PLATFORM WHITEPAPER Version:1.1 Authors: Simo Mcunu, Krish Ghosh, Heath Muchena THE NEXT GENERATION HOSPITALITY SOLUTION Copyright2021@RestoNXT TM Rest Content Executive Summary ...................................................................................................................................................2 Introducing The RestoNXT: The Next Generation Hospitality Solution ............................2 Problem Definition ............................................................................................................................................3 Market Opportunity ..........................................................................................................................................5 Why create tokenized loyalty rewards? ..........................................................................................5 Products ............................................................................................................................................................................... RestoMENU .............................................................................................................................................................. RestoVATION ......................................................................................................................................................... RestoPRE ................................................................................................................................................................... RestoTOGO ............................................................................................................................................................... RestoQ ......................................................................................................................................................................... RestoLOYALTY ...................................................................................................................................................... RestoCONNECT ..................................................................................................................................................... RestoDISPLAY ........................................................................................................................................................ Resto LITE PWA ................................................................................................................................................... RestoPRO Resto CUSTOM PWA RestoSMART Beta Launch: Resto as an Aggregator .........................................................................................................8 Token Design Approach ..........................................................................................................................................9 Benefits of Tokenization ...............................................................................................................................10 Token Use Cases ..................................................................................................................................................12 Blockchain Technology ..................................................................................................................................14 Token Value Analysis .................................................................................................................................................15 Token Value Outlook .......................................................................................................................................16 Valuation Basis .....................................................................................................................................................18 The Resto Token and Token Generation Event ....................................................................................18 Benefits of Resto Tokens ..............................................................................................................................18 RESTO Token Holder Rights .......................................................................................................................18 Token Distribution .......................................................................................................................................................19 Token Availability & Vesting Period ..............................................................................................................20 Use of Proceeds from Token distribution .................................................................................................20 Future Roadmap ...........................................................................................................................................................21 Public Appreciation ....................................................................................................................................................21 7 8 8 8 8 8 8 8 8 8 Copyright2021@RestoNXT TM Rest RESTO TOKEN WHITE PAPER TOKENIZED LOYALTY REWARDS Disclaimer PLEASE READ THIS DISCLAIMER SECTION CAREFULLY This document and any other RestoNXT documents do not constitute a prospectus of any sort and are not a solicitation for investment. The RestoNXT Token does not represent an ownership or share in ANY public or private corporation, or other entity in any jurisdiction. The RestoNXT Token is a coin that is issued for loyalty rewards. Any acquisition and use of RestoNXT Tokens carries significant financial risk, including the use of experimental software. Except where specifically indicated, the statements and information set forth in this Whitepaper are not intended to recite current or historical facts, and constitute forward-looking statements. Forward-looking statements may include the words “may,” “will,” “could,” “should,” “would,” “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan” or other words or expressions of similar meaning. These forward-looking statements are based on the current beliefs, plans, objectives, goals, expectations, anticipations and/or intentions of RestoNXT with respect to future events. Although RestoNXT believes that the expectations reflected in the forward-looking statements are reasonable, RestoNXT cannot guarantee the successful establishment or operation of its systems and business or any future results, level of activity, performance or achievements. Many factors discussed in this Whitepaper or otherwise affecting the matters discussed herein, some or all of which may be currently unknown to RestoNXT or beyond RestoNXT’s control, will be important in determining the ability of RestoNXT to establish and operate its systems and business. It is therefore possible that results may differ materially from those that might be anticipated from the statements and information set forth herein. In light of these and other uncertainties, the statements and information set forth in this Whitepaper are for informational purposes only, should not be relied upon in making any purchase or other decision, are subject to change, and are not intended to establish or indicate any representation, warranty, commitment, undertaking, promise or contract made on the part of RestoNXT to any person. This whitepaper includes market and industry information and forecasts that have been obtained from surveys, reports, studies, market research, and other publicly available information, but there can be no assurance as to the accuracy or completeness of such included information. All statements contained in this whitepaper that are not statements of historical fact, constitute “forward-looking statements”. This document is not composed in accordance with, and is not subject to, laws or regulations of any jurisdiction, which are designed to protect investors. RestoNXT does undertake any obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. 1 Copyright2021@RestoNXT Executive Summary Adapting to global changes and addressing market needs through innovation is what drives RestoNXT - a one-stop next generation contactless hospitality solutions provider. As such, a key focus area for the business is the introduction of a Digital Loyalty Program Aggregator platform which offers a data driven, customer focused yet highly flexible SaaS based digital solution. The vision is to help merchants run tokenized loyalty programs that attract recursive business from consumers within a global trusted business ecosystem. Over 70% of Millennials and Pre-millennials were members of loyalty programs vs. less than 20% among Baby Boomers. - Oracle Introducing RestoNXT: The Next Generation Hospitality Solution Loyalty programs at their core involve rewarding consumers for their frequent or continued engagement with a brand, product or service through structured marketing strategies. Typically, the more the consumer spends, the more rewards they receive. When businesses put customer preferences at the centre of their marketing efforts and execute an effective rewards program appropriately, customers are incentivized to buy more, giving those businesses a competitive edge against their competitors. Statistics show that consumers who engage in high-performing loyalty programs are twice as likely to increase their frequency of purchases. RestoNXT envisions loyalty rewards partnerships based on a tokenized model. As an aggregator RestoNXT will offer a spectrum of industry related products and services. These services will represent value that can move between the hospitality industry and digital asset markets through RESTO tokens. RestoNXT’s tokenized loyalty reward platform and the loyalty reward points to crypto token conversion system will add a competitive advantage that disrupts the traditional loyalty rewards model. Some of its key salient features are: Mobile searches for ‘rewards app’ have grown by over 90%. - Google 79% of consumers look for deals in loyalty and reward programs before making a purchase. Hawk Incentives 2 Blockchain secured global loyalty program. Access to global consumers. Consumer digital wallet. User-friendly admin and crew console. Quick setup and program update. Easy and quick program execution. Promotion and campaign automation. Stamps & Rewards Bundle Offer Store Credit Promo Campaign Birthday Reward Global Coins Copyright2021@RestoNXT TM Rest Reward points are siloed and have low utility. Once earned points have no value outside of the customer’s account and are only redeemable in a small ecosystem. Customers cannot gift, donate or exchange their points to potentially interested parties. This means their left Idle and unused in customers account. Problem Problem Saturation from too many individual loyalty programs. There are many variations of loyalty programs. US customers alone have an estimated 3.8 billion individual loyalty program memberships. This makes it difficult for consumers to detemine which programs are high value and retailers can’t differentiate themselves. 70% of consumers abandon loyalty rewards because it takes more than six months to accumulate enough points to redeem rewards. - Maritz Low redemption rate of earned loyalty points and account inactivity $360 billion worth of loyalty reward points go unredeemed each year globally. - Global Loyalty Insights Lack of access to rewards information 40% of millennials in the U.S. prefer loyalty programs that are interactive. - Hello World Inc. Needing to carry physical loyalty points cards or having loyalty programs that are not interactive or engaging. A 10% increase in customer retention yields a 30% rise in the value of the company. - Retention Science Low customer retention 3 Consumers engaging conventional loyalty reward programs are faced with many challenges such as: Problem Definition 34% of Millennials don’t join a loyalty program because the enrollment process is too long. - Kobie Marketing Overly complicated signup processes Copyright2021@RestoNXT TM Rest 4 High transaction and system management costs associated with establishing, operating, and securing loyalty points programs. Appropriately securing the data associated with the programs from hacker attacks. 33% of the millennials dislike loyalty programs just because too many of them exist. 30% of American consumers never redeem a single point until they expire. 71% of consumers were less likely to join a loyalty program that collected personal information beyond just name and phone number. In 2017, 11% of attacks on financial accounts were specifically on loyalty accounts, an amount that had risen from 4% the year before. Problem Retailers are burdened with liabilities. Retailers currently have no idea when their points will be redeemed and at what rate causing the financialy uncertainty since loyalty points are left as liabilities on the books. Various analysis and surveys by industry experts show the need of an upgrade in existing digital loyalty programs. Few of the facts and recommendations listed below: Industry experts believe and recommend blockchain based loyalty program to be the game changer because of the following advantages Listen to the experts No Point Expiry Central Wallet Redemption flexibility Surveys Conducted by Recommended by Reduced Cost High Data Security Transactional transperency Retailers also face their own set of challenges including: Copyright2021@RestoNXT TM Rest Market Opportunity & Solution Market opportunity The global loyalty program market was valued at $181 billion in 2019. The market was forcasted to grow at a GAGR of 3-4% to $185- $195 billion between 2020 and 2022. Beroe Inc. 67% of Millennials and 56% of Gen Z are influenced by a restaurant’s content or deals, vs. 49% and 40% who are influenced by social posts from influencers. - RetailMeNot 5 Copyright2021@RestoNXT https://home.kpmg/us/en/home/media/press-releases/2019/09/kpmg-study-finds-digital-tokens-are-transforming-the- way-consumers-interact-with-each-other-and-businesses.html https://www.oracle.com/a/ocom/docs/dc/em/lpd100749940-oraclefandb-loyalty-report.pdf https://storage.googleapis.com/think/docs/think-with-google-2019-research-review.pdf https://go.oracle.com/LP=68644?elqCampaignId=134016 https://blog.accessdevelopment.com/the-ultimate-collection-of-loyalty-statistics#loyaltyprograms https://www2.deloitte.com/content/dam/Deloitte/us/Documents/financial-services/us-fsi-making-blockchain-real-for-lo yalty-rewards-programs.pdf https://www.zendesk.com/blog/loyalty-rewards/ https://www.marriott.com/default.mi https://rewards.starbucks.com/#/ https://www.bankofamerica.com/credit-cards/cash-back-credit-cards/ Research Sources: TM Rest RestoNXT VALUE PROPOSITION Add new redemption or accrual partners easily without increasing complexity Interface with other competing loyalty programs to allow fungibility of points Greater visibilty for members in tracking transactions and managing accounts Leverage blockchain to allow RESTO token points to be exchanged for other cryptocurrencies Why create tokenized loyalty rewards? Loyalty rewards provide restaurant operators with a way to reward customers and encourage repeat business. They also offer an effective, measurable marketing tool and enable businesses to gather details about their guests allowing them to target promotions to help grow their revenue. The RestoNXT (RESTO) hybrid token will power the loyalty program framework for hospitality business operators for instance, applying blockchain technology to a restaurant rewards system enables several advantages relative to a traditional server since security, trust, and liquidity can be significantly enhanced with blockchain. RestoNXT could be a potential solution if integration of disparate loyalty programs into an interlinked loyalty network could be achieved. The task is no easy feat since such collaboration requires industry players to recognise that current loyalty programs aren’t effective and that the inconsistent digital infrastructure and obligations to protect competitive proprietary information as well as customers’ personally identifiable information has been a huge hindrance to progress and that a more network inclusive approach could be the only truly viable option. RestoNXT’s vision is to create a trustless distributed ledger that allows ecosystem participants which may include loyalty reward program providers, system managers, administrators, and customers to interact within one tokenized network system without intermediaries and without compromising privacy or their individual competitiveness. By leveraging blockchain, RestoNXT can have the capabilities to streamline execution and administration of loyalty programs with near-real-time transparency, which would likely yield tremendous cost savings. Why Blockchain in Digital Loyalty Program? Business Benefits Solutions with blockchain driven digital loyalty programs: Single program within trusted merchant program No point expiry, high redemption Low program cost as a party of merchant network High data security as well as transactional transparency Effective for all merchant types and sizes Zero transactional commission Multifacet cosnumer engagement High cosumer retention Attracts global consumer Access to trusted business ecosystem Personalised brand promotion Increased popularity & reputation Multifold revenue growth 6 Copyright2021@RestoNXT TM Rest Product: The RestoNXT ecosystem RestoNXT Modules 7 RestoNXT was incubated in pre-COVID time with the aim to create a new age guest experience by offering contactless services along with a data driven digital transformation for the hospitality industry. However, RestoNXT is strategically positioning itself as a digital platform for restaurants, gas stations, spas, banks, grocery store hotels etc. to keep the business running as well as grow with the new normal. Accept and manage online ordering, delivery and takeaway services Digital menu Video menu Online ordering, delivery and takeaway Delivery driver app(Android &iOS) Quick and easy menu and price management Order management console Kitchen ticket management Business reports Integration with existing website Resto TOGO Attract and retain customers with your own loyalty program Offer loyalty stamps and rewards Spent amount based loyalty stamps Flexible reward cycle management Customer and transaction report Customer loyalty wallet Resto LOYALTY Manage walk-in customers with well informed wait time during rush hour Queue management console manage table status Accept walk-in guest booking Manage and inform wait time Intuitively integrated with RestVATION Resto Q Manage own and third-party digital advertising and displays at one place remotely Remote interactive content management Remote display management Pre-Schedule content Track content perfomance Integration with IoT sensors and devices Run third-party ads(New revenue channel) Resto DISPLAY Accept and manage online and walk-in table booking Accept online/ walk-in booking Floor plan based table selection Booking management console Flexibel reservation settings Customer and booking Reports Integration with existing website Resto VATION Accept and manage pre-orders against table reservation Digital menu for pre-order Pre-order against table booking Quick and easy menu and price management Order management console Kitchen ticket management Business reports Resto PRE Manage end to end contactless dining and payments Contactless in-restaurant ordering Digital Bar Tab Contactless payment, feedback & invoice Group ordering Contactless split payment Point of sales App (Windows, Android) Waiter/server App (Android) Kitchen ticket management Business Reports Integration with existing POS Resto MENU Run personalized campaign and multi-channel customer engagement at ease Multi- channel campaign Personalized offer and campaign Data-driven dynamic customer segment Exclusive offer driven customer loyalty Offer and Campaign management console Resto CONNECT Copyright2021@RestoNXT TM Rest 70% of consumers abandon loyalty rewards because it takes more than six months to accumulate enough points to redeem rewards. - Maritz 8 Manage items on aggregator platform from RestoNXT Manage availability on aggregator platform from RestoNXT Manage orders received from aggregator platform on RestoNXT Order Dashboard Beta Launch: Resto as an Aggregator Food Delivery Aggregators Manage online menu on RestoNXT right from Micros POS Receive orders on Micros POS from RestoNXT consumer Lite App Manage orders on Micros POS and communicate with RestoNXT consumer Lite App Receive Payment from RestoNXT Lite App directly on Micros POS Oracle Micros POS The E-commerce system Restaurant Management Platform Digital Loyalty Program Resto TOGO API Integration Resto LOYALTY Resto Q Resto PRE Resto CONNECT Resto ANALYTICS Resto LitePWA Resto LitePWA Resto MENU Resto MENU Stamps & Rewards Bundle Offer Store Credit Promo Campaign Birthday Reward Global Coins Food Aggregator Platform Oracle Micros POS Information Information Information Information Resto TOGO Copyright2021@RestoNXT TM Rest RestonNXT looks at token design from the perspective that a unit of value created should help govern the business model and empower users to interact with clients in the RestoNXT ecosystem and their products, while facilitating the distribution and sharing of rewards and benefits to all of stakeholders. RESTO token will be an atomic unit of value exchange in the hospitality market through an application that creates a transactional economy between buyers and sellers. The token features will allow users to earn value and to spend it on internal ecosystem services and also from exchange of the token for other crypto assets. RESTO token can also be leveraged to better user experience, including incentivising entities to join the network, or connect with users. RESTO token has potential to also be an efficient payment method and transaction engine that enables frictionless transactions inside the ecosystem’s closed environment. The token will offer a much lower barrier for processing end-to-end transactions. RestonNXT looks at token design from the perspective that a unit of value created should help govern the business model and empower users to interact with clients in the RestoNXT ecosystem and their products, while facilitating the distribution and sharing of rewards and benefits to all of stakeholders. The blockchain-based model that RestoNXT plans to adopt will enable equitable redistribution of the resulting increased token value. The RESTO rewards and loyalty token can be tied to a restaurant or other service/product’s usage. The token can also be used to give the user exclusive access while providing interaction rights to the product. Resto token design approach Consumer RESTO token 3rd party payment processor Retailer 3rd party exchangers escrow account CRYPTOECONOMIC MODEL 9 Copyright2021@RestoNXT TM Rest Our USP is your Advantage 1 Offer global coins to your customers as reward and redeem coins rewarded by other merchants within your trusted merchant network 2 Global coins are redeemable at all merchants within your trusted network and these coins never expire 3 A widely accepted loyalty reward attracts repeat visits and new customers with much lesser brand promotion expense 5 A highly motivated customer base and trusted merchant network opens up future business opportunities and collaborations 4 Global coin transactions are managed by a highly secured blockchain framework providing absolute transparency and trust Market size Globaly the loyalty program market is estimated to be USD $ 6.9 billon by 2023 and forecasted to grow at an annual rate of 20.8% over the next 5 years Allied Market research Login Benefits of Tokenization 10 Existing loyalty rewards programs experience a degree of success due to sheer scale interlinking networks. RestoNXT offers a value proposition driven by a strong belief that joining a blockchain-based network is worthy trade-off worth especially considering that participants may be able to set their own terms and have a level of control that allows them to dictate how they want their customers to interact with their rewards programs. For the much smaller operators, an interlinked network may simply provide them with the scale they desperately need. RestoNXT believes that a blockchain-based solution will make it possible to have fast and secure creation, redemption, and exchange of loyalty reward points in a tokenized manner across programs, vendors, and industries. A trustless environment using cryptographic proofs in lieu of trusted third parties and administrators makes blockchain a viable proposition when it comes to addressing some of the aforementioned problems business and customers are facing with how most loyalty programs are structured to date. Copyright2021@RestoNXT TM Rest Loyalty programs increase overall revenue by 5-10%. Loyalty members spend 5-20% more than non-members on average. Loyalty program members buy 5-20% more frequently than non-members. The token model will be engineered to cater for various levels of interest. Research shows that: 11 LOYALTY MARKETING BRAND RELATIONSHIP SUCCESS REWARDS STRATEGY MODEL SOLUTION MANAGEMENT CUSTOMER Loyalty programs increase overall revenue by 5-10% Merchant Journey in a trusted loyalty network Participate in co-branding and joint marketing campaigns with other sellers on network Enable credit and redemption of loyalty points across the network Promote offers using loyalty points Sell goods and services to loyalty customers in the currency of loyalty points Give additional loyalty points to customers based on own marketing offers Manage customers queries about status, wallet, redemption of loyalty points, etc. Manage loyalty program and ongoing marketing campaigns Conduct customers analytics based on common customer database on blockchain Track customer satisfaction through joint surveys on loyalty network Evangelize the positive comprehensive customer feedback on platform to enhance sales Negotiate partnership terms with program provider Join Blockchain-based loyalty network 1 2 3 4 5 6 7 8 9 10 11 12 Onboard Phases Use Manage Evaluate Copyright2021@RestoNXT TM Rest Token Use Cases Purchase your food using RESTO tokens against reduced rates compared to fiat purchases. Holding RESTO tokens could provide users with access to the RestoNXT ecosystem and give interaction rights to the product. RESTO token can also grant a governance action e.g. voting on a consensus related or other decision-making factor. RESTO token can enable users to contribute and perform value-add actions on the network. RESTO token is a proxy to a value and does not grant holders ownership of RestoNXT’s ecosystem. RESTO token facilitates monetizable reward based actions by the user. RESTO token grants users value based on sharing or disclosing their data. RESTO token will initially not be designed to run a smart contract or to fund an oracle. RESTO token will initially not be required as a security deposit to secure the operation of the blockchain on which it is issued. RESTO token is not used to pay for usage like a stable coin or gas unit. RESTO token will be required to join the RestoNXT tokenized rewards network. An allocation of RESTO tokens may be distributed or offered at a discount, as an incentive to encourage onboarding and usage. RESTO token will not be a principal payment unit that functions as an internal currency for instance. RESTO token is not the principal accounting unit for all internal transactions within the network. Its utility will fundamentally be for the purposes of distributing tokenized rewards based on ecosystem activity or incentives. RestoNTX’s network benefits will be autonomously distributed to token holders using RESTO tokens which may have related benefits to users, resulting from built-in currency inflation By catering to users and merchants, RestoNXT connects supply and demand parties and facilitates their interaction through the ecosystem. This means that RestoNXT can charge lower commissions and save on transaction fees from third parties, if RESTO tokens are being used. This results in more competitive tokenized rewards options for the merchant while also benefiting the consumer. Automic unit of value exchange Reward digitally- trackable actions Onboarding Incentive Frictionless Transactions Equitable Redistribution Community - Points Program Earned tokens are credited to the next purchase, discounted services, or giveaways. Redeem token for free hotel nights, dining, and other experiences. They can also earn points with car rentals and flights, share points with friends and family, and get free wifi and special rates. Ecosystem Token - Tiered Based Program Once users complete one level of token spend, customers can unlock a new level that gives them access to more significant benefits and more perks. Earned tokens will give exclusive pricing for RestoNXT products and services. Redeem tokens for services like RestoCONNECT, RestoBI, RestoPWA, RestoChatBot. 12 Copyright2021@RestoNXT TM Rest How it works The issuer and operator of the loyalty program (RestoNXT) issues the loyalty points guaranteeing an exchange rate pegged to the floating secondary market value. Merchants can create an account with RestoNXT and sell their services to customers. If a customer buys a service for $100 for example, the customer e.g. receives 5% of the value in their wallet in the form of RESTO tokenized loyalty tokens. To be able to send these tokenized loyalty points to the customers, the merchant first must buy the loyalty points from RestoNXT (the issuer). The merchant will be able to send funds to RestoNXT (issuer) and when the funds are received, the technical infrastructure will automatically create the related number of tokens and transfer these tokens from RestoNXT’s wallet to the merchant’s wallet. Customers can also create an account and use their collected tokenized loyalty points to buy services from merchants within the RestoNXT ecosystem. All participants in the RestoNXT ecosystem operate as a compliant permissioned system. Participating in the ecosystem means that merchants would need to be verified. 13 RESTO token business case Mission-driven Tokens Customer loyalty program with a cause. Tokens earned will be donated to a nonprofit organization with a strong connection to the company’s mission i.e. organizations helping the hospitality industry which has been hard-hit as a result of the covid crisis and lockdowns. Gaming Program Tokens Customers can earn tokens through gamified loyalty programs. Tokens can be redeemed for RestoLITEPWA Gamification. Referral Tokens Reward customers for referring their friends and family. Earned tokens can be redeemed for free delivery, discounts and rewards. Order Givebacks Merchant Stacking Ratings & Reviews Payments Community & Liquidity Staking Data Rewards Premium Features Smart Ads AD Copyright2021@RestoNXT TM Rest RestoNXT will make it easy for merchants to integrate tokenized loyalty programs into their marketing efforts, while maintaining their focus on their core business. The customer will for instance buy a product or service from a merchant and pay with dollars. The merchant sends the product or provides the service upon receipt of the funds and instantly sends the earned tokenized loyalty points from the merchant’s wallet to the customer’s digital wallet. The issuer does not need to do anything. The blockchain automatically keeps a tamper-proof record. If a customer sends the tokens back to the RestoNXT’s (issuer) wallet, the technical infrastructure will burn the tokens. Consumers of the businesses within the RestoNXT tokenized loyalty rewards ecosystem will be able to easily manage multiple loyalty programs within one wallet and even swap between tokens that have pairings with RESTO. RestoNXT’s platform will be able to accommodate different and multiple loyalty programs, facilitating their interaction, especially in terms of the convertibility and exchange of RESTO tokens, without the need for interaction by the issuer. Tokenized loyalty points that are not claimed or the amount of loyalty points on the blockchain will be accounted for as liabilities on RestoNXT’s (the issuer) balance sheet. The total amount of loyalty points in a RestoNXT system can easily be checked through an API call of the blockchain by an external auditor. Other use cases to be initiated include redeeming services/products directly from RestoNXT ecosystem partners and ecosystem partner voting on new RestoNXT ecosystem launches. 14 Key Offerings Digital Wallet (Consumer App) Store Check-in App (Mobile Kiosk) Crew Lite App (Program Execution) Admin Console (Web interface) Data Driven Program Analytics Global Coin Loyalty (Blockchain driven) The RESTO Token (symbol: RESTO), which is the foundation of the RESTONXT ecosystem, will be a blockchain-based token used for payment, rewards, platform fees, and collateral asset. RESTO Tokens are generated for use in the RestoNXT ecosystem under the Token Sale Agreement conditions and will constitute only a transferable representation of attributed functions specified in that Token Sale Agreement. Holding RESTO Tokens carries no rights, express or implied, other than the limited right to use RESTO Tokens as a means to enable access and interaction with the RESTO Token Rewards Services Platform, if and to the extent that the platform is successfully completed and deployed. The Public Crowd Sale will run between dates to be announced or until the Hard Cap has been reached, whichever occurs earlier. The maximum contribution amount for the Crowd Contribution (“Hard Cap”) will be the equivalent to the total supply of RESTO Tokens for sale: 65,000,000 RESTO tokens. The total amount of RESTO Tokens in circulation will be 65,000,000. Blockchain Technology Copyright2021@RestoNXT TM Rest RESTO token valuation approach Token Value Analysis RESTO utility token’s value is split between the crypto-asset itself and the underlying platform RestoNXT platform. RESTO’s opportunity cost of utility, i.e. the token’s purchasing power in terms of goods or services is one potential proxy for determining value. It is envisioned that the token will be exchangeable and tradable on decentralised or centralised marketplaces once the distribution is in effect and a secondary market is established. It is thus important to note that the purchasing power would be indirect since RESTO token itself is simply a tokenized reward instrument and is not intended to be a crypto asset created for the purposes of settlement and consequently not expected to be accepted by merchants as a form payment. The value of RESTO as a utility token will depend primarily on demand for goods or services transacted by merchants within the RestoNXT tokenized rewards ecosystem and the quantity of tokens in circulation. The value of RESTO tokens will be enjoyed by the users and not necessarily the operator of the platform. The value of the RestoNXT platform to the operator is a function of how the operator extracts benefits (income less costs) from the platform on an ongoing basis and the sustainability of such benefits over time. RESTO tokens capitalize user-base growth and reduce user-base volatility in the future, capitalize future platform growth, and accelerate adoption. The equilibrium token price will increase non-linearly with platform productivity, user diversity, and ecosystem network size. It can be supposed that the RESTO token model will produce explosive growth of the user base after an initial period of dormant adoption, followed by a run-up of token price volatility. RESTO token valuation is anchored on the fundamental productivity of the blockchain technology. RESTO token derives value as an exchangeable asset with limited supply that users hold to discover utility. Expectation of technological progress and popularity of the blockchain-powered tokenized reward system may translate into expected token price appreciation. Token price may reflect the future growth of the community. Quoted Prices Comparable tokens Opportunity cost of utility Cost of token generation Estimation of equation terms Time value of money Market approach Cost approach Quantity theory of money (QTM) Hold RESTO Tokens or loyalty reward points in a cryptographically secure app. Send RESTO Tokens to other blockchain wallet addresses for settlement or exchange. Receive RESTO Tokens as rewards from retailers using smart contracts. Earn Tokens for participating in certain activities such as referring new members, social media promotions and similar RestonXT positive activities. RESTO Wallet holders can also earn RESTO tokens, automatically as a member, in the form of monthly rebates. Exchange Points for Tokens or vice versa. This feature allows users to convert RESTO loyalty rewards in the form of RESTO tokens into any other supported cryptocurrency pairing. Affiliate Rebate - Wallet holders can earn RESTO tokens in the form of affiliate rebates. This applies to members and non-members. RESTO could make use of a special machine learning algorithm that optimizes user rewards based on the desired outcomes as defined by the platform or system. The algorithm would then operate in such a manner that enables the assessment of rewards provided to users conducting the desirable actions which warrant the disbursement of tokenized rewards and to make sure behaviour that is contrary to achieving the objectives of the reward incentive scheme is not rewarded instead. This could also make it possible to continually optimize and eliminate inefficiencies within the system. The presence of such an optimization function could minimize manipulation of rewards on the platform and prevent users from manipulating a fixed reward loyalty system, by working around the parameters in order to receive more than the value of their contribution to the ecosystem. RESTO Wallet Holders can: 15 Copyright2021@RestoNXT TM Rest Token Value Outlook M x V = P** x Y* How RestoNXT ecosystem participants earn RESTO tokens The future valuation method for RESTO token will depend on its liquidity and stage of development. Since there’s currently no secondary trade pricing available and there’s no liquidity, opportunity costs of utility provide an observable proxy for value. A unit value for the token can be estimated on the basis of the reasoning that rational participants in the RestoNXT tokenized rewards network would not use the utility token network if the same conveniences that result from having a tokenized reward that is part of sizeable network of retailers e.g. restaurateurs, merchants, exchanges had competing ecosystems that offered a better value proposition and at a lower cost. RESTO token price level can be viewed through the prism of the Quantity Theory of Money (QTM) since the token will be the single universal tokenized reward token used within the ecosystem powered by RestoNXT. The formualr states that the money supply (M) times money velocity(V) equals price level(P) time the volume of goods and services transacted in the economy(Y). *In practice, real gross domestic product (GDP) is substituted into the equation as a measure of vloume. **Note: the price level(P) should not be equated with the price of the token. which we subsequently define as p. Discounts & Payments Writing reviews Loyalty Affiliate & recommendation Marketing Content Creation Tokenbacks Opting into data rewards 16 Copyright2021@RestoNXT Resto’s Ecosystem uses the token for: Discounts for premium payments and outlets within ecosystem Use in restaurants and other