# CryptoRace Business Model

The revenue structure of Action is based on several main sources of income ensuring the Project’s profitability:

1. In-Game Sales.
2. In-Game Commission Fees.
3. Native Advertising.

### In-Game Sales

Monetization of in-game item sales is categorized depending on the items themselves, their purposes and the functions that they provide to users.

The sale of in-game items and services for the F2P mode is carried out via in-app purchases using the Apple Store and Google Pay payment services.

The sale of in-game items and services for the Crypto mode is carried out in two ways: either using the Apple Store and Google Pay payment services, or by means of exchanging them for external FCG tokens or other Crypto assets.

### In-Game Commission Fees

The Project may charge a transaction fee when players participate in certain Action activities (reselling NFTs, withdrawing NFT and FCG tokens to the mainnet, and using other in-game services). These fees contribute to the platform's revenue stream and help keep the game running and growing. Fee-based monetization is subdivided into in-game transaction fees and fees for participating in certain gaming tournaments.

#### Transaction Fees:

* In-game fees for the resale of in-game items range from 0 to 1.5% of the sale price in FCG tokens. The transaction fee is already included in the final cost of in-game items for the buyer and depends on the quantitative restrictions imposed on the volume of trades;
* The fee for withdrawing NFTs from the GSC network to the BSC network is the gas fee for the NFT creation transaction as converted to FCC + 15% of the gas fee;
* The fee for withdrawing FCG tokens to the BSC network will be 2 to 3% in FCG or FCC tokens;
* The fee for trading NFTs on the external (secondary) market will be 5%;
* The fee for trading FCG on a DEX will be the commission percentage provided for by the smart contract (0 to 2%).

These fees are indicative and their actual application or non-application will depend on the in-game economic balance. By introducing these fees, we aim to ensure consistent growth and development of our Crypto section while maintaining a fair and transparent approach to monetization and trading on our platform.

#### Tournament Participation Fees

Some game activities are built around competition between players (tournaments). The reward in such an activity is the amount of in-game Crypto Assets contributed to it by the players. The game receives a fee in the amount of 3 to 10% of the amount of the tournament reward. Tournaments are divided into the following types:

* **1v1 PvP battles** — in PvP battles, users can make contributions using FCG and decide who they want to race with or create their own races.
* **Group PvP battles** — races for 3 to 9 players.
* **Large tournaments** — series of racing sessions, including team races.

### Native Advertising

The Project offers many opportunities for advertising and sponsorship in the game environment. Brands can promote their products and services through in-game advertising and partnerships, creating a mutually beneficial relationship between the platform and advertisers.

#### Income Distribution of the Project

* Marketing and advertising — 35%.
* Development and support of the Project — 25%.
* Investment payouts and dividends — 20%.
* Gaming rewards, incentive payouts and prizes — 20%.
