Off-Chain and On-Chain Tokens

With regard to EMPL, we will divide the tokens of our service into two types with the highest usability in mind: “off-chain,” circulated within the service, and “on-chain,” circulated outside of the service.

Ordinarily EMPL will be circulated through exchanges as on-chain tokens, while off-chain tokens will be able to be used within our service while complying with Japanese law. Furthermore, off-chain tokens will be able to be converted into on-chain tokens of equal value in order to be used in services outside of the app.

A comparison of the two token types follows below:

	Off-Chain	On-Chain
Legal Classification	free points	cryptocurrency
Function	within-app circulation	exchange for money, staking
Token Standard	-	ERC-20

Off-Chain tokens:

• Issued for free

• Can be used within the app's ecosystem

• High usability due to no service fees

• Cannot be exchanged directly for legal tender

• Can be exchanged for on-chain tokens and withdrawn outside of the app upon applying

On-chain tokens:

• FTs on public blockchains

• Circulated outside of the app

• Can be exchanged for fiat currency and other cryptocurrencies on exchanges