---
sidebar_position: 1
---

# Token System

Our ecosystem uses a multi-currency system to ensure both stability for utility and opportunities for growth and investment.

## Token Types

### TFP (ThreeFold Point)

> is same as TFT but only exists in the marketplace

- **Definition**: TFP is a TFT which only exists within the marketplace ecosystem for internal accounting and settlements.
- 1 TFP = 1 TFT
- TFP cannot be converted back to TFT until the market price of TFT exceeds the fixed conversion rate of CC to TFP (see below in swap section).
  - in other words if on public markets the TFT is prices higher than 1 CC in USD value then you can convert back.
- Once the market price surpasses the fixed rate, users can return TFP to unlock their original TFT.
- When a user buys storage, compute, or bandwidth, they pay in CC, but the settlement to farmers is done in TFP.
- When users convert to TFP, their TFT is locked until they return TFP to unlock their TFT.

### TFT (ThreeFold Token)

- **Type**: Tradable reserve asset
- **Availability**: Traded on public blockchains
- **Characteristics**: Price can be volatile, currently trading at artificially low prices
- **Role**: Market-facing asset and entry gateway into the ecosystem
- **Supply**: Scarce, capped at 1 billion maximum
- Not directly usable inside the marketplace, must be converted to TFP first

### CC (Cloud Credit)

- **Type**: Stable utility token
- **Peg**: 1/1000 of a gram of gold (0.001g)
- **Availability**: Only circulates within the digital marketplace (non-tradable)
- **Purpose**: Primary medium of exchange for services within the ecosystem
- **Generation**: Minted when users enter with TFT or credit card, burned when exiting

--- 

## Swaps

### TFP to CC Swap (both directions)

- **Function**: Allows users to swap TFP for CC at a fixed rate, which either mints new CC or burns existing CC
- **Acquisition**: Users can acquire CC at a fixed rate of **1 CC for 2 TFP**, until the market price of TFP surpasses this rate
  - Open Question: maybe it should be 1 CC = 1 TFP? Lets use forum to decide.

### USD to CC Swap (one way)

- **Function**: Allows users to purchase CC directly with USD via credit card
- **Rate**: Fixed rate of 1 CC = $0.128 (as of Oct 8, 2025, changes as the price of gold changes)
- **Purpose**: Provides an easy entry point for new users unfamiliar with TFT or cryptocurrencies
- **USD Treasury**: USD collected is held in a treasury to back the CC in circulation

--- 

## Link to Revenue

- 80% of revenue goes to Farmers (as TFP)
- 10% of revenue is burned to reduce supply and maintain peg stability, burned TFT.
- 10% of revenue goes to ThreeFold Foundation for ecosystem development and maintenance

---

## Why This System?

This multi-token architecture solves several critical problems:

- **Price Stability**: CC provides predictable pricing for services (pegged to gold)
- **Market Opportunity**: TFT remains tradable with upside potential
- **Controlled Liquidity**: Prevents sudden token dumps while maintaining fairness
- **Sustainable Growth**: Minting/burning mechanisms ensure backing and prevent inflation
- **Operational Viability**: farmers receive stable CC for planning while retaining TFT exposure options