The contribution process
Contributing to Energy Efficiency Projects is reserved to WOZX token holders willing to lock their tokens for the whole duration of the project. Locked tokens generate rewards coming from the 1% of platform savings generated by funded Energy Efficiency Projects. Rewards are proportional to the amount of tokens locked.
In a nutshell the contribution process works like this:
- 1.A project is selected and approved to get funded through Efforce platform. The implementation cost is the amount requested by the Beneficiary or ESCo to fund that given project. This amount, expressed in USD, gets divided in small shares represented by NFTs, each one priced in USDC.
- 2.WOZX holders wanting to contribute to the project are invited to lock their tokens in order to gain the right to mint the desired amount of NFTs. The amount of WOZX to be locked for each mint is declared in the project description.
- 3.The minting contract is deployed on chain and activated on a declared date. At this point token lockers can decide to mint the NFT for the minting price in USDC. NFTs are now in the wallet of the minter.
- 4.The minting contract is terminated, no more minting is possible. The implementation of the project starts. A staking contract reserved for the NFT of the project is deployed on chain and activated. NFT holders can now stake their NFTs.
- 5.Project is implemented and starts generating returns. The Beneficiary or the ESCo converts these returns in USDC. USDC are deposited on a smart contract on chain which mints mWOZ with a ratio of 1:1 so that rewards token are fully backed and instantly swappable with USDC. The Beneficiary or the ESCo directly deposits mWOZ in the staking contract distributing rewards to NFT staked in this way. Only staked NFTs can earn rewards.
- 6.Project is completed. The staking contract is terminated, NFTs are only unstakable and WOZX in the locking contract are unlocked.