Social mining enables active community members to acquire tokens without the need of an exchange. Every user gets an individual user index which will be used to calculate the monthly rewards that he will receive. This index is divided into two main categories, the work index and the engagement index. The more active a user is, and the more benefits they bring to the ecosystem the more they will be paid out at the end of every month.
Several factors will play a role to deciding the final payout every user will receive, to put simply the better investor you are the more money you get. Here are several factors that play into consideration into deciding your User Index.
Total Points that user has received from the Community Board.
Total Points a user has earned in that month.
Total reputation a user has earned.
Total reputation that was leased to a user.
Total amount of Flagged content a user received
Total Points earned for completing social media tasks.
Weekly engagement on social media such as telegram, twitter and others.
Activity on the community platform.
Total amount of up-votes given to other users.
Total amount of tokens held.
Amount of time that those tokens have been held.
These factors each have a individual weighting, meaning some factors play a much bigger role in the calculation of the total user index value.
At the end of every two weeks the community platform will distribute rewards to all users proportionally to their index. The user index gives the users value in relationship to the rest of the community. It gives an indication if that user is below or above average compared to the rest of the community.
If the user has a total user index of 4 than that means that he/she is on average 2 time better on all factors compared to the rest of the users.
Project Alpha distributes 100.000 Tokens every 2 weeks. The total rewards are equal to $30.000 USD. There are 300 active users that hold tokens and are eligible for rewards.
The 30.000 USD are split among all participants and multiplied by their user index.
30.000/300 = 100 * Users Index = Payout
Very good Investor: Has an index of 4.2 and receives: $720 USD
Good Community Member: Has an index of 2.1 and receives: $210 USD
Above average Member: Has an index of 1.2 and receives: $120 USD
Below Average Member: Has an index of 0.7 and receives: $70 USD
Inactive user: Has index of 0.01 and receives: $1 USD
The higher the user index the higher the rewards.
Creating Value for the ecosystem
Users need to finish work that is useful for the ecosystem and that will be beneficial for all other members. Good work will be rewarded in Exp and Reputation, which is the fastest and easiest way to increase your user index.
To learn more about user index read here.
Validation of other peoples work
Users can also earn experience by validating other peoples work. Finding good content and valuable work is essential for the ecosystem and paid out well.
To learn more about validator rewards read here.