Hey, I’m Leonid, the CFO of Wulet. Today, I want to talk about the financial part of the Wulet product.  
I want to be clear about our token model, trading and exchanging. Let me tell you more about our Internal Exchange, which forms a crucial part of the Wulet ecosystem.
I will quickly take you through main peculiarities of the Internal Exchange: tokens, trading, commission, and the exchange process.

The WULET Exchange is made specifically for buying and selling loyalty program points that can be transferred to the platform. External loyalty points can also be connected through the gateway.

The Exchange provides a set of mechanisms that are standard for exchange software, but also specific for loyalty tokens: the purchase and sale of loyalty tokens on the market and the limit orders issue.

The Exchange is basically a contract that works as an indirect exchange of loyalty tokens between their holders. It allows the token holder to put their assets on the stock exchange and withdraw loyalty tokens. Partners (owners of tokens) are allowed to release loyalty tokens on a stock exchange and establish restrictions on exchange pairs. In this case, the exchange of one type of token to another is realized through an intermediate exchange for the WU token.

The WU token is fully compatible with EOS and makes the Internal Exchange operation possible. Due to this compatibility, the WU token can be traded on external exchanges. The maximum emission of a token is equal to the emission launched on the Ethereum platform and distributed within the ICO.

In order to convert tokens to a currency other than Ethereum, you’ll need to release the tokens via an oracle. This is possible within the WU token function and the Wulet ecosystem.
The exchanged amount must be equivalent to the tokens blocked in the Ethereum network.

The platform takes a commission of exactly 1% of the transaction amount (in the WU tokens). The commission is charged for both parties at either end of the transaction.
The offered tokens and the commission stay ‘frozen’ at the time of their offer placement. That means the user will not be able to use them until the offer is withdrawn as a result of the transaction, the offer is withdrawn by the user, or the offer expires.

These are the main points of Wulet Exchange’s economic model. You can find more info on the WU token and its distribution in the coming blog posts!

Stay in touch with Wulet team on
our Telegram channel: @wulet_io

You always can find detailed information on our website: wulet.io