Crypto | SIX Network (SIX) Mobile Size Whitepaper
Single Wallet for all your digital assets
If Bitcoin is the Internet of Money (a decentralized trustless network designed to bring financial independence to people worldwide without money having to go through any centralized control) and Ethereum is the Internet of Software (a platform for executing code and creating decentralized applications), SIX aims to be the Internet of Digital Services, providing decentralized solutions for all kinds of transactions in the digital and creative economies.
What is SIX? Why should we develop SIX?
In today’s digital and creative industries, there are fundamental problems amongst payment processors, gateways, and financial institutions versus creative platforms, content providers (hereinafter referred to as “creative workers”), and audiences in the supply chain. With over 10-million active users in our strategic partners’ network, over 1,000,000 creative workers and over 3-million intellectual properties in the network, they are all facing similar problems with centralized financial platforms including payment processors and gateways and financial institutions. This includes high transaction costs for nano transactions and lack of financial liquidity. Creative workers are unable to use their works as collaterals because banks do not see the value in their works (but the content platforms do). Although the content platforms have been trying to solve these problems through their internal tokens, there come problems regarding cross-platform exchange difficulties. Tokens from one platform cannot be used with another platform and digital contents in one platform cannot move around to other platforms as easily as it should be. This is due to their own standard information silos, which makes it impossible for users to monetize the tokens and creative workers to liquidize their digital assets in different platforms.
SIX.network was established to offer total decentralized solutions for the above-mentioned problems. High transaction costs, lack of financial liquidity, cross-platform exchange difficulties, and unfairness of income distribution can be solved with the 3-layer economic infrastructure of SIX.network.
Table 1: Four Major Effects of Current Centralized Platforms
SIX.network aims to create a fair economic infrastructure for all stakeholders in the digital and creative supply chains. There are three main layers in SIX’s economic infrastructure: (1) SIX Digital Asset Wallet, (2) Decentralized Financial Services, and (3) Wallet-to-Wallet (W2W) Decentralized Commerce. Details of each layer are explained in the next section and examples of use cases with scenario diagrams are provided throughout this white paper.
To create a fairer economic infrastructure in the digital and creative industries, SIX.network uses blockchain technology and smart contract to address the issues listed in Table 1. Businesses and creative workers will receive better financial liquidity and lower transaction costs, while businesses can liquidize digital assets under different platforms through business tokens, including (but not limited to) loyalty points, credit card points, and platform coins. These business tokens can be exchanged and transacted among different platforms without intermediaries. In this regard, not only creators can move around from one platform to another, but audiences will also act the same way with lower switching costs than ever before. This forces all creators to always create better content for meaningful engagement with the audiences.
Once transaction costs and access to financial liquidity are no longer problems for businesses and creative workers, SIX.network will connect the SIX Digital Asset Wallets of the creators directly with digital asset consumers through SIX’s Wallet-to-Wallet (W2W) Decentralized Commerce, which supports non-intermediary trading activity. The SIX Digital Asset Wallets can hold not only digital contents, business tokens, and digital identity, but also copyrights and intellectual properties (IPs) to ensure that the rights and ownership belong to the creators. In addition, SIX.network has a mission to develop standards that are open and extendable for different digital assets to allow more innovation in our network in the future.
Our core vision at SIX.network is to provide decentralized service solutions for all stakeholders in the digital and creative economies, offering a better way to bring liquidity to the digital and creative industries.
In this white paper, we pull together primary solutions that we believe will help create an ecosystem that is transparent, fair, secured, and efficient for all stakeholders in the digital and creative economies.
Reinventing the Digital Economy
SIX.network originated from the alliance of leading businesses in the digital marketing and creative industries to solve major problems afflicting upstream (e.g., creative workers), midstream (e.g., agencies), and downstream (e.g. audiences) players in the supply chain. These problems include high transaction costs, low financial liquidity of middlemen and creative workers, inability to liquidize digital assets, content distribution with unclear ownership rights, and unfairness of income distribution.
We believe that fair economic infrastructure is necessary to solve these problems. To create such infrastructure, SIX.network uses blockchain technology and smart contract as the backbone of SIX’s three main layers: SIX Digital Asset Wallet, Decentralized Financial Services, and Wallet-to-Wallet (W2W) Decentralized Commerce. With this economic infrastructure, SIX can create an ecosystem that is transparent, fair, secured, and efficient for all stakeholders in the digital and creative economies.
THE DIGITAL AND CREATIVE INDUSTRIES
WHAT IS IN THE DIGITAL AND CREATIVE SUPPLY CHAIN?
The global Digital Supply Chains, which include content creation by creative workers, content distribution platforms, and digital commerce, manage USD 11.5 trillion in world economic value. Creative workers, companies, and individuals who produce digital content (including music, movies, e-books, cartoons, advertising, apps, and more) generate more than USD 3 trillion a year, indicating that global consumption of digital content has surpassed the consumption of agricultural products.
UNDERSTANDING TERMS AND TERMINOLOGY
Supply chains do not just deliver containers of goods to other countries; they distribute everything we use, wear, and consume (which we do not grow ourselves).
Creative supply chains require the cooperation of all parties who produce the digital content and bring it to end consumers through various internet platforms. What matters most in these supply chains are content, connection, and commerce, and the parties involved in this creative supply chain include the creative workers.
Digital content is all the things we read, watch, listen to, and play, including e-books, cartoons, TV shows, movies, videos, music, advertising, online games, and many others on various distribution channels, including social media, apps, blogs, radio, and other music streams. These entertainments are delivered to us via the parties in the creative supply chain.
HOW BIG IS THE GLOBAL CREATIVE SUPPLY CHAIN?
The Whole Digital Economy: The digital economy in 2016 was estimated at USD 11.5 trillion globally, or about 15.5% of global GDP. By 2025, this number is forecast to reach USD 23 trillion, or 24.3% of global GDP. The digital economy includes all economic activities that result from billions of everyday online connections among people, businesses, devices, data, and processes.
Creative Workers: The digital economy arises from the efforts of creative workers. These workers are companies and individuals who use their creativity to produce content for the digital and creative industries. They include writers, bloggers, influencers, music artists, filmmakers, broadcasters, advertisers, photographers, and others. The companies involved in the digital and creative industries that create digital content include digital agencies, aggregators, and publishers of digital creation tools. The digital and creative industries, which are valued at 4–9% of the global GDP, or around USD 5 trillion a year, have surpassed the entire agricultural industry, valued at USD 3 trillion a year.
1. The complexity of managing contracts and payrolls in the digital and creative industries
Intermediaries such as digital/creative asset marketplaces or digital publishing platforms usually have their own internal point-and-coin economies, which are designed to transfer revenue streams/rewards from end consumers directly to creative workers in the same economies. Although such economies are designed for more operational cash flow in the platform intermediaries, these intermediaries have to deal with high payment processing fees on both ends (i.e., transaction fees are deducted from the amount paid by end users and the payments made to creative workers). These costs can be as much as 30% or more of the transaction amounts.
In addition to payment costs, legal, administration, and accounting activities (additional repetitive and people-oriented tasks) contribute to higher costs. The more parties working in the supply chain, the higher costs will be for delivering the value. The result is lower incomes and longer payment terms for creative workers such as writers, artists, or freelancers.
This complexity arises from the inefficiency of the value delivering process in the digital and creative industries, which is among the problems we will address.
2. Work today, get paid (much) later
Hiring creative workers in the digital industry requires middlemen such as creative agencies to work with business clients (i.e., brands) to manage the complex processes and provide value-added services. Middlemen, such as advertising agencies or creative agencies, are the aggregators in the creative supply chain, playing a significant role in delivering value. However, these parties are currently facing financial liquidity problems, resulting in longer payment terms for creative workers.
Why is the liquidity gap for the digital and creative industries so important?
Almost all middlemen and creative workers face financial liquidity problems because the downstream players, such as big corporate brands with high bargaining power, often request long credit terms (i.e., long account receivable timeframes for the middlemen). This forces the middlemen to push the cash flow burden to the workers in the supply chain (i.e., fewer account payable days than account receivable days). This situation makes it financially difficult for the middlemen as well as the workers to manage their operational cash flow. The gap between cash inflows and outflows reflects the liquidity inefficiency of the system, which is a problem that needs to be solved.
3. The segregation of the creative network
Existing centralized platforms contain different standard information silos, preventing content creators on one platform from moving their digital assets to other platforms as freely as they expected. For instance, Creative Worker A creates digital content for Platform A and has fans and followers on Platform A. However, moving digital content, fans, and followers to other platforms is nearly impossible because there are no concurrent standards among the platforms. Thus, digital assets are difficult to liquidize and impossible on different platforms. As a result, billions of dollars are locked inside one economy as slack credits and cannot be traded or exchanged with other economies. If these assets can be unlocked through tokenization, a process that makes nativeassets exchangeable among different platforms, the value of these digital assets will be unfolded. For instance, if Consumer A can cross-trade his unused credits on Platform A for other services on Platform B, Platform B can automatically increase the customer’s network through the use of tokenization while Consumer A can unfold the real value of the assets on Platform B and vice versa for Platform A. If this problem is solved, billions of dollars can be unfolded.
4. The power to control of the centralized platform providers
Although many things in the digital and creative industries have been digitized and can move around quickly through the internet, platform lock-in is still the ultimate problem for all players in the supply chain. Platforms such as Youtube, Facebook, or even the Apple iTunes store are currently the main distribution channels, especially for creative workers. Although workers can make money out of the platforms, the creation of wealth is not distributed as fairly as it seems. For instance, the power to control the music industry has transferred from the record labels (such as Universal Music Group, Sony, and Warner Music) to digital marketplace platforms (such as Apple iTunes and Spotify), and YouTube and Facebook have become the new medium of media. While creative workers put a lot of effort into creating works for these channels, they do not really own the assets they distribute on those platforms.
Digital content creators currently do not own the rights to completely transfer, sell, or distribute their own digital assets. In fact, they are just small puzzle pieces for the centralized platform providers to complete their business models. SIX.network acknowledges this problem wholeheartedly and offers a better way to disintermediate the power to control and bring the rights and ownership back to the right group of people.
SIX.network has developed decentralized service solutions that will ultimately create an ecosystem that is fair, transparent, secured, efficient, and sustainable for all players in the digital and creative supply chains. The sequentially related solutions are explained in the following sections.
1. SMART PAYROLL
Eliminate the inefficiencies in managing contracts and payrolls as well as unfair profit distribution in the digital and creative industries
1.1 Smart Payroll
The digital and creative marketplaces, including (but not limited to) professional photography platforms, office template marketplaces, and crowd-publishing platforms for cartoons and fiction or other user-generated-content (UGC), have two-sided payment processing fees, which are quite high and result in tedious operational tasks.
To solve this problem, SIX’s Smart Payroll utilizes the power of smart contract to create fair costs for handling services from one end to the other, and to eliminate the inefficiencies in managing contracts and micro payrolls in the digital and creative industries. With our deep understanding of the complexities faced by agencies and digital asset marketplaces in the areas of micropayment settlement and accounting processes, SIX.network can deeply integrate the power of blockchain and smart contract to facilitate more efficient micropayments and ultimately reduce those centralized payment processing fees and redistribute the wealth back to the right parties in the supply chain.
1.2 Bulk Payrolls + Instant Pay = Liquid Payrolls
SIX Settlement Protocol and SIX Accounting Protocol will manage the process of exchanging information for making payments throughout the supply chain. Once they are integrated with the SIX Liquidity Vault and Instant Pay features, it becomes possible to free up all credit terms in the supply chain while reducing many redundant administration tasks. Liquid Payrolls will not need any traditional banking services, and they will provide cheaper and more efficient ways to conduct all settlement transactions in the same supply chain.
USE CASE (Smart Payroll Solution)
● Agency and Bulk Payrolls: Excessively high operational costs for the midstream players
In addition to creative and strategic planning, agencies are responsible for several campaign management tasks (e.g., negotiation, legal contract, administration, and accounting), which are people-intensive tasks. More people involved in delivering value means less profit for stakeholders and longer payment terms 7
for creative workers.
Most of the digital content platform providers have their own point-and-coin ecosystems, so for end consumers to purchase content, they must convert cash to points/coins though centralized payment processing platforms, and these payment processing platforms take up to 30% or more of the money flowing to the agencies and creative workers. SIX.network has a mission to release both parties from particular platforms. With the Smart Payroll Solution, cash flows to the agencies and creative workers rather than being deducted by platforms that do not deliver any real value to the supply chain. Transaction fees are calculated in SIX Gas and kept at a minimum to keep the network running.
In addition, it takes a long time for the middlemen or the agencies to receive cash payments from business clients. However, the net effect is mostly on the creative workers, who have to wait until the agencies receive the cash flow. To solve this problem, SIX.network will develop the SIX Liquidity Vault and Instant Pay features so that both agencies and workers can receive instant cash upon the completion of work. By combining Smart Payroll with Liquid Pay (explained in the next section), all parties will be able to access more liquidity through Instant Pay with minimal transaction costs.
● Proof of Concept (PoC): Payout with SIX Feature
The initial PoC version for bulk payrolls incorporates smart contract with a mission to offer digital content platform providers an efficient way to convert their internal points/coins to SIX tokens through the Payout with SIX feature. Platform providers can embed the Payout with SIX functionality for their creative workers to utilize the blockchain-based accounting and micropayroll protocols.
The objective of the initial PoC is to examine the automated bulk payment requests from real-world cases using blockchain technology and smart contract, and to determine how simple decentralized exchanges can be integrated with the internal economies of today’s businesses.
2. LIQUID PAY
How can we fix the industry cash flow problem? How can we allow people to receive cash when they want to have it? We ask these questions because we see significant cash flow problems in the digital and creative industries today.
Financial institutions never know the true value of creative works. Digital contents created by these creative workers on one platform have no value to third-party financial institutions. However, the platforms know how much actual cash flows the digital contents are creating in the system. This makes it possible for the platforms to lend money to creative workers while the workers use their works as collaterals in the transaction. If the principal is not repaid, ownership of such intellectual properties will be transferred to the platforms. With this idea, we have come up with our Liquid Pay system.
What is Liquid Pay?
● Liquid Pay is a liquidity provider platform for creative workers (e.g., freelancers, influencers, digital agencies, etc.) that provides short-term financial liquidity for individuals in the digital and creative industries using smart contracts to control the transaction flows.
● There are three main parties involved in Liquid Pay’s transaction flows:
- ○ Lenders who provide liquidity to the Borrowers;
- ○ Borrowers who request a credit limit from the SIX Liquidity Provider Platform; and
- ○ Owners of collaterals who provide necessary collaterals (i.e. digital assets) to the network based on borrowing conditions, and can be people other than the borrower in the same transaction.
How does Liquid Pay work?
- ● Under the SIX Liquidity Provider Platform, lenders or registered business members are usually strategic partners of SIX.network and owners of collateral can be anyone who owns accepted assets (i.e. creators’ digital creative assets (intellectual properties)). In most cases, borrowers and owners of collateral are the same person.
- ● To borrow, they must transfer the accepted assets to the SIX Digital Asset Wallet. At this point, they will receive the right to allocate parts of their assets as collaterals.
- ● The allocated asset portion will be contractually held by the lenders and transferred to the SIX Liquidity Vault, a blockchain-based internal wallet, to store both lenders’ tokens and collaterals. Lenders will then evaluate the value of collaterals and inform the borrowers the credit limit that they can utilize for a specific period of time. At this point, the borrowers are opened to the new feature of SIX.network - “Instant Pay”
This feature, which was developed exclusively for creative workers, works collaboratively with the Smart Payroll Solution.
● Instant Pay is a smart contract feature that gives SIX’s creators, or the worker(s), the right to borrow from SIX’s registered business members through employment smart contracts, which provide the right of instant pay to the workers. To illustrate, a SIX business member hires a worker in SIX.network with a 60-day payment term. However, the worker needs cash before Day 60. Under the employment smart contract, the worker can request instant pay upon completion of work, which is used as a collateral in this transaction. In this regard, SIX’s registered business members have 2 options: (1) to use internal cash flow to pay creative workers, or (2) to ask SIX.network to pay the workers first and once they receive payments from the client, the business member repays the particular amount back to SIX.network in full. Please note that once the creative workers choose to use instant pay, they will not get full amount of payment. If the contract value is USD 1,000, they could receive USD 950 through instant pay feature.
Liquid Pay works in collaboration with Smart Payroll
Working in collaboration with Smart Payroll, Liquid Pay will assist creative workers in getting instant cash through the Instant Pay feature on completion of works assigned by registered agencies or businesses in SIX.network with minimal transaction costs. With Smart Payroll, registered businesses in SIX.network will have the ability to do bulk transfers at significantly lower costs compared to the fees paid to traditional banks and payment processing platforms. Settlement and accounting processes for micropayments will be done much faster and more efficiently.
As SIX.network disintermediates traditional banks and returns a fair amount of profit back to the community, all parties will benefit from making the ecosystem sustainable and the world will be a better place for the parties that contribute to the ecosystem. No freeriders are allowed.
3. TOKENIZATION LOYALTY AND REWARD POINTS
Why do the digital and creative industries need tokenization?
Numerous digital points are in the market today, including credit card points, air mileage points, loyalty points, ad watching points, web access credits, gift cards, and many more. Businesses can gain customer loyalty and operating cash flows through this point-and-coin system. However, the flip side is that these digital points become useless outside their own platforms and the cost of converting cash into digital points for different platforms through centralized payment processors is quite high. Businesses are now seeking more efficient ways to reduce these burdens and free up staff for more valuable tasks.
In this regard, tokenization comes into play. Tokenization is a process that makes native assets exchangeable among different platforms. This not only makes digital points tradable on different platforms, but also reduces the transaction costs charged by the centralized payment processing platforms.
3.1 Business Tokens with smart contract
The problems mentioned in the 1.1 Smart Payroll section and above can be addressed by allowing registered businesses in SIX.network to issue their own business tokens with SIX. Revenue sharing and nano-payments models can be created using business tokens with Smart Contract. Audiences or end consumers can purchase the business tokens with SIX, and these business tokens are used as the medium of access to the digital products made by creators inside the business platforms or marketplaces. The only transaction fee paid to the network is SIX Gas, which is used to power the network. Traditionally, the cash inflow is cut off and paid to the payment processors at every step of the supply chain. Now, the audience or end consumers conduct the payment transactions and the Smart Contract determines the revenue sharing percentage according to specific conditions and returns portions of revenue back to all contributing parties.
In addition, business tokens allow for a new nano-payments business model like pay per view/listen/stay contracts. For instance, the streaming music platform could charge customers based on how long they listen in seconds. This sort of nano-transactions model cannot be implemented with today’s credit cards because the minimum payment processing fee is too high.
3.2 Tokenization Exchange
Current Issues in the Loyalty and Reward Ecosystem
- 1. No interrelated standards among different platforms: Points can only be used in one specific micro-economy.
- 2. Lack of liquidity: Due to high payment processing fees to convert back from points to fiat currencies, most platforms do not allow exchanges between point and fiat. Only one-way exchanges (from fiat to points) are allowed.
- 3. Points and coins are often unutilized, written off, and expired. Holders of points and coins tend to easily forget because they are difficult to store and there is no market to cash out.
- 4. Businesses usually find it difficult to manage unused points and coins in their accounting books. For example, traditional banks need to set aside a big chunk of cash for unused credit card points, losing opportunities to utilize their cash.
Solution – SIX Business Token Wallets
SIX.network will provide businesses an SDK to convert their digital and reward points to their own digital tokens on the blockchain. Our wallet will keep these digital points/coins in one place.
Types of internal tokens SIX.network supports
- 1. Access to platform credit tokens
- 2. Point tokens (credit card, mileage, loyalty, reward)
- 3. Gift card tokens
Benefits of Tokenization
As businesses convert their points into blockchain-based tokens powered by SIX.network SDK, they will gain more flexibility in managing those internal points and benefit from several upside business potentials, including:
- ● Accessing tokens to cut out the high payment processing fees
- ● Gaining a new business model from the use of tokens as payment instruments
- ● Cross-border expansion
- ● Opportunities to up-sell or gain new customers
- ● Better utilizing sunk assets
- ● Using SIX.network blockchain as an underlying medium between businesses
USE CASE (Tokenization Exchange)
Customers can swap tokens to use in another business
Customers who own loyalty points from Cafe A in Korea could easily exchange their loyalty points from Cafe A to Grocery points in Department Store B when they come to Thailand. The businesses could enjoy the upside of cross-border expansion and up-selling opportunities because new customers can easily swap their slack credits for a tradable-token form. At the same time, their customers will enjoy the liquidity of the digital tokens that can be exchanged for goods and services in the real world.
Businesses can exchange tokens for new market opportunities
An advertising platform in Korea can trade its credit tokens for cartoon subscription tokens in Thailand. This creates new business opportunities for both businesses as the tokens create flexibility in exchanging value across businesses.
4. DIGITAL ASSET WALLET
Personal data is becoming a new economic asset class, a valuable resource for the 21st century that will touch all aspects of society. To unlock the full potential of personal data, a balanced ecosystem with increased trust between creators, middlemen, and consumers is necessary.
Solution: SIX Wallet is differentiated from other decentralized wallets because it provides one place to store, connect, and commerce all digital assets in a decentralized way.
Store: SIX aims to develop one of the first wallets that will create a new way to store digital assets beyond just the cryptocurrencies. This wallet will be able to store any blockchain-based digital assets, ranging from creators’ digital assets (music, film, digital content, etc.) and digital copyrights to digital loans, payrolls, or even loyalty and reward tokens.
Connect: SIX.network gives users the ability to directly connect with one another through SIX Digital Asset Wallets. This will remove the power of control from centralized platform providers who currently take significant portions of the supply chain profits through their platform lock-in strategy. SIX.network will provide a p2p communication layer for SIX.network users and decentralized chatbot APIs for businesses because SIX.network believes that communicating through instant messaging is the closest to natural human communication.
W2W Commerce: SIX.network will provide the most enjoyable and convenient form of decentralized commerce. Musicians can sell their works of art directly from their SIX Digital Asset Wallets while the rest of the stakeholders, including producers, aggregators, and streaming app providers, could plug-into the decentralized ecosystem and use smart contracts to pass the copyrights and revenue sharing flow to one another. With the semantic metadata concept, SIX.network’s goal is to set a global standard for digital assets that allow machines to talk among themselves, leading to an automated and transparent marketplace on the blockchain.
The Future of Music: SIX.network’s Vision
Our vision is to give music creators the ability to store their works in SIX Digital Asset Wallets, which would be stored on the blockchain, and to sell their works directly to end users of the supply chain. With proof of ownership and proof of existence, such works could easily be tracked from the first hash and time-stamped since the beginning.
In addition, music creators could select various decentralized cloud storage providers. These providers use a bid-and-ask system for cloud storage price quotation under a smart contract, which is linked to the creators’ digital assets in the wallets. It should be noted that the creators reserve the right to choose the most suitable business model for them (i.e., this is done through smart contracts). For instance, the file storage business model could be revenue sharing, in which case the shared portion (a fraction of SIX called SIX Gas) would be rewarded back to the contributor community.
With the power of blockchain, music producers, record labels, and business aggregators would still be able to collaborate and receive a portion of revenue sharing from music creators through legally binding agreements on smart contracts. Legal teams would be the decentralized network of lawyers working on the permission-based trustless system for verifying intellectual property and digital copyright across multiple distributed ledgers, which could possibly be called the proof of agreement. Once the agreement is validated, the creators could attach it to their digital music, which should then be sold directly to the end users based on the smart-contract revenue sharing model in this case.
With this platform, third-party services could be developed and built upon SIX.network. For example, an AI startup could develop an AI music scanning technology, powered by the network, to index on through the global music metadata to read ontology. This would assure the world that the intellectual property, claimed to be originally developed by particular creators, really was developed by those creators. In the case of intellectual property theft by fraudulent creators, the AI would report the fraud possibility to the network of copyright lawyers. Other intellectual property thefts from the traditional internet layer like BitTorrent would likely be a lot less as seeders could be incentivized to join hands with the decentralized network vetting system. In this decentralized vetting system, the seederswould receive reward tokens to get access to the digital music from their contributions in particular ecosystems instead of infringing the rights and stealing the works.
The marketplace or the streaming applications would still be in the form of applications or web browser plugins but decentralized, so they could be integrated with the SIX Digital Asset Wallet. Users (i.e., consumers) could then use any streaming applications/web browser plugins and creators would still be able to sell their works directly from their wallets. In this regard, more flexible and efficient business models could be found, as nano-transactions like pay as you listen could be implemented. Such underlying technology is similar to that of Lightning Network. Pay as you listen and the technology behind it have another layer of listening ledger in real-time. This means that light users, who listen just 2 hours of the creators’ music per month, pay 0.30 SIX while heavy users, who listen to the creators’ music for 10 hours per month, pay 1.50 SIX.
It may seem that creators and other stakeholders would receive less. In fact, they would receive more because there are no centralized platforms. A big chunk of profit is removed from them and redistributed back to the creators and other stakeholders. In addition, with blockchain and SIX Digital Asset Wallets, the right of ownership and the power to control would be moved back to the creators themselves. For the industry, it would be possible to wipe out intellectual property theft from the black market and reduce legal and account costs through the use of smart contracts, as mentioned above.
SIX.network for other digital media and digital goods
Other digital content and digital goods could apply this vision to create a decentralized platform that allows creators to contribute and connect with their consumers instantly. The difference is on the layer of how to design the open standard and the ontology for each type of digital content with the business models (smart contracts) that could be selected, enabling creators to receive more and users to pay less, as there would be no mono/oligopoly controlling the industry.
To shape a better future for the industry, the SIX.network team envisions the SIX Digital Asset Wallet as the direct connection to facilitate wallet-to-wallet decentralized commerce between the creator and the audience. There are several decentralized applications and services on the market today that can plug into and attach the smart contract onto their layers to share incentives, and we realize that we cannot do all of this alone. Therefore, we plan to come up with house rules/standards and use our platform to engage other people (our partners and business alliances) to help us make a better future for the whole digital economy and the digital and creative industries.
Multi-signature and multi-chained wallets store various types of digital assets on blockchains with built-in services including:
● Financial services
- ○ Deposits
- ○ Business short-term liquidity
- ○ Instant pay and community-based liquidity providers
- ○ Automated payrolls and smart settlements
- ○ Automated accounting
● Cross-token loyalty and reward points wallet
● Instant messaging communication
- ○ Communicate the way humans do
- ○ Chatbot supported
● Digital assets vault (future plan)
- ○ Proof of ownership – reduce IP theft
- ○ Digital copyright flow and management
- ○ Support nano-transactions (pay per time to access)
- ○ Digital assets to security collateral (future plan)
● Wallet-to-wallet commerce (future plan)
- ○ w2w semantic data exchange for various type of digital assets
- ○ p2p decentralized commerce
● Cross-chained wallet (coins and tokens be exchanged with an integration of selected exchanges or DEX) (future plan)
CONCEPT DESIGN APPROACH
● Multi-tokens: Ability to see various types of cryptocurrencies, tokens, smart contracts, and digital assets
● Open source
● Web and mobile versions
● Option for users to connect with exchanges or DEX with no control
● SDK and APIs – for software integration companies to incorporate it into real-world business (support both stand-alone and OEM)
● There will be two versions:
- ○ SIX Wallet end-user version: The SIX Digital Asset Wallet, which gives users the ability to keep their coins and take full control of their tokens, other digital assets, and smart contracts on the blockchain with communication features
- ○ OEM: An account-based wallet for companies that want some compatibility within their ecosystem while still enjoying the full benefits of the decentralized technology
Our initial goal is to improve the lives of people through the revolution of financial services on the blockchain. To achieve this, we have developed a big series roadmap indicating the stepping stones required to explore the five main disruptive waves.
WAVE 1: The Proof of Concept (PoC)
Our short-term mission with SIX.network is to deliver a decentralized financial-services PoC to real businesses and creative workers – those who need better financial liquidity. Our plan is to initially launch a PoC with our alliances, including our founding members and strategic early investors, in an open-source technology, using blockchain for database transparency.
Our PoC would consist of the following:
- 1. SIX Wallet SDK
- 2. Web-based payroll with Pay-out with SIX
- 3. SIX.network micropayment architecture
- 4. Web-based multi-sig wallet where users can deposit and withdraw cryptocurrencies/tokens
Security and transparency are SIX.network’s number one priorities to ensure business trust. With that in mind, we understand that it is necessary to strike a balance between bringing up real-business use cases and developing a simple yet solid infrastructure to engage the whole open-source community. Therefore, we will roll out several small steps within the first year after the ICO to get real feedback from both businesses and the communities.
The detailed roadmap will be posted online and shared with the community. In addition, we will establish a bounty program that engages the developer community to join the development mission with our team to foster a strong ecosystem.
WAVE 2: The Springboard
At this stage, we aim to accomplish most of our features through our partnership with our development communities and expand geographically through our business partners in differentcountries. As a partner with the development communities (Wave 1), the bounty programs will be intensively used to fund SIX’s development communities.
Blockchain Startup Fund
- ● The startup fund will act as an early-stage fund with incubation programs for developers and startups who believe in SIX’s vision and want to take this as a springboard to build better products for the industry and the people in it.
- ● This fund will focus on the digital and creative industries and digital assets, such as a blockchain for digital copyrights management, IP theft protection, social media identity indexing, identity hiring, and many more (several of these are listed in SIX’s vision). The developers and startups who believe in our vision can choose to develop this vision into their own utility tokens with our support (i.e., incubation program), and these tokens can be beta tested in our SIX.network. The graduated tokens will then be plugged into our network for mass adoption.
Partners and Business Development
- ● Loyalty and points acquisition
- ● Digital content platform partnerships
- ● Education and workshop programs for potential developers, system integrators, and technology partners
WAVE 3: The Public (Community and Feedback)
To build a solid foundation, we acknowledge that all milestones should truly reflect feedback from end users. Features on this milestone will include more UX/UI design for the users. Moreover, various complex features will be launched to the selected beta users, including:
- 1. SIX’s multi-sig Wallet (iOS, Android)
- 2. Liquid Pay architecture and infrastructure with the Instant Pay feature (selected beta to test the SIX liquidity-providing platform and risk-management algorithm)
- 3. More accepted main cryptocurrencies and intellectual properties
- 4. Points and reward tokenization
- 5. Test tokenization exchange through internal DeX
WAVE 4: The New Standard
At this stage, SIX.network aims to set a new standard in the digital and creative industries by making a global and open source standard of major digital assets (e.g., music, film, and social media identity). We will help the industries rethink their data standards to make them fit into a decentralized ecosystem in general and SIX Digital Asset Wallet specifically. Better data structures and ontologies for each digital asset have been in discussions in several niche communities over the past five years, but the centralized platforms set their own standards with platform lock-in. With blockchain technology, this is the time for us to revisit those communities and bring a better standard into reality.
In addition, UX/UI and communication channels, such as applications, browsers, smart contracts, and exchanges, will be tied to the wallet on their own layer. As the digital assets have their own ontologies and standards, we will need fewer applications, marketplaces, or middlemen because the digital assets themselves could connect to the origins on the blockchain and use smart contracts to run wallet-to-wallet (W2W) decentralized commerce.
In this phase, we aim to extend the functionality of the SIX Digital Asset Wallet as follows:
- ● Digital content standard redesign from the ground up
- ● W2W decentralized commerce
- ● Smart contract and new business model possibilities for each type of digital asset
WAVE 5: The Sixth Necessity
We stated in our vision that SIX aims to be “a better way to bring liquidity, transactions, and wealth back to the digital and creative industries.” At this point, we have engaged various important pieces of the puzzle to help us build a complete transaction loop between creators and audiences using SIX Digital Asset Wallet as a medium of exchange. Revenues and incentives will be redistributed more fairly as there is no power of control in the economy. SIX.network will become the ecosystem for all the working entities and directly connect the right creators with the right audiences through the Wallet. However, it is not just the liquidity and transactions; we want to redistribute the wealth and ownership rights back to the right people. We hope this creation will be the sixth necessity (after land, food, medicine, clothes, and internet) for people living in the modern creative and digital economies.
A total fixed supply of 1,000,000,000 (one billion) SIX shall be distributed periodically.
Current Token Allocation
❖ 47.45% of the total amount of tokens created will be available during the public sale and public pre-sale. This portion can be traded in the market on the first trading date.
❖ 25% of all tokens created will be locked as bounty and reserve.
- ➢ 40% of this portion will be exclusively sold to future strategic partners who will provide significant development to SIX.network and the digital and creative communities in terms of product development and geographical expansion. The future strategic partners will be able to utilize the tokens first hand in the SIX.network only.
- ➢ The rest of this portion will be used in the SIX bounty program for future usage in SIX.network. The network will use the tokens from the bounty to reward all the people who make significant contributions that help SIX.network and the community.
❖ 13% of all tokens created will be reserved for team members, advisors, and key contributors who have been working to develop the ideas, supporting structures and actual implementations of the SIX.network project. This portion will be released within 24 months from the first trading date.
❖ 10% of all tokens created will be held by Company, held by Yello Digital Marketing Global, OOKBEE U, and Computerlogy.
❖ 4.55% of all tokens created will be sold to our early investors. We only select early investors who are able to provide strategic support to our SIX.network and the digital and creative communities. 30% of the portion can be released to the market 90 days from the first trading date. The rest can only be utilized first hand in the SIX.network. In doing so, the early investors will help drive the use of SIX tokens among digital and creative workers and the tokens will eventually be released to the entire system via the digital and creative workers.
Product and R&D: The 30% raised will be allocated to the development of network infrastructure and products, including the liquid capital module, liquid asset module, and liquid rights and ownership module. This also includes the merger and acquisition of relevant businesses to expand our network.
Reserve: This 30% raised will be used as the Blockchain Startup Fund, which will act as an early-stage fund with incubation programs for developers and startups who believe in SIX’s vision and want to take this as a springboard to build better products for the industry and the people in it.
Operation: The 15% raised will be allocated to the day-to-day operation to ensure that the entire operation process continues to run smoothly as the network expands. We will place much of our focus on operational processes and the employment of additional operation-related staff/managers.
Marketing: The marketing budget is set at 15% of total proceeds, which will be used for awareness and reach-out to people around the globe, starting in Asia. This amount will cover ongoing community building events and tools to reach the general public via traditional marketing channels, and to build key partnerships with large businesses in creative industries to access a large number of potential users.
Legal and Compliance: This is the key to the long-term success of SIX.network. The 10% budget allocated to legal and compliance costs ensures that our network will fit within regulatory parameters in any new markets it enters, especially for liquid pay and copyrights and IPs.
Yello Digital Marketing Global (YDMG) is a subsidiary of Yello Mobile (YM). YM is the largest mobile app developer in South Korea, and YDMG owns the top 10 digital media companies in South Korea. There are more than 90 companies under the Yello umbrella, and that number is increasing.
The Group specializes in shopping, media and content, advertising and digital marketing, travel, and online-to-offline services. YDM currently holds strong alliances with 22 entrepreneur-driven companies throughout Southeast Asia including Singapore, Indonesia, Thailand, Vietnam, and more to come. The company has over 1,700 employees providing services to more than 5,000 clients.
Ookbee U was established as a joint venture between Ookbee and Tencent with a mission to turn the venture into a content ecosystem for digital media. It is designed to identify and promote user-generated content in Thailand and in the wider Southeast Asia region.
The joint venture, Ookbee U, was formed to operate the startup’s existing user-generated content subsidiaries in four categories: comics (Ookbee Comics), music (Fungjai), ideas and experiences (Storylog), and literature and novels (Tunwalai, Joylada, and Fictionlog).
OOKBEE U started experimenting the use of internal tokens since 2016. There are over 10-million users, 60% of which are active, and 330,000 creative workers, including writers, illustrators, musicians, producers, etc, with over 3-million intellectual properties in the platform. In 2017, approximately 550,000 users and creative workers in the platform used OOKBEE tokens for products in the platform.
COMPUTERLOGY, a Sriracha-based social media analytics firm, was founded in 2009 and uses tools such as SocialEnable and TH3RE to help brands target their social media marketing by using Big Data analytics to provide consumer insights. The company is a badged Facebook Marketing Partner, meaning it has been vetted by the social media giant and is provided with technical support and partner-only access to the Facebook marketing team.
In 2015, Yello Digital Marketing Group (YDM) acquired a majority stake in Computerlogy, with the desire to accelerate Computerlogy into becoming Southeast Asia’s top social media marketing provider.
Vachara Aemavat – Co-founder, Co-CEO
Vachara is the founder of Computerlogy, a leading startup focusing on the social media tools for enterprise in Thailand, with a range of products from social media analytics, command centre, chatbot, and more. He exited his first startup to join Yello Digital Marketing Group (YDMG) in 2016, where he assumed the role of Chief Technology Officer.
Natavudh Pungcharoenpong – Co-founder, Co-CEO
Natavudh “Moo” Pungcharoenpong is a tech entrepreneur with more than 18 years of experience in founding, funding, and managing technology companies. He is a founder and CEO of Ookbee, one of SEA’s biggest UGC communities, which include books, comics, music, etc. Ookbee raised more than USD 30M from various investors including Tencent and Intouch holdings in the past 4 years. Moo is also a venture partner at 500 Startups managing 500 TukTuks, a USD 15M micro-fund focused on promising Thai and SEA startups. The fund portfolio includes Omise (his first investment for TukTuks back in 2015), Pomelo (a USD 19M follow-on investment by JD.com), T2P, and more than 50 other startups in the region in the past 2 years.
Charkrid Thanhachartyothin – Co-founder, Head of Blockchain
Charkrid has built various kinds of technology startups over the past 10 years, ranging from the digital agency, web/app production house to IoT, robotic, computer vision, and hardware startups. He also founded NE8T, the first hardware incubator (and makerspace) in Thailand, which could help young entrepreneurs raise funds on crowdfunding websites and accelerate them with a manufacturing design process in China. In 2014, Charkrid founded Dolphin.io, the Mobile Wallet SDK with Cryptographic 2FA transmitting based on ultrasonic technology (sending money through sound that people cannot hear). Now Charkrid is into blockchain.
Nisanart Thadabusapa – Co-founder, Head of Finance/ Investor Relation
A challenge seeker with strong analytical skills and 8 years of rich business experience in several industries, Nisanart supports SIX.network in its successful global expansion as its Money Keeper. Before joining SIX.network, she was an international taxation consultant at PricewaterhouseCoopers (PwC) Thailand and a former corporate relationship manager at Siam Commercial Bank Public Company Limited (SCB). Engaged in several cross-border projects during her years at PwC and SCB, as well as numerous freelance investment projects, her experience will help shape SIX.network’s development strategies in any markets it enters.
Dr. Polapat Udomphol – Business Development Lead
Dr.Polapat serves as a business development lead at SIX.network. Prior to joining SIX, he is a founder and Chief Business Officer at Ookbee. He has over 18 years of experiences in Tech industry in South East Asia and Silicon Valley. He is responsible for various functions, including business development strategy planning and implementation, international business expansion as well as managing sales and client-relationship team.
Sangboon Sangmanee – Marketing/ Legal Lead
Joe Sangmanee serves as a marketing. ledal lead at SIX.network. Prior to joining SIX, he is a co-founder, Chief Marketing Officer, and head of legal at Ookbee. He has been working on both technical and business side for more than 18 years in Thailand and the US. He is mainly responsible for developing and planning overall marketing strategy, overseeing investment and acquisition of businesses from legal standpoint, liaising with government bodies, as well as various other responsibilities.
Watcharapong Photjaneenon – Operation Lead
Watcharapong “Watch” Photjaneenon is an innovation payment expert for Thai Bank and FinTech. Watch worked with two leading banks in Thailand, KasikornBank and Siam Commercial Bank, and seeks to lead the Thai market’s transformation to a cashless society through innovative payment technologies such as QR code payment, mobile payment, and FinTech innovative payment integrated.
Veravej Ornthanalai - Intellectual Property Specialist
Veravej “Guy” Ornthanalai is an intellectual property (IP) practitioner and a registered Thai patent agent (no. 2314). He is a trusted advisor to Department of Intellectual Property, Thailand Research Fund, and many other research institutes and Universities on patents and innovation issues, and is helping 1,000 + clients with their IP protection and commercialization efforts.
Todsaporn Banjerdkit - Technology Lead
Todsaporn or known as @katopz in the open source world had worked for Lower Lintas and Partners as Web Developer and Thomson Reuters Software as Lead Software Engineer (Full stacks). He is currently working as CTO of Jamsai Publishing Group. He is also a blockchain speaker at several blockchain and related events in Thailand.
Sung-hyuk Dave Park, Ph.D - Artificial Intelligence Lead
Sung-hyuk is the founder and CEO of Recobell (www.recobell.com), a leading startup focusing on bigdata based recommendation and ad-tech system for enterprise in Korea. Having range of products from on-site recommendation, re-targeting solution, A.I based Search Advertisement solution, machine learning based display ad optimization and etc. He exists first startup to Yello Mobile on 2014. Since 2016, he has taken a business leader in ad-tech for Yello Digital Marketing and outside director for Dayli Intelligence as a bigdata specialist in fin-tech and blockchain business. Furthermore, he is a tech business advisor in YDMG launching crypto exchange in Thailand in 2018.
Kyeongseo Mike Hwang, Ph.D - Recommendation Engine Lead
Kyeongseo is the co-founder and CTO of Recobell. With Sung-hyuk, Kyeongseo has built the largest recommendation platform for over 100 e-commerce and 200 + media sites in Korea. Following Recobell exists, he has taken a Cheif Product Officer in Yello Digital Marketing Global (YDMG). As a CPO, he merges variety of ad-tech solutions from Korea, Vietnam, Thailand and Indonesia into company identity, Yello Group by assessing solution viability and localizing technology for SEA partners. Kyeongseo is an outside director for Dayli Intelligence as a bigdata and global business specialist as well.
Jae-Hyung Kim - Influencer Marketing Platform Specialist
Jae-Hyung Kim is a team leader at FutureStream Networks in Korea and assigned to work on AdPocket project, the lockscreen ad platform in Thailand, Vietnam, and Indonesia since 2015. He has been working around influencer marketing platform in Korea, China, Thailand, Indonesia and Taiwan since 2017. He had been working with DEEPSoft in both Korea and Japan from 2004-2015, specialized in anti-spam solution, enterprise email solution, mail audit system, and mail archive system.
Seung-Beom Hong - Influencer Marketing Platform Specialist
Seung-Beom Hong is a deputy manager at FutureStream Networks in Korea. He has been working around influencer marketing platform in Korea, China, Thailand, Indonesia and Taiwan since 2016. He had been working with DEEPSoft in both Korea and Japan from 2007-2015, specialized in enterprise email solution, enterprise spam-block solution, and mail audit system.
Deog-Hyeon Jang - Technology Support
Deog-Hyeon Jang is a deputy manager at FutureStream Networks in Korea and assigned to work on mobile ad network platform (“Cauly”) in Korea from 2013-2015, AdPocket project, the lockscreen ad platform in Thailand, Vietnam, and Indonesia since 2015. He has been working around influencer marketing platform in Korea, China, Thailand, Indonesia and Taiwan since 2017. He had been working with Danawa Lab in Korea from 2008-2011, specialized in recommended PC system, billing system, and community site.
Sang-Su Bang - Technology Support
Sang-Su Bang is an assistant manager at FutureStream Networks in Korea and assigned to work around influencer marketing platform in Korea, China, Thailand, Indonesia and Taiwan since 2016. He had been working with SURESOFTTECH in Korea from 2014-2016, specialized in high-confidence software development.
Methuz Kaewsaikao - Blockchain Specialist
Methuz was a team leader in research and development department in a big data company, which involves in marketing technology. After 3 years, he started his own company, operating in the business of blockchain and big data consulting and development called Cochain. The company is funded by a public company.
Kamolsit Mongkolsrisawat – Application Support Lead
Karun Warapongsittikul – User Experience Lead
Karun is the founder of UX Academy, the first in Thailand specializing in UX. With more than 10 years in UX/UI (user experience and user interface design), he believes the power of user experience will deliver better solutions. Karun has attended countless workshops and events as a UX evangelist and mentor, and he has substantial experience working with multinational companies and startups
This document and information contained herein may not be sent and or addressed wholly or in part, directly or indirectly, to any person in the United States or Singapore, or any other jurisdiction in which it would be impermissible or otherwise restricted to offer, distribute, purchase, sell or retain cryptographic tokens.
PLEASE READ ALL PARTS OF THIS NOTICE CAREFULLY. THIS WHITEPAPER IS TO BE READ IN CONJUNCTION WITH THE TOKEN SALE AGREEMENT AND ITS TERMS AND CONDITIONS TO BE SUPPLIED.
All definitions contained in this notice shall bear the same meaning as provided in the Whitepaper unless stated otherwise.
The SIX Token (SIX) is not intended to constitute:
- 1. securities in any jurisdiction;
- 2. currency of any kind;
- 3. stocks, shares or debentures;
- 4. units in a collective investment scheme or business trust;
- 5. equity in an investment fund.
Any regulation or legislation applicable to securities or to any of (1 to 5) above will not be applicable to this Whitepaper and the SIX token offering. This Whitepaper does not constitute a prospectus or offer document, nor is it an offer of securities or an attempted solicitation for investment in securities in any jurisdiction. This Whitepaper and the SIX token offering have not been approved by any regulatory body in any jurisdiction. It should not be assumed that the Whitepaper and the SIX token offering comply with any laws, regulation or legislation of any jurisdiction.
The purchase of SIX and participation in the SIX token offering is inherently risky. No warranty, guarantee or undertaking is made by SIX Corporation and/or the distributors of SIX regarding:
- 1. the performance of SIX tokens;
- 2. the performance of the assets underlying the SIX Corporation or the SIX token purchase;
- 3. the accuracy of the information contained in this Whitepaper; and
- 4. the accuracy of the financial or other projections contained in this Whitepaper.
The law and regulation of token offerings is in the process of development and review in most jurisdictions. This lack of clarity surrounding the law and regulation further increases the risk associated with the purchase of SIX tokens. As a potential purchaser, it is assumed that you have familiarized yourself with the underlying technology and workings of token purchases, blockchain technology, digital wallets and cryptocurrency. It is assumed that, as a potential purchaser, you have knowledge and understanding of the foregoing and that you have familiarized yourself with the risks associated therewith.
Any agreement between you and SIX Corporation and/or any distributor, in relation to the sale and purchase of the SIX will be governed by a separate Token Sale Agreement setting out the terms and conditions of such agreement. In the event of any inconsistencies between the Token Sale Agreement and this Whitepaper, the Token Sale Agreement shall prevail. To the maximum extent permitted by the applicable laws, regulations and rules, SIX Corporation and/or any distributor shall not be liable for any indirect, special, incidental, consequential or other losses of any kind, in tort, contract or otherwise (including but not limited to loss of revenue, income, personal savings or profits, and loss of use or data), arising out of or in connection with any acceptance of or reliance on this Whitepaper or any part thereof by you and any purchase of the SIX tokens by you.
As a potential purchaser of SIX tokens you agree and acknowledge that:
- 1. you are recognized as an Accredited/Sophisticated/High Net Worth Individual/Investor or the equivalent in your home jurisdiction;
- 2. the purchase of SIX is inherently risky;
- 3. the law and regulation in relation to token offerings, cryptocurrency, digital wallets and blockchain is in the process of being developed and reviewed in most jurisdictions;
- 4. SIX Corporation and/or any distributor give no representations, warranties or undertakings regarding the success of the SIX token offering, the underlying SIX Corporation business, the accuracy of the information and accuracy of the financial and other projections contained in this Whitepaper; and
- 5. to the full extent permitted by the applicable laws, regulations and rules, SIX Corporation and/or any distributor shall not be liable for any indirect, special, incidental, consequential or other losses of any kind, in tort, contract or otherwise (including but not limited to loss of revenue, income, personal savings or profits, and loss of use or data), arising out of or in connection with any acceptance of or reliance on this Whitepaper or any part thereof by you and any purchase of the SIX tokens by you;
SIX Corporation is committed to providing a safe, compliant and reputable service to our customers. For this reason, SIX Corporation insists on a comprehensive and thorough Know Your Customer (KYC) and anti-money laundering (AML) / combating the finance of terrorism (CFT) compliance implementation. This includes the monitoring of suspicious transactions and obligatory reporting to local regulators and other compliance bodies. Our policies in this regard differ depending on the country of origin of which our clients are located. The specific AML/CFT and KYC policies as per regional jurisdiction are located in the terms and conditions of the Token Sale Agreement. Our compliance framework ensures that regulatory requirements are being adhered to at both a local and global level, instilling a level of trust and ensuring SIX Corporation will continue operate uninterrupted. SIX Corporation reserves the right to refuse to offer SIX to persons from or in jurisdictions that do not meet international AML/CFT standards or could be considered as a Politically Exposed Person.