# $JACKSON Litepaper

<figure><img src="https://1350805495-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FY6sY1AVWhtAFV3CTs9WZ%2Fuploads%2FBwe5ccaWnsCtte1CWmcu%2FGitbook.png?alt=media&#x26;token=ee97f2a6-67c6-45dd-bcde-eb200b9c290a" alt=""><figcaption></figcaption></figure>

### Abstract

The $JACKSON token whitepaper outlines the design, economics, and ecosystem of $JACKSON, a utility token issued on the Sui blockchain to power Jackson.io—a decentralized entertainment matching protocol. With a fixed total supply of 9,999,999,999 tokens, $JACKSON is engineered for long-term value appreciation through a self-reinforcing positive feedback loop, integrating Web3 gaming, AI, and liquidity mechanisms.

**Contract Address:**\
0x5ffe80c90a653e3ca056fd3926987bf3e8068ca21528bb4fdbc4d487cc152dad::jackson::JACKSON

### 1. Core Token Specification

* **Name / Ticker:** JACKSON / $JACKSON
* **Base Chain:** Sui (single-chain issuance)
* **Total Supply:** 9,999,999,999
* **Decimal Points:** 8 decimals (min unit = 10^-8 JACKSON)
* **Monetary Policy:** Fixed supply; any modification requires on-chain governance approval
* **TGE:** 2025-12-01 (planned)
* **Initial Circulation:** **33% distribute**d to **eligible points holders** at TGE; all other allocations vest per Section 2

#### 1.1 Allocation Map

{% @mermaid/diagram content="pie title $JACKSON Token Allocation
"Points Holders (33%)" : 33
"Team (20%)" : 20
"Jackson Foundation (32%)" : 32
"Sharkz Hub (4%)" : 4
"Jackson AI (11%)" : 11" %}

| Allocation         | Percent | Notes                                                 |
| ------------------ | ------- | ----------------------------------------------------- |
| Points Holders     | 33%     | Initial circulating at TGE via points distribution    |
| Team               | 20%     | Dual-condition vesting                                |
| Jackson Foundation | 32%     | Ecosystem treasury & strategy; dual-condition vesting |
| Sharkz Hub         | 4%      | Brand/IP growth; dual-condition vesting               |
| Jackson AI         | 11%     | AI R\&D and services; dual-condition vesting          |

* **Rounding integrity:** All minting/distribution computed at **base decimal points (8 decimals)**. Residuals from indivisibility are routed to the Foundation treasury or community pool (per governance) to ensure exact supply of 9,999,999,999.

#### 1.2 Points Distribution Mechanics (Initial 33%)

* **Initial Circulation Pool**: Approximately 3,299,999,999 tokens (33% of total supply).
* **Allocation Recipients**: Eligible users who have earned points on the platform.
* **Allocation function:**

$$
Tokens\_i = R × (P\_i^α) / Σ(P^α)
$$

Where R is the total allocation pool, P\_i is user i's scorable points, α is the curve parameter (default 1.0, adjustable by governance within 0.8–1.2).

**Definition of Scorable Points**

* **Time Weighting**: Bonuses for early/long-term active users.
* **Quality Weighting**: Bonuses for high-value tasks and community-evaluated quality contributions.
* **Risk Control and Anti-Abuse**: Deductions or disqualification for accounts suspected of sybil attacks or abusive behavior.
* **Allocation Cap**: Allocation caps per account and minimum claim thresholds to prevent centralization and fragmentation waste.

**Eligibility, Snapshot, and Claiming**

* **Snapshot Time**: Specified date before TGE (announced in advance).
* **Claiming Method**: Eiligible users will receive their JACKSON through an airdrop and claim the asset automatically on a set date.

#### Treasury, Governance, and Assurance

* **Treasury inflows:** Foundation allocation, protocol revenues, unclaimed reflows
* **Governance:** Multisig control and on-chain parameterization; periodic public disclosures
* **Assurance:** Independent audits for token, vesting, auction, buyback, and distribution modules; verifiable logs and dashboards

***

### 2. Token Vesting and Unlocking Mechanism

Except for the points holders' portion (33%) which circulates immediately at TGE, the remaining allocations (team, Jackson Foundation, Sharkz Hub, Jackson AI) follow a dual-condition vesting mechanism:

#### 2.1 Time Condition (Annual Checkpoints)

{% @mermaid/diagram content="gantt
title Dual-Condition Vesting Timeline (Time Condition)
dateFormat  YYYY-MM-DD
axisFormat  %Y
section Vesting Checkpoints
Cliff (0%)          :milestone, m1, 2025-12-01, 1d
Tranche (2/6)       :milestone, m2, 2026-12-01, 1d
Tranche (1/6)       :milestone, m3, 2027-12-01, 1d
Tranche (1/6)       :milestone, m4, 2028-12-01, 1d
Tranche (1/6)       :milestone, m5, 2029-12-01, 1d
Tranche (1/6)       :milestone, m6, 2030-12-01, 1d" %}

| Year | Date       | Unlock Portion (of each allocation) | Notes         |
| ---- | ---------- | ----------------------------------- | ------------- |
| 2025 | 2025-12-01 | 0%                                  | Cliff year    |
| 2026 | 2026-12-01 | 2/6 ≈ 33.33%                        | First unlock  |
| 2027 | 2027-12-01 | 1/6 ≈ 16.67%                        | Second Unlock |
| 2028 | 2028-12-01 | 1/6 ≈ 16.67%                        | Third Unlock  |
| 2029 | 2029-12-01 | 1/6 ≈ 16.67%                        | Fourth Unlock |
| 2030 | 2030-12-01 | 1/6 ≈ 16.67%                        | Final Unlock  |

For example: The Jackson Foundation holds 32% of total supply, so on 2026/12/01, it can unlock 2/6 of that, approximately 10.67% (about 1.07B tokens).

#### 2.2 Price Condition (Threshold Floors)

If the time node is reached but the market price does not meet the threshold, the batch is automatically deferred to the next year for re-evaluation. Price conditions are as follows:

{% @mermaid/diagram content="gantt
title Price Thresholds for Unlocking (2025–2030)
dateFormat  YYYY
axisFormat %Y
section 2025 (12/01)
No Unlock :milestone, 2025, 0d
section 2026 (12/01)
≥ $0.01 :milestone, 2026, 0d
section 2027 (12/01)
≥ $0.10 :milestone, 2027, 0d
section 2028 (12/01)
≥ $0.60 :milestone, 2028, 0d
section 2029 (12/01)
≥ $3.00 :milestone, 2029, 0d
section 2030 (12/01)
≥ $9.00 :milestone, 2030, 0d" %}

| Year | Date       | Tranche Size | Price Threshold (min) |
| ---- | ---------- | ------------ | --------------------- |
| 2025 | 2025-12-01 | 0%           | —                     |
| 2026 | 2026-12-01 | 2/6          | ≥ $0.01               |
| 2027 | 2027-12-01 | 1/6          | ≥ $0.10               |
| 2028 | 2028-12-01 | 1/6          | ≥ $0.60               |
| 2029 | 2029-12-01 | 1/6          | ≥ $3.00               |
| 2030 | 2030-12-01 | 1/6          | ≥ $9.00               |

Oracle methodology (to be ratified pre-TGE): Time-weighted median across designated CEX/DEX venues; governance-controlled with failover and circuit breakers.

#### 2.3 Design Principles

* **Dual Safeguards**: Both "time" and "price" conditions must be met to prevent excessive releases in immature markets.
* **Deferral Mechanism**: If price thresholds are unmet, the year's portion accumulates to the next year until conditions are satisfied.
* **Fairness**: All non-community holdings (team, foundation, Sharkz Hub, Jackson AI) follow the same mechanism without exceptions.
* **Transparency**: All vesting and unlocking contracts are deployed on the Sui blockchain, audited by third parties, and executed automatically by smart contracts.
* **Long-Term Incentives**: Tiered price thresholds ensure team and ecosystem participants' interests are aligned with long-term token value.

***

### 3. Allocation Recipients and Uses

#### 3.1 Jackson AI (11%)

The Jackson AI allocation focuses on advancing AI research and applications. Funds will be used for:

* Expanding AI technologies and service capabilities;
* Deep integration of AI modules with games and ecosystem applications;
* Providing $JACKSON-based AI solutions for developers and partners.

This positions Jackson.io as a leader in **next-generation Web3 + AI fusion applications,** injecting sustained growth momentum into token value.

#### 3.2 Sharkz Hub (4%)

The Sharkz Hub allocation supports **brand building and IP promotion.** Resources will be invested in:

* Developing diverse merchandise around the Jackson Sharkz mascot;
* Promoting online and offline brand activities;
* Establishing influential cultural and community symbols.

#### 3.3 Jackson Foundation (32%)

The Jackson Foundation acts as the **ecosystem treasury and strategic hub**, driving ongoing protocol development. Resources are primarily used for:

* Investing in ecosystem projects and partners to expand business boundaries;
* Providing developer incentives and grants to accelerate innovative applications;
* Ensuring platform operations, compliance, and security audits;
* Building strategic partnerships and market promotions to enhance global influence.<br>

The foundation ensures **transparent and auditable** fund usage through multisig governance and community participation, fostering a fair, open, and high-growth ecosystem.

#### 3.4 Team (20%)

The team allocation **incentivizes and rewards early core members** and long-term contributors, enabling Jackson.io to:

* Attract and retain top talent;
* Provide fair returns to early builders;
* Align team interests with token value through long-term incentives.\
  This affirms early contributions and serves as a cornerstone for sustained team commitment and project success.

***

### 4. Token Positive Feedback Loop Effect

$JACKSON is not merely a transactional medium but is deeply embedded in Jackson.io's business logic. Through the JacksonLP mechanism, it creates a positive feedback loop, ensuring long-term value support and sustained market demand.

{% @mermaid/diagram content="graph TD
A\[Jackson.io Matching Layer] -->|Connects| B\[Jackson.io Players]
A -->|Connects| C\[Game Providers]
A -->|Connects| D\[Liquidity Providers]
B -->|Participate & Pay| E\[$JACKSON Token]
C -->|List & Pay Fees| E
D -->|Stake for LP| E
" %}

{% stepper %}
{% step %}

#### Three Core Roles

Jackson.io operates not as a traditional gaming operator but as a matching layer, connecting:

* **Jackson.io Players**: Participate in games with open, transparent, and fair environments.
* **Game Providers**: Integrate games to expand user reach and revenue channels.
* **Liquidity Providers (LPs)**: Stake $JACKSON to join JacksonLP, acting as house and sharing game profits/losses.
  {% endstep %}

{% step %}

#### JacksonLP and Scarcity Mechanism

To ensure long-term stability for liquidity providers, JacksonLP features:

* **Participation Threshold**: Must hold and stake $JACKSON to acquire JacksonLP shares.
* **Scarcity and Seasonality**: Issued quarterly with only 100,000 shares per period; no on-demand purchase or redemption. This guarantees rarity and stability.
* **Dutch Auction**: Each period's shares are sold via Dutch auction, allowing market competition to determine token price and drive strong buying momentum.
  {% endstep %}

{% step %}

#### Revenue and Buyback Mechanism

JacksonLP holders act as platform houses, **sharing 100% of actual revenues:**

* Revenues are typically denominated in SUI or USDC;
* These are used by the platform to **buy back $JACKSON on the open market,** then distributed to JacksonLP holders in $JACKSON form;
* The buyback mechanism creates **a continuous, rigid buy demand in the token economy**, directly boosting $JACKSON's market value.
  {% endstep %}

{% step %}

#### Positive Feedback Loop Mechanism

The combined design creates a self-reinforcing positive cycle for $JACKSON:

* **Demand Side**: Becoming a house (JacksonLP holder) requires holding and staking $JACKSON. Scarcity and auctions further elevate demand.
* **Supply Side**: Quarterly limited JacksonLP issuance locks up circulating tokens, reducing freely available supply.
* **Revenue Drive**: Platform revenues in external assets (SUI/USDC) require ongoing market purchases of $JACKSON for distributions. As business grows, buyback demand and token scarcity intensify.
* **Value Accumulation**: Stable buy pressure forms, while sell pressure is suppressed by gradual vesting and long-term incentives. Token value grows with business scale, building a "long-term appreciation" structure.
  {% endstep %}
  {% endstepper %}

In summary, $JACKSON's value is tied not to speculation but to a positive feedback loop:&#x20;

{% @mermaid/diagram content="graph LR
A\[Platform Business Growth] --> B\[Increased JacksonLP Demand]
B --> C\[Market Buyback Pressure]
C --> D\[Enhanced Token Value]
" %}

This model aligns $JACKSON's value with Jackson.io's business development. As user base expands, games diversify, and liquidity providers increase, the positive feedback loop accelerates, **creating escalating demand, supply contraction**, and value accumulation.

***

### 5. Market Design, Utility Surface, Positioning

Jackson.io's long-term goal extends beyond single gambling or entertainment applications to building a **Decentralized Entertainment Matching Layer**. The platform serves as a hub connecting players, game providers, and liquidity providers, with $JACKSON as the sole value medium, forming a self-enhancing open ecosystem.

<figure><img src="https://1350805495-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FY6sY1AVWhtAFV3CTs9WZ%2Fuploads%2F9c6znQvYnctwXD1sjV1B%2Fimage.png?alt=media&#x26;token=b429c844-4d96-45d6-9064-77477dfbe90d" alt=""><figcaption></figcaption></figure>

#### 5.1 Differences from Traditional Models

* **Traditional Gambling Platforms**: Operated by the platform as house, extracting profits in a closed, opaque manner.
* **Jackson.io Model**: Acts solely as a **matching layer**, connecting players, game providers, and liquidity providers; does not intervene in outcomes for fairness and transparency; all value exchanges center on $JACKSON with automated smart contract settlements.

#### 5.2 Game Providers' Value Chain

In the future, beyond current gambling games, Jackson.io will introduce various types, including:

* Skill-based games
* Simulation and strategy games
* Social and metaverse scenarios

\
**Core Requirement:** All game providers **must pay in $JACKSON for listing fees**. This establishes $JACKSON as the platform's "entry ticket," creating stable, ongoing token demand. As game quantity and diversity grow, token utility and value will increase.

#### 5.3 Unified Value Interface for Ecosystem Participants

Within the Jackson.io ecosystem, all participants interact via $JACKSON:

* **Players**: Use $JACKSON for game participation or in-platform asset exchanges.
* **Game Providers**: Pay $JACKSON for listing and ongoing services.
* **Liquidity Providers**: Stake $JACKSON for JacksonLP to share revenues.
* **Foundation and Partners**: Use $JACKSON for fund allocation and incentives.

#### 5.4 Market Positioning

* **Core Positioning**: A decentralized entertainment protocol centered on $JACKSON.
* **Target Markets**:
  * Short-term: Gambling and gaming markets;
  * Medium-term: Diverse entertainment and game providers;
  * Long-term: **Web3 gaming and entertainment infrastructure layer**, supporting cross-platform, cross-ecosystem asset flows.

#### 5.5 Long-Term Value Accumulation

* All new games and services require $JACKSON payments for listing;
* All liquidity needs require $JACKSON staking;
* All buybacks and distributions use $JACKSON.\
  Ultimately, Jackson.io's ecosystem growth will inevitably translate to **long-term demand growth and value accumulation for $JACKSON.**

***

### 6. Risk, Compliance, and Disclosures

While $JACKSON's design aims to create a healthy, long-term value-appreciating token economy, holding tokens and participating in the Jackson.io ecosystem may involve various risks. For transparency and professionalism, the following are disclosed:

#### 6.1 Market Risks

* **Price Volatility**: Crypto markets are highly volatile; $JACKSON's price may fluctuate due to supply/demand, speculation, or external economic factors.
* **Liquidity Risk**: Despite multiple demand scenarios, markets may experience insufficient liquidity at times, affecting trading and exit convenience.

#### 6.2 Technical Risks

* **Smart Contract Vulnerabilities**: Token, vesting, buyback, and distribution mechanisms rely on smart contracts; bugs or security issues could lead to asset losses.
* **Network and Infrastructure Risks**: Built on Sui blockchain; underlying chain defects, attacks, or major upgrades could impact tokens and platform operations.

#### 6.3 Compliance Risks

* **Legal and Regulatory Uncertainty**: Jurisdictions vary in regulations for crypto assets, entertainment, and gambling, potentially affecting Jackson.io's promotion and compliance.
* **Policy Changes**: New policies or laws may require adjustments or restrict user participation in certain regions.

#### 6.4 Business Operation Risks

* **User Behavior Risks**: Participation levels of players, liquidity providers, and game providers directly influence platform scale and token demand.
* **Competition Risks**: The Web3 gaming and GameFi market is competitive; failure to maintain technological or model advantages could impact market share.
* **Partner Risks**: If game providers or liquidity partners fail obligations, it may affect ecosystem development.

***

### 7. FAQ

<details>

<summary>Why SUI?</summary>

Sui offers high performance and low fees with an object-oriented architecture, ideal for gaming and high-frequency interactions. Compared to traditional chains, Sui provides higher throughput and real-time capabilities, supporting Jackson.io's large-scale user engagement and game interactions.

</details>

<details>

<summary>What makes JACKSON distinct?</summary>

$JACKSON's core design creates a flywheel effect through the JacksonLP mechanism:

* Players participate in games → Generate platform revenues;
* Revenues (SUI/USDC) → Used for market buybacks of $JACKSON;
* Bought-back tokens → Distributed as dividends to JacksonLP holders;
* Becoming a JacksonLP requires staking $JACKSON, with limited, seasonal shares auctioned.\
  This ensures rigid, ongoing demand for $JACKSON, positively correlated with platform growth.

</details>

<details>

<summary>How to access JacksonLP?</summary>

JacksonLP is issued quarterly with a limit of 1,000 shares per period, allocated via Dutch auction:

* To become a house, hold and stake $JACKSON to bid for shares;
* Successful holders share platform revenues;
* Unstaking and liquidity exits are only allowed in specific cycles to ensure system stability and scarcity.

</details>

<details>

<summary><strong>How do game providers integrate with Jackson.io?</strong></summary>

All game providers must pay in $JACKSON for listing fees and integrated through our SDK. This positions $JACKSON as not only a liquidity and governance tool but also the sole value interface for platform growth. As more providers join, token demand will increase.

</details>

<details>

<summary>How does token vesting work?</summary>

Except for points holders' portions, remaining allocations (team, foundation, Jackson AI, Sharkz Hub) follow dual-condition unlocking:

* Time Condition: Gradual annual unlocks starting 2026, completed over 6 years on December 1 each year.
* Price Condition: Releases only when $JACKSON price meets thresholds (e.g., ≥$0.01, ≥$0.10).\
  This aligns team and ecosystem interests with long-term token value.

</details>

<details>

<summary><strong>Does holding $JACKSON guarantee returns?</strong></summary>

No. $JACKSON is a crypto asset whose value may be influenced by market supply/demand, liquidity, regulations, and more. While designed for positive appreciation flywheels, it offers no guaranteed returns; participants must fully understand and bear potential risks (see Chapter 6: Risk Disclosures and Statements).

</details>
