for
SPO.

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4.3 Fee policy

Transaction fee is applied for any executed transaction (e.g. auction, exchange, swap),
varying on many transaction types. These fees will be held in the Foundation Reserve Fund /
community reserve, and then distributed to all platform contributors proportionate to their
work performed, e.g. NFT creators, development proposals and work, or to incentivise
platform engagement.

Auction NFT creators

Exchange FEEs Foundation
Swap Reserve Fund

5 Tentative 3-year Roadmap

Timeline Progress
Q1 - Whitepaper
- 3-year development plan
Q2 - Contract systems for ERC-721 and ERC-20
- Internal testing NFT marketplace
Q3 - Launch NFT marketplace
- LP staking and farming
- ERC-1155 implementation
- Testing contract systems on Cardano
2021
- Polygon/Matic layer-2 solution
- Integrating Binance Smart Chain (BSC) Ecosystem
- Crypto & Credit card payment
- Integrating Cardano Ecosystem
- DeFi gamifying experiment
Q4 - Connecting WAX gaming ecosystem
- Multi-currency payment (cryptos & fiats)
- Piloting smartcontract solution for NFT payment on Bitcoin
- NFT-DeFi solutions on Cardano
- DeFi gamification release
H1
- Expanding to Solana, Polkadot
2022 - Integrating cross-chain NFT solutions
- AI assistant & check
H2 - Expanding to Avalanche, Tron
- Lending for NFTs
- Cross-chain atomic swap for NFTs
H1
- Cross-chain payment solution
2023
- SDK/Whitelabel to build NFT storefronts on Spores
H2
- NFT solution for tangible assets

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References

[1] "Non-fungible tokens (NFT)," [Online]. Available: https://ethereum.org/en/nft/#what-are-

nfts.

[2] D. Finzer, "The Non-Fungible Token Bible: Everything you need to know about NFTs," Jan
2020. [Online]. Available: https://opensea.io/blog/guides/non-fungible-tokens/.

[3] J. Morrongiello, "Medium," 2018. [Online]. Available: https://medium.com/point-nine-

news/non-fungible-tokens-future-applications-and-challenges-a73117efc67.

[4] R. McIntosh, "financemagnates," Mar 2021. [Online]. Available:

https://www.financemagnates.com/cryptocurrency/news/creating-an-nft-from-start-to-
finish-heres-what-you-need-to-know/.

[5] B. Dale, "Coindesk," 25 Fed 2021. [Online]. Available: https://www.coindesk.com/defi-nft-

projects.

[6] J. Brukhman, "Blog.Coinfun," Jan 2021. [Online]. Available:

https://blog.coinfund.io/appraisal-games-and-the-nft-liquidity-problem-904afe6bc7af.

[7] Seascape, "Daomaker," [Online]. Available: https://daomaker.com/sho/seascape.

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