$JACKSON Litepaper

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.

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% distributed to eligible points holders at TGE; all other allocations vest per Section 2

1.1 Allocation Map

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:

Tokensi=R×(Piα)/Σ(Pα)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).

  • Eligibility Criteria: Complete necessary identity/compliance checks, bind a Sui wallet address, and pass risk controls.

  • 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)

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:

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.

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.

1

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.

2

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.

3

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.

4

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.

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

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.

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

Why SUI?

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.

What makes JACKSON distinct?

$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.

How to access JacksonLP?

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.

How do game providers integrate with Jackson.io?

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.

How does token vesting work?

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.

Does holding $JACKSON guarantee returns?

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).

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