How Partners Earn

Partners don't profit by taxing users. Partners profit by growing the network. Candao replaces fee extraction with performance-based protocol rewards and direct business revenue.


TL;DR

Most apps earn by taking a cut from every transaction. Candao flips this:

  • You commit to Zero Fee (no platform-style cuts)

  • Users join through Infinite Package ($100 CDO)

  • The protocol rewards you with CDO allocations based on: active users + retention + cross-ecosystem contribution

This is not charity. It's engineered economics.


The Core Shift

Traditional apps monetize via:

  • platform fees (10–30%)

  • subscriptions

  • ads & data extraction

Candao flips it:

The app owner commits to Zero Fee and earns through:

  1. Protocol rewards (CDO pool) — rewards linked to verified network contribution

  2. Direct revenue — selling products/services directly (no marketplace tax)

  3. Reduced build cost — AI-accelerated + community execution lowers development spend

  4. Utility-driven demand exposure — adoption increases CDO utility demand (no guarantees)

Zero Fee does not mean zero revenue. It means we remove rent extraction and replace it with network-aligned rewards.


Partner Entry: The $1,000+ CDO Commitment

A partner enters by holding:

Requirement
Details

CDO commitment

$1,000+ worth (varies by partner/business scope)

Purpose

Alignment bond (not a fee)

Operating model

Zero Fee (no platform cuts)

Mission

Onboard users into Infinite Package + grow the 360° community

This is not a "pay us" fee. It's a protocol alignment bond.

Token Lock Schedule

Partner tokens are locked with gradual unlock:

Year
Unlock
Cumulative

1

0%

0% liquid

2

10%

10% liquid

3

10%

20% liquid

4

40%

60% liquid

5

40%

100% liquid

Zero-fee access and partner benefits continue throughout the lock period. The lock removes tokens from circulation, creating healthier tokenomics for everyone.

Dynamic Unlock Mechanism (Future Governance Feature)

⚠️ Governance-Defined — This mechanism is under development and subject to community vote.

The Concept: Instead of fixed yearly unlocks only, unlock speed could adjust based on ecosystem health. When the ecosystem thrives, participants unlock faster. When markets are stressed, unlocks slow down to protect everyone.

Ecosystem Health
Effect on Unlock

Strong (price above average, high volume)

Accelerated unlock (up to 1.5x)

Normal (stable metrics)

Standard schedule

Stressed (low liquidity, declining metrics)

Minimum unlock (floor rate)

Why This Works:

  • Rewards holders when ecosystem is thriving

  • Protects against dumps during downturns

  • Aligns seller behavior with ecosystem health


chevron-right📐 Technical Details: How Dynamic Unlock Workshashtag

Proposed Formula:

Where:

Metrics Used:

Metric
Healthy Range
Source

Token Price

Above 90-day moving average

DEX/CEX oracles

Trading Volume

Above governance-set threshold

On-chain data

Market Depth

Sufficient buy-side liquidity

Order book analysis

TVL

Growing or stable

Protocol analytics

Safeguards:

Guard
Description

Floor

Unlock never drops below scheduled minimum

Ceiling

Max 1.5x acceleration (prevents sudden dumps in bull markets)

Delay

Any acceleration requires 30-day governance notice

Audit

Quarterly third-party verification of metrics

Example Scenario:

Condition
Base Rate
Multiplier
Effective Rate

Bull market (price 1.2x MA, high volume)

10%/year

1.4x

14%/year

Normal market

10%/year

1.0x

10%/year

Bear market (price 0.7x MA)

10%/year

1.0x (floor)

10%/year

Note: All parameters are governance-defined and may evolve based on ecosystem needs.


What Partners Receive

1. Apps Built by the 360° Community

Instead of paying agency rates, partners access an ecosystem pipeline:

  • AI-accelerated development (improving monthly)

  • Multirole contributors (devs, designers, marketers, operators)

  • MVP-first delivery with reusable modules

Contributors earn via community reward mechanisms and project-aligned incentives.

2. Happier Customers Through Lower Prices

Because you operate Zero Fee:

  • Customers pay less (no middleman tax)

  • Higher perceived value per dollar

  • Stronger retention and loyalty

3. CDO Reward Pools Replace "Fee Profit"

Instead of a cut on every transaction, the protocol allocates rewards:

Your Contribution
Your Reward

Users onboarded

CDO allocation

Engagement + retention

Quality multiplier

Cross-app adoption

Ecosystem multiplier

Value created for the network → rewards returned to the creator.


The Partner Reward Formula

More verified active users + better retention = larger share of protocol rewards.

Reward Distribution (Per Epoch)

An epoch is a fixed accounting period (e.g., monthly or quarterly).

Rewardi(t)=Pool(t)×Scorei(t)jScorej(t)\text{Reward}_i(t) = \text{Pool}(t) \times \frac{\text{Score}_i(t)}{\sum_j \text{Score}_j(t)}

Where:

  • Pool(t) = total CDO allocated for partner rewards in epoch t (governance-defined; may be funded by emissions, protocol revenue, and/or DAO treasury)

  • Score_i(t) = partner i contribution score

  • Σ Score_j(t) = normalization across all partners

Contribution Score

Scorei=wuf(MAUi)+wrRetention30+wxCrossAppActivationwsSybilRisk\text{Score}_i = w_u \cdot f(\text{MAU}_i) + w_r \cdot \text{Retention}_{30} + w_x \cdot \text{CrossAppActivation} - w_s \cdot \text{SybilRisk}

Constraints:

  • All weights are non-negative: $w_k \geq 0$

  • Weights sum to one: $w_u + w_r + w_x + w_s = 1$

  • Weights and metrics are governance-defined and may evolve

Definitions:

  • MAU = Monthly Active Users (verified, anti-bot)

  • Retention₃₀ = % still active after 30 days

  • CrossAppActivation = users who adopt other Zero Fee apps

  • SybilRisk = anti-fraud penalty (prevents "fake users" gaming)

Fairness Function (Prevents Monopoly Capture)

To reduce runaway concentration, MAU is scored with a concave function:

f(MAU)=log(1+MAU)f(\text{MAU}) = \log(1 + \text{MAU})

Large apps still win, but not infinitely — smaller high-quality apps remain competitive.

Illustrative Example (Not a Promise)

Partner
MAU
Retention
Pool Share

Small app

500

85%

~2%

Medium app

5,000

70%

~10%

Large app

50,000

60%

~25%


Integrity & Anti-Gaming (Privacy-Preserving)

The protocol rewards real users, not bots.

Protection
Implementation

Sybil resistance

On-chain reputation / attestations (optional, jurisdiction-dependent)

Bot prevention

Rate limits, anomaly detection, challenge-response flows

Fake user penalties

SybilRisk reduces score and reward share

Auditability

Verifiable aggregates (minimum necessary data; privacy-first)

Partners who attempt manipulation may face:

  • Reward suspension

  • Reputation penalties

  • Removal from the program (governance-defined)


Partner Commitments

You Commit
You Receive

Hold $1,000+ CDO (alignment bond)

Access to app factory pipeline + community execution

Operate Zero Fee (no platform cuts)

Share of protocol reward pools

Onboard users into Infinite Package

Growth-aligned reward multipliers

Introduce partner candidates (optional)

Ecosystem expansion bonuses (governance-defined)

Partner introductions are an ecosystem growth mechanism — not a compensation scheme.


Infinite Package for Users

Users enter through:

Package
Cost
What it unlocks

Infinite

$100 CDO

Unlimited zero-fee access to participating Candao apps

Token Lock Schedule

User tokens are locked with gradual unlock (same as partners):

Year
Unlock
Cumulative

1

0%

0% liquid

2

10%

10% liquid

3

10%

20% liquid

4

40%

60% liquid

5

40%

100% liquid

Your access never stops. The lock removes tokens from circulation, creating healthier tokenomics. You keep your tokens — they just become liquid gradually.

Note: Infinite Package excludes external hard costs:

  • Heavy AI compute

  • Payment rail fees

  • Shipping / logistics

  • Third-party services

Users aren't buying access to one app. They're buying access to an expanding universe of Zero Fee apps.


The Partner Flywheel


Important Disclaimers

⚠️ Not investment advice.

  • Reward pools and scoring rules are governance-defined and may change

  • Token prices fluctuate; there are no guarantees

  • Examples are illustrative only

  • Partners earn via protocol participation and direct business value — not price promises


FAQ

Q: Why would I commit $1,000+ if I don't get guaranteed returns? A: The $1,000 is held, not spent. You keep it. It's an alignment bond that signals you're serious — and it unlocks the 360° community, app factory pipeline, and protocol rewards.

Q: What if users don't show up? A: That's the partner's job: growth. The good news? You're not competing against platforms with massive ad budgets. Your users pay less (Zero Fee) and stay longer (better retention). The economics work in your favor.

Q: Is this like an MLM / referral scheme? A: No. Partner introductions are optional and ecosystem-aligned — there are no tiered commissions or downline structures. Rewards are based on user growth, not recruitment pyramids.

Q: What happens if Candao fails? A: Your tokens are yours. If the ecosystem doesn't grow, your tokens may lose value — but you're not locked into a platform. Unlike subscription fees, you never "lose" what you paid. You hold an asset.

Q: How do I know the reward formula won't change against me? A: Changes are governance-controlled and announced with timelocks. Partners can vote on proposals. No surprises.


Summary

Convert your app to Zero Fee. Commit $1,000+ in CDO as alignment. Grow real users and retention. Earn via protocol rewards and direct revenue — not by taxing your community.

The whole system grows as a movement: no rent extraction, ownership, contribution, rewards.

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