Resource and Reward Management

How do I manage and utilize the POTENTIAL I earn as a block producer?

As a block producer, you earn POTENTIAL by signing transactions and producing blocks. You can manage and utilize it in the following ways:

• Pay for on-chain transactions (e.g., executing smart contracts, transferring assets).

• Refer new users by transferring POTENTIAL to them as an onboarding incentive.

• Accumulate and use it within 28 days, or it will start decaying.

• Claim core assets (TOTO) by submitting fractional NFTs (fNFTs) if you have collected enough.

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What happens if I don’t use my POTENTIAL within the 28-day decay period?

POTENTIAL follows a decay mechanism, meaning:

• 1/28th of your POTENTIAL balance is burned every day if unused.

• If you don’t use it within 28 days, the entire amount will be lost.

• POTENTIAL earned through referrals does not decay unless the referrer consumes it​.

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Can POTENTIAL be exchanged or traded like TOTO?

No, POTENTIAL is not a tradable or transferable asset like TOTO.

• It can only be used for network fees and referring new users.

• Unlike TOTO, it cannot be directly sent to other users for trading.

• Once it decays, it returns to the network's magic-box pool​.

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How do puzzle pieces (fractional NFTs) work, and how are they used to claim full rewards or NFTs?

• Fractional NFTs (fNFTs) are puzzle pieces randomly distributed to block producers as rewards for signing blocks.

• You need to collect all required puzzle pieces to form a complete NFT.

• Once a full NFT is assembled, you can submit it manually to claim TOTO or additional rewards.

• The system determines how many puzzle pieces are needed to complete an NFT, based on referral activity and block production​.

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What actions can I take to earn fNFTs?

You can earn fractional NFTs (puzzle pieces) through the following actions:

• Block Production – Each signed block rewards the producer with POTENTIAL and fNFTs.

• Referring new users – More active referrals increase the number of fNFTs earned.

• Participating in ecosystem activities – Certain blockchain dApps and communities may distribute fNFTs for engagement​.

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When I submit a full NFT, how much TOTO will I earn?

The amount of TOTO (core asset) you earn when submitting a full NFT depends on:

1. The number of puzzle pieces required to complete the NFT – More pieces may result in higher rewards.

2. The total amount of TOTO available in the reward pool – If the pool is low, rewards may be reduced.

3. Your referral network’s contribution – More referrals increase the amount of core assets you can claim.

4. The number of block producers competing for rewards – If many users are submitting NFTs, the reward per NFT may be lower.

The exact calculation formula is still being finalized, but rewards are proportional to puzzle piece count, network activity, and available funds​.