Whitepaper

The Raiinmaker Network Protocol

June 2nd, 2025

Abstract. A federated peer-to-peer network with consensus powered by signed user actions, forming a record composed of immutable identity and unique authenticated user generated data. The Raiinmaker Network Protocol was developed to enable AI systems to optimize privacy, security and performance through dynamic incentives and behavior based measures of reputation through a platform that blends agent-based AI training and human-in-the-loop (HITL) validation. The Decentralized Physical Infrastructure Networks (DePIN) Architecture is designed to enable the scalable deployment of decentralized AI Infrastructure and Web3 capabilities to a wide range of different applications, industries and use cases. To achieve a novel form of user driven consensus, the The Raiinmaker Network Protocol utilizes three discrete and interconnected blockchain layers; User Action Layer (UAL), Enterprise Application Layer (EAL), and Network Validation Layer (NVL), that scale and work together to deliver an unbroken string of trust that is finalized by hashing proof to Public Blockchains including the Bitcoin Network. The Raiinmaker Network Protocol dynamically rewards contributors based on objective measures of on-chain user actions and network Reputation.

1. Introduction

At present, the majority of people and companies who use the legacy internet have not had exposure to cryptocurrency or blockchain technology, yet Web 3.0 concepts are gaining traction. Simultaneously, the current migration from Web 2.0 to Web 3.0 is a watershed moment of opportunity and Raiinmaker has built the system to facilitate a frictionless transition for enterprise and mass adoption. In this evolving digital landscape, the exponential growth of Artificial Intelligence (AI) is another critical factor to consider. As per McKinsey, AI has the potential to add $13 trillion to the global economy by 2030, illustrating a revolution in its own right1.

AI technologies are proving instrumental in processing and analyzing the vast amounts of data generated by web platforms and users. This ability to harness and make sense of data is invaluable in the age of Web 3.0, where data is the currency of choice. While Web 2.0 saw companies profiting from user data in a unilateral manner, AI, coupled with blockchain technology, could catalyze a more equitable distribution of value from data

thus increasing the opportunity for value creation. For the last two decades, Web 2.0 platforms have built value based on models that are extractive to users and their data. According to McKinsey & Co. and the World Economic Forum, the data collaboration opportunity of connecting data across organizations will unlock $3 Trillion in Annual Value2.

AI's rising value is further solidified when combined with cryptocurrency and blockchain technology. AI-driven automation can streamline transactions, improve security by tracking and recording who adds specific parameters to AI models with precise timing, allowing for dependable data trends, creating more efficient, reliable and profitable digital ecosystems.

As such, the accelerating value of AI, combined with the rise of cryptocurrency and the migration towards Web 3.0, positions the Raiinmaker Network at the forefront of this digital transformation. As all these technologies converge, the Raiinmaker Network is poised to lead the way in the equitable distribution of network data value, transforming the way we perceive and utilize the internet.

The Raiinmaker Network Protocol is an innovative solution that brings immense benefits to a wide range of digital systems, encompassing AI, both EVM and non-EVM blockchains, and various other technologies. Through the strategic utilization of dynamic incentives and independent reputation, this protocol fundamentally transforms the essential elements that fuel the generation and dissemination of value within a network.

Raiinmaker drives the decentralized AI economy by empowering individuals to create, validate, and monetize data, while advancing AI innovation through trusted, transparent systems. As a core DeAI infrastructure layer, Raiinmaker enables proof of personhood and AI reputation scores to build trustworthy, decentralized datasets. By tokenizing data assets and rewarding contributors with crypto incentives, Raiinmaker creates a robust economic layer that transforms data participation into a sustainable, value-driven ecosystem. The Raiinmaker Network operates through a unified framework comprising of the following:

Key Components

Raiinmaker Network Blockchain

● User Action Layer (UAL): Captures and verifies cryptographically signed user actions to establish trust and ensure data integrity.

● Enterprise Application Layer (EAL): Provides enterprises with secure, scalable access to Web3 tools, smart contracts, and AI-enhanced applications.

● Network Validation Layer (NVL): Finalizes all validations across the network by anchoring data integrity proofs on public blockchains such as Bitcoin/Ethereum.

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● Decentralized Digital Identity Passport: empowers users to own and control their digital identity via cryptographic keypairs on their own devices, securely verified by the Raiinmaker Network.

● Governance and Staking: Builders, including the visionaries, developers, investors, and team members of the Raiinmaker project will have proportional votes in the governance system. Non-Custodial Self Staking for selected cryptocurrencies (RAIIN, BTC, ETH, NFT’s and other cryptocurrencies)

● Raiin Token: The Raiin token powers all blockchain network services and transactions including Validator rewards tied to burning/staking mechanisms that secure the data infrastructure of the network.

Decentralized AI Infrastructure

● Decentralized Physical Infrastructure Networks Edge (DePIN): A distributed edge computing layer enabling efficient, low-latency dApp operations across mobile and desktop devices. Distributed training and inference for large model support to host, train, and reinforce AI.

● Edge SDK: Enables mobile, IOT and End-User Device inference, reinforcement and update distribution for quick preference training and interface on the edge.

● Proof of Personhood & AI Reputation Score: trusted metric used for task prioritization, validator rankings, and synthetic data accuracy.

Business Service Layer

● Raiinmaker Application and Blockchain-Integrated HITL Framework: Utilizes human validation to ensure data accuracy and reduce bias in AI systems while rewarding contributors.

● Chief Raiin: AI agent powered by LLMs and blockchain integrations, with a unique personality inspired by native wisdom and a crypto enthusiast twist.

● Data Labeling Services: A decentralized, cost-effective solution for annotating and categorizing datasets, ensuring high-quality data for AI models.

● Data Tokenization and Marketplace: Converts validated datasets into tokenized assets that can be traded, licensed, or sold, creating new revenue streams for enterprises and fair compensation for contributors.

● Synthetic Data Tools: Allow validated datasets to seed synthetic data models, enabling Raiinmaker to generate synthetic data pipelines as an additional offering.

● Questing Platform: Fund and create Raiinmaker quests to engage and reward Raiinmaker users for sharing, creating, and training AI. Amplify posts, share partnership announcements, and drive engagement through targeted calls to action.

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The exponential growth of AI presents unprecedented opportunities for innovation and economic value, yet it also brings significant challenges. AI models require vast amounts of high-quality, validated data to perform optimally, but current systems fall short in ensuring data accuracy, privacy, and trust.

Key Issues

1. Data Quality and Bias: Existing datasets often contain errors, inconsistencies, and biases that undermine AI performance. Without effective validation mechanisms, these flaws perpetuate inaccuracies and limit the usefulness of AI applications.

2. Data Privacy and Security: Traditional data collection methods expose individuals to privacy risks, with sensitive information often stored in centralized databases vulnerable to breaches and misuse.

3. Lack of Trust in AI Outputs and Training Data: As AI-generated content becomes more prevalent, distinguishing between human-generated and AI-generated data is increasingly challenging. This lack of transparency erodes trust in AI systems and their outputs.

4. Limited Access to Tokenized Data: Enterprises struggle to monetize their data assets and lack the tools to convert validated datasets into valuable digital assets, such as tokenized datasets or NFTs, that can be leveraged in decentralized ecosystems.

5. Fragmented Data Ecosystems: The siloed nature of data management in Web 2.0 systems hinders the seamless integration of datasets across platforms and industries, limiting the potential of collaborative AI models and decentralized applications.

The Raiinmaker Network addresses these challenges by providing a decentralized infrastructure that:

● Validates and tokenizes datasets through cryptographically signed user actions, ensuring data integrity and reducing bias.

● Implements privacy-preserving mechanisms to protect user data while enabling participation in data-driven AI models.

● Establishes trust in AI outputs by introducing decentralized identity and proof-of-personhood verification.

● Enables enterprises to monetize their data assets through tokenization and synthetic data generation, creating new revenue streams.

● Facilitates the seamless integration of data across platforms, unlocking the full potential of decentralized applications and AI systems.

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Target Audience

● Decentralized AI Companies: Web3 organizations or individuals needing human-in-the-loop (HITL) data validation services or a high quality AI model that can validate AI outputs for low cost, all backed by blockchain proof.

● Traditional AI Businesses: Raiinmaker can provide data labeling and HITL services that undercut traditional labeling pricing, due to low costs and blockchain backing.

● Small and Medium Businesses: Organizations with valuable data that isn’t being used can work with Raiinmaker to help tokenize and make use of their data.

● Raiinmaker Users: Individuals participating in HITL task validation.

2. Raiinmaker Network Architecture

The Raiinmaker Network defines the creation and interaction of three blockchain layers to provide consensus and a spectrum of trust for verification of any data;

● User Action Layer(s) (UAL)

● Enterprise Application Layer(s) (EAL)

● Network Validation Layer(s) (NVL)

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The combined layers will be used to promote continued improvement in user reputation via gamified increases of identity and behavior information on a trustless network. The architecture provides a platform for independent creation of multi-platform interoperable AI/ML behavior applications.

User Action Layer (UAL)

The User Action Layer (UAL) uses a unique and novel blockchain architecture leveraging the mundane actions of normal users (including non-technical users) of any system to directly interact with a blockchain to verify all events on the network in a powerful UX model that requires no extra effort or understanding on their part.

Raiinmaker Network architecture

End-user creates and uses a cryptographic keypair on each device

The web or mobile application automatically generates and registers a cryptographic key pair for the user, with which every significant user action in an application is

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cryptographically signed and placed on the UAL blockchain. This signature improves application security with direct and powerful authentication and authorization, as well as allowing every user to act as a blockchain node via normal application actions (e.g. login, click, share, view, comments, or any other application action deemed important by the application for gauging and influencing behavior). When a user performs any tracked action, the signed message includes the latest global UAL block hash, as well as the latest NVL block hash (see below), enhancing decentralization of data verification for all actions on the entire network. This model makes possible the measurement of identity based verification data and enhanced incentivization to improve the verification of application users.

A UAL node is defined as a registered and verified human with a personal device such as desktop, laptop, or mobile device. Information about a human user’s identity can be improved for use in applications, with powerful privacy controls.

Decentralized Digital Identity Passport

The Decentralized Digital Identity Passport is a blockchain based identity and access solution that allows users to take control of their identity and eliminates the risk for enterprises to store PII (e.g. risk of data breaches, and GDPR compliance). Delivered as a service, built on top of the Raiinmaker Platform, Passport authenticates users' Identity to applications using public key encryption. Third party Identity Providers confirm claims or factors about a user without sharing the actual data, it de-risks the storage of PIIs associated with users and data breaches. GDPR and CCPA capable. Decentralized identity management to reduce liability and protect the identity of customers and employees.

Enterprise Application Layer (EAL)

Enterprises, Applications, Networks, or Systems can leverage AI models to operate within private EAL nodes enabling advanced analytics and smart automation. This integration allows them full access to Web3 tools such as tokens, NFT’s, smart contracts, and a suite of enterprise integrations. AI models enhance these operations by providing predictive analytics, optimizing smart contract algorithms, personalizing user experiences, and facilitating secure, automated transactions. Through the power of AI, EAL nodes become more adaptive, efficient, and capable of handling complex decision-making processes, thus unlocking new levels of performance and innovation in the Web3 space.

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Businesses can launch private blockchains within the EAL. These blockchains are advanced, scalable, and interoperable blockchains, capable of high transaction volume.

EAL deployments protect proprietary business processes by deploying smart contracts within Docker containers, allowing developers to code in any software language. All transactions are assembled into blocks with a configurable time window (the default creates a block every 5 seconds if there are new transactions). Blocks are periodically sent to the Network Validation Layer (NVL) (see below) for final verification and proof hashed to the Bitcoin Network. All EAL blocks will eventually be signed by every user action on the UAL blockchain.

With the Raiinmaker network, verification of transactions is based on the decentralization of proof by checkpointing into other (public) blockchains such as SEI. Utilizing a hybrid Blockchain architecture and developer friendly coding languages including Java, Python, javascript, and Go, the The Raiinmaker Network Protocol creates a frictionless integration between Web2 systems and Web3 infrastructure.

Network Validation Layer (NVL)

The Network Validation Layer is used to finalize all validation on the Raiinmaker network. Participants establish identity and economic information to compete for mining incentives.

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NVL Proxy Validator (Non-custodial delegated Proof of Stake)

The NVL Proxy Validator will allow any network participant to contribute to the finalization of all transactions and user actions on the Raiinmaker Network. The NVL Proxy Validator will accept block signatures from any number of UAL and EAL blockchains. Every 30 minutes, the NVL Proxy Validator will create and sign a new block containing all block signatures received from all network layers and make the new blockhash available to all UAL, EAL, and NVL Independent Validators for future signing. This hash is what all users on the network sign with every action taken inside a business application.

The NVL Proxy Validator allows independent users to register for proxy signing of ongoing verification events for lightweight participation in the verification process without requiring installation of software by the registrant.

NVL Independent Validator

NVL Independent Validators are deployed and hosted by independent parties using mobile/desktop devices to further decentralize all network proofs, with no blockchain or technical expertise required.

Every NVL Independent Validator will periodically pull the latest block from the NVL Proxy chain, create a new cryptographically signed block, and send this block to the NVL Proxy Validator for inclusion in the next NVL block. This function allows the NVL Independent Validator node to act as an independent witness to all events and verifications on the Raiinmaker Network and for mining rewards.

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NVL DePIN Validator

NVL DePIN Validators form a powerful Decentralized Physical Infrastructure Network (DePIN) with significant combined computational power available to host decentralized AI processes and infrastructure. The protocol has the capability to provision and scale access to Mobile and Desktop CPU and GPU processing via NVL DePIN Validators that also enable parallel training of AI/ML from a variety of devices.

Securing with Bitcoin: Public Verification

A Public Verification integration will provide bridges to one or more public or external blockchains (e.g. Bitcoin, Ethereum, etc.) allowing clients to capture proof of data quality and event timing. The system will provide a human readable report as well as API access to this data. The Public Verification is a scalable model that aggregates one or more blocks from the NVL and places the resulting hash into a transaction on each respective public blockchain. The existence of this hash can be used to prove that an event occurred or that data was in existence and in a specific state using independently verifiable public blockchain data.

3. Governance

The Raiinmaker network will employ a behavior and identity based decentralized governance system to control all algorithms for mining, all weightings on activities and data, any and all protocol changes deemed necessary in the future, and changes to the governance system itself.

The governance system will be made up of 3 distinct voting categories, controlled by groups of independent parties on the basis of on-chain network information. The system will be phased in as capabilities are added to the network allowing various applicable metrics to be collected from user actions.

Phase 1 - Founders and Builders

In the initial phase at launch, Builders, including the visionaries, developers, investors, and team members of the Raiinmaker project will have proportional votes in the governance system based on the score derived from their Raiinmaker Token burn activity.

This category may be expanded in the future by vote to include participants adding valuable new functionality or integrations to the network.

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Phase 2 - Validators

The validators vote category comprises (1) a user’s network validation performance and (2) their economic performance. These two parts will make up 50 percent each of the total Validators category.

1. The Network Validation Performance portion is the proportion of a user’s normalized score of how efficiently and accurately a user’s validator designations (NVL blocks) are provided to the network as measured by the network mining algorithm.

2. The Economic Performance portion is the proportion of a user’s normalized economic actions as measured by the network mining algorithm.

Phase 3 - User Actions

The User Actions category comprises (1) direct on chain behavior on the network and (2) on chain proof of user identity factors.

1. The Behavior portion of this vote is the proportion of the user’s normalized score of weighted User Actions on the network as measured by the network mining algorithm. These behaviors will include all user actions by proven account/keys claimed to the Coiin Console.

2. The Identity portion of this vote is the proportion of the user’s normalized score of weighted value of identity factors proven to the network as measured by the network mining algorithm. These identity factors behaviors will include all user actions by proven account/keys claimed to the Coiin Console.

4. Network Features

The Raiinmaker Network Protocol provides a comprehensive set of network features to power Web3 applications and modernize traditional systems. An enterprise or AI business can utilize any of the following features deployed directly into their own controlled business network environment.

Raiinmaker Network Protocol Features

● Easy to use DePIN via mobile and desktop applications

● Parallel training of AI models on multiple devices

● Simple integration of existing Web 2.0 systems

● Creation of complete Application Blockchains for enterprises with web 3 tool kits

● Ease of development for traditional engineers and coders unfamiliar with blockchain languages and patterns

● Programming language agnostic RESTful API

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● Protection of business data and business logic

● Advanced user privacy and identity features

● Allows business focused control of processes

● No Blockchain or technical expertise required for Independent Node Operation and Signing

● Non-Custodial Self Staking for selected cryptocurrencies (RAIIN, BTC, ETH, NFT’s and other cryptocurrencies)

● Currency agnostic blockchain (multi-currency support)

● Interoperability including with other blockchains (public and private)

● Interoperability with all AI systems

● Interoperability with traditional digital networks

Network Actor Reputation

On the Raiinmaker Network, reputation is derived from a combination of an user’s identity and their behavior.

The user is incentivized to improve the level of identity proof to the network, and conduct positive behavior and reduce negative behavior as measured by the network mining algorithm.

I(wi) x B(wb) = Reputation

Identity

The Raiinmaker Network Protocol leverages advanced decentralized Identity features at its core to provide unmatched security and privacy features to businesses and their users. All network participants – from individual users on business systems to verification node runners

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– will have registered identities with cryptographic credentials.The Raiinmaker Network uses an advanced decentralized identity model to separate atomic factors of identity and allow the user to control exposure of individual identity factors to businesses. In this process the user provides various forms of identity proof (e.g. government issued documents, proof of on chain measurable behavior) to an independent identity provider which will validate the information and provide signed proof of attestation of every individual field from the documents (e.g. home address, first name, last name, full name, date of birth, etc.) and several derived identity factors (e.g. over 18, over 21, over 65, country of residence, etc.). These proof documents are available to the user to provide to any party independently proving that the trusted identity provider attests the validity of specific individual identity factors related to their identity. With this model, (1) the user has control over their identity, (2) businesses have verifiable proof of their users’ identities without over exposure, (3) a business has lower risk related to privacy and identity theft, and (4) privacy regulations can be honored with proof of compliance.

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AI-Powered Action Tracking

Our platform employs cutting-edge AI algorithms to interpret and analyze the recorded actions on the distributed ledger tied to each user’s unique cryptographic keypair and behavioral data footprint. By harnessing the power of machine learning and predictive analytics, Raiinmaker provides real-time insights and a comprehensive overview of user behavior, patterns, and trends. This empowers users to gain valuable insights into their actions, habits, and preferences, fostering desired behavior awareness and informed decision-making.

Enhanced Security and Privacy

Raiinmaker prioritizes security and privacy by design. Users' cryptographic keys ensure strong security in authentication and authorization, securing their identity and protecting systems from unauthorized access. With data stored on a distributed ledger, there's no single point of failure, reducing the risk of data breaches. Additionally, Raiinmaker employs encryption techniques and privacy-preserving protocols to safeguard user data, providing peace of mind and control over personal information by storing them locally on the users devices only, with advanced backup and transfer capabilities to be provided in the future.

Personalized Experiences and Recommendations

By leveraging AI-powered analysis, Raiinmaker allows applications to deliver personalized experiences and recommendations based on a user’s recorded actions. Our algorithms identify patterns and correlations within the distributed ledger, enabling tailored suggestions, content, and services that align with a user’s preferences and goals. This personalized approach enhances user satisfaction and engagement.

Behavior Modification and Rewards

Raiinmaker goes a step further by incorporating behavior modification techniques. Our AI-powered analysis identifies and rewards desired behaviors, creating positive reinforcement loops that encourage users to adopt and sustain beneficial actions. With Raiinmaker your users unlock various rewards and incentives tied to the behaviors that matter most to your business.

Predictive Insights

Raiinmaker analyzes user actions in real time to generate predictive outcomes and strategies. Our system leverages behavioral patterns and historical data to provide valuable insights. With Raiinmaker, you can make data-driven decisions and optimize business strategies, staying ahead of the curve and adapting to changing user behaviors. Raiinmaker goes beyond traditional blockchain networks by incorporating built-in cues for users to understand which actions are incentivized and which are

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considered negative within the network. These cues enable users to make real-time decisions based on desired network behaviors. By providing clear indicators and incentives, Raiinmaker empowers users to align their actions with the goals and objectives of the network, fostering positive engagement and facilitating informed decision-making.

User Device Enhancement

Raiinmaker goes beyond traditional tracking systems. Integrating a simple interface to normally very complex cryptographic signing systems, we transform user devices into highly valuable network assets. The private key stored on each device acts as a unique identifier and authentication mechanism. This added value enhances user experiences, enabling personalized services, rewards, and incentives based on network behaviors. Raiinmaker helps you cultivate positive behaviors and build stronger engagement with users.

Behavior Driven Incentivization

All users compete on the basis of their own behavior within applications on the network in a transparent evaluation process.

The Raiinmaker protocol empowers a business or AI Model to define behaviors positive and negative toward advancement of their goals. Any business has the ability to define one or more scoring functions with adjustable weighting of action data within a smart contract. This represents a unique model to incentivize voluntary user action directly in line with business goals. All users compete on the basis of their own behavior within applications on the network in a transparent evaluation process.

AI Enhanced Smart Contracts

Raiinmaker AI-Integrated Smart Contracts operate on a hybrid platform within the Enterprise Application Layer (EAL), where all data and the underlying business logic are securely shielded from external exposure. This design offers robust architectural and structural security for business operations, ensuring a distinct separation between the proof of system state and event information. The integration of AI into these smart contracts enhances their capability for advanced, data-driven decision-making and predictive analysis while maintaining the utmost security.

The security and verification mechanisms employed by Raiinmaker capitalize on the combined strength and network effect of multiple external networks, including Ethereum and Bitcoin. This approach ensures that every user interaction, transaction, and

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execution of AI-enhanced smart contracts is securely underpinned by the extensive and reliable infrastructure of these well-established blockchain networks.

Raiinmaker leverages the power of smart contracts in order to automate and digitize the management of business logic. Raiinmaker smart contracts fit readily into traditional coding models, with RESTful API integration and development in any executable software language. Raiinmaker smart contracts are individually scalable using traditional devops best practices. Raiinmaker can support EVM (Ethereum) based smart contracts, but can also support smart contracts developed in any executable software language to allow far more advanced implementations and integrations with traditional systems.

Data Compliance

Raiinmaker Network leverages its advanced fintech suite to not only ensure regulatory compliance and maintain comprehensive data records but also introduces a robust mechanism for tracking identities and actions. This system meticulously records what data was added and when to specific models, enhancing accountability and transparency. By incorporating this capability, Raiinmaker Network offers selective transparency, allowing customers, regulators, or any third-party stakeholders to verify the

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integrity and origin of data inputs. This approach not only bolsters trust in the system's operations but also empowers users with the ability to audit and understand the evolution of AI models, ensuring that compliance and data accuracy are maintained at all times.

Non Fungible Tokens (NFT)

NFTs on the Raiinmaker Network have diverse capabilities in order to adapt to unique business requirements with a wide array of functions and capabilities.

● Scalable, Create millions or billions of Non Fungible Tokens with advanced capabilities.

● Low cost, stable, and locked fees to create and transfer NFT.

● Raiinmaker leverages multiple blockchains (BTC, ETH, BSC) to secure ownership and information related to an NFT.

● Exportability - Allow export of any NFT to other networks and platforms (Ethereum, OpenSea, Rarible, Flow) with controlled cost.

● Verify Identity of Owner (KYC/AML)

● Control value transfers with powerful tracking capabilities.

● Payments and Monetary Transfers

● Collectibles - Produce consumer NFTs at scale (collectible, tradeable, merchandise) for your loyal customers with ability to track and reward based on metrics.

Scalable and Flexible

Raiinmaker Smart Contracts are deployed as independently scalable instances in a cloud friendly infrastructure. Raiinmaker Smart Contract Orchestration technology allows business process orchestration with smart contracts in a flexible and scalable way. Modeled after the same architectural pattern as the Internet itself, all input and output state is stored on-chain for full state tracking and management.

Interoperable

Raiinmaker is an interoperable blockchain network and was built to future proof the ability to to leverage any traditional software system or other blockchain platform. Our AI enhanced smart contracts can act as self-oracles, having the ability to gather necessary data from any source, including traditional systems or other blockchains.

● Containerized Smart Contracts

● Deploy smart contracts in any programming language

● Implement a secure and high-performance blockchain solution using Docker containers.

● Blockchain as a Service

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● A full-stack public/private hybrid blockchain on a cloud-based or on-premise model.

● Affordable High Performance

● Scalability

● Every application operates as its own non-homogeneous private blockchain with selective public exposure capabilities when needed.

● Interoperability

● Protect sensitive business logic and remain GDPR/HIPAA capable, while allowing interoperability with other blockchains and traditional systems.

Checkpointing and Proof of Existence

Another element in the abstraction of proof is the further ability to hybridize by checkpointing to SEI network. This can be seen as a first level or simple interoperability between blockchains, public or private. Of particular potential value, is the ability to ascertain risk by measuring a public blockchain’s attributes. That is, if tied to a public blockchain which uses PoW such as Bitcoin, the system can estimate the amount of hashpower that has been applied since the checkpoint and even extrapolate that compute power to dollars spent. With this, a risk unit may be developed that shows how much compute power would be needed (and how much that would cost) to calculate the percentage likelihood of success in an attempt to counterfeit a given artifact or transaction of high value). In the same manner, tying a checkpoint to a public blockchain based on PoS, the system could measure the amount of assets that must be held (and likely sacrificed) in order to counterfeit the transaction in question.

5. Decentralized AI Infrastructure

Proof of Personhood & AI Reputation Score

Establishes a trusted metric for validating user participation, task prioritization, and reputation-based rankings. It ensures task quality and incentivizes accurate contributions through AI reputation scores. Users with higher scores gain access to more lucrative tasks and opportunities, creating a merit-based system.

● Based on reputation tiers (e.g., standard, high, top), users will be assigned certain types of tasks.This will integrate into billing logic—enterprises pay more for high-trust datasets.

● AI Reputation Score as a trust metric used for task prioritization, validator rankings, and synthetic data accuracy.

The Decentralized Digital Identity Passport is a blockchain based identity and access solution that allows users to take control of their identity and eliminates the risk for enterprises to store PII (e.g. risk of data breaches, and GDPR compliance). Proof of

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Personhood works in conjunction with the Decentralized Digital Identity Passport and other Third party Identity Providers to confirm claims or factors about a user without sharing the actual data, it de-risks the storage of PIIs associated with users and data breaches. The following type of information is stored as factors that tie into Proof of Personhood and AI Reputation:

- UAL/NVL activity and actions, signing blocks, validating blocks, etc.

- Economic funds and assets associated such as wallets, USD balances, on-chain activity

- Social media information and activity, such as followers, usage, verifications,

- Proof of Human verification system

- Third party providers and verifications, such as KYC verifications, billing statements.

This empowers users to control their digital identity via cryptographic keypairs stored on their devices, securely verified by the Raiinmaker Network. This feature ensures privacy and security, allowing users to participate in the ecosystem without risking their personal information.

6. Business Service Layer

Raiinmaker Application and Blockchain-Integrated HITL Framework

Raiinmaker's decentralized data labeling services reduce costs and improve data quality for AI models. Users earn rewards for completing tasks like image tagging, sentiment analysis, and categorization. This service allows businesses to access high-quality labeled data without the need for expensive in-house teams.Use smart contracts for recording validations and distributing rewards via $Coiin tokens or other enterprise funded tokens.

● Users can create accounts with organization details (e.g., name, address, contact info) and verify via email. Admin features for inviting users, managing roles, and deleting invites.

● Users can pay via crypto wallets and DeFi integrations and tiered payment models for SMBs and enterprises (subscription vs. pay-as-you-go), allowing users to have flexibility in their payment processing. Support for Stripe and cryptocurrency token-based payments are also included. Reports for usage, billing, logs, and transaction history can be viewed. Credits are burned per task creation and usage.

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Task Types:

● Boolean: Tasks requiring a yes/no or true/false response.

● Scale-Based: Tasks where users provide a response within a numerical range, useful for sentiment analysis or rating systems (e.g., 1-10).

● Categorization: Classification tasks where data is sorted into predefined categories (e.g., tagging images by type).

● Tagging: Assigning relevant tags to items such as images, documents, or videos.

● Annotation: Tasks that involve marking specific elements within a dataset, such as bounding boxes on images or highlighting text.

Task Workflow:

1. Submit tasks with parameters (e.g., categories, expiry, consensus votes).

2. Automated response provided if possible.

3. Tasks requiring HITL are sent to users for validation.

4. Consensus triggers webhooks/Kafka events or is returned to customers via polling.

Chief Raiin

Chief Raiin is a multi-functional AI agent that combines traditional chatbot capabilities with blockchain and cryptocurrency features. The agent operates with a unique personality blending native wisdom and "Degen" cryptocurrency culture, offering four main functions: conversational interactions with a specialized personality, generation of NFT-claimable fortunes with associated images/videos, image and text analysis using Raiinmaker-powered LLMs, and crypto market insights powered by token price and social media oracles.

These features will be accessible through multiple channels, including a session-based sample UI, an authenticated user interface for personalized conversations, an OpenAI Completions-compatible LLM conversion endpoint (facilitating Sentient integration), and dedicated REST API endpoints for each functionality. In order to interact with Chief Raiin, users can navigate to chief.raiinmaker.ai.

Data Labeling Services

Raiinmaker's decentralized data labeling services reduce costs and improve data quality for AI models. Users earn rewards for completing tasks like image tagging, sentiment analysis, and categorization. This service allows businesses to access high-quality labeled data without the need for expensive in-house teams. Organizations with valuable

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data that isn’t being used can work with Raiinmaker to help tokenize and make use of their data.

Data Tokenization and Marketplace

Raiinmaker's Data Tokenization Layer enables datasets validated by its users to be minted as NFTs or tokenized assets, ensuring data integrity and ownership through blockchain hashing for immutability and metadata tracking, including data origin, contributions, and AI Reputation Scores. This tokenized data is made accessible through a Decentralized Data Marketplace, allowing customers and LLM users to gather and utilize information efficiently. Additionally, enterprises can license tokenized datasets, creating new revenue streams while enabling resale tracking and value accrual.

Synthetic Data Tools

Raiinmaker’s Expanded Synthetic Data Tools enable validated datasets to seed synthetic data models, allowing the platform to generate synthetic data pipelines as an additional offering. This capability opens opportunities for partnerships with SMBs and enterprise AI teams, enhancing predictive analytics and AR/VR content development. Additionally, Raiinmaker’s Questing Platform incentivizes user engagement through funded quests that reward participants for sharing, creating, and training AI. By collaborating with the marketing team, Raiinmaker can amplify posts, share partnership announcements, and drive engagement through targeted calls to action.

Decentralized Digital Identity

Provisioned by a proprietary decentralized digital identity platform, the Raiinmaker technical stack utilizes a system architected around user owned identities, allowing the aggregation of data in the form of validated proof to be accessible by campaigns and marketers in a legally compliant manner. This allows Dapps like Raiinmaker to query identity endpoints such as certifiable proof of network following, proof of past influencer campaign participation and KYC level identification to provide a rich, yet privacy- focused, definition of the individual influencer data profile.

Influence Score

For Raiinmaker, the influence score measures the return and impact of influencer actions, leveraging specific audited and verified metrics such as likes, comments, shares, views and other valued network actions. The score also aims to take into account passive and secondary engagements.

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Quality Score

The quality score process assigns influence value based on individual Raiinmaker user’s performance metrics in relation to key comparative quantified factors (such as click-through rate, copy relevance and influencer demographic relevance to the campaign etc). The score also aims to incentivize valued actions and disincentivize non-valued actions by distributing a larger weighted reward for data driven, measurable, engagements relevant to the campaign’s defined goals. Influence that falls outside of the statistical threshold of standard deviation is proportionally reduced in the weighted average of the overall Influence score.

The Raiinmaker Platform utilizes the The Raiinmaker Network Protocol to 1) track, quantify, and verify the value of network influence in a cheap and scalable manner, 2) mint NFTs and tokens with ease and accessibility, and 3) validate identities and factors of each user. Each of the specific features of the Raiinmaker Blockchain allow Raiinmaker the ability to operate and validate influencer statistics, identities, and utilize the Web 3.0 features with ease and accessibility.

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8. Raiin Token Economy

Token System Overview

The Raiinmaker Network operates on a sophisticated dual-token ecosystem designed to optimize both internal network operations and external market accessibility:

Coiin Token ($COIIN): The native internal reward token that powers mining activities, reputation scoring, and community incentives within the Coiin.ai ecosystem. Coiin serves as the backbone of network participation and behavioral measurement.

Raiin Token ($RAIIN): The exportable utility token available on external networks (SEI and ETH), enabling broader market participation, staking, and cross-network functionality.

Raiin Token ($RAIIN)

Total Supply: Algorithmic Token Supply Regulation Initial Supply: 100,000,000 Precision: (18 decimals) Networks:

● Sei Network, Base Chain and Native Raiinmaker Network with direct transfer between external chains.

● Uses SEI Network for NVL Security checkpoints and transactions

● Ethereum Network for broader DeFi integration

Standard: CW20 and ERC20 Release Schedule: Mining and conversion opportunities available every Full Moon cycle.

Coiin to Raiin Conversion System

Conversion Mechanism: Native Coiin tokens mined on Coiin.ai can be converted to Raiin tokens through the integrated converter tool. This conversion is strategically designed to maintain network equilibrium and reward thoughtful participation.

Strategic Conversion Considerations:

● Converting Coiin impacts your Economic Score and future mining capacity

● Conversion rates are based on user tier and network activity

● Converting all Coiin at once results in diminishing returns and significantly reduces Economic Score

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● Strategic balance between holding Coiin and converting to Raiin optimizes long-term rewards

Conversion Impact Factors:

● User reputation tier

● Historical mining performance

● Current Economic Score

● Network participation metrics

Continuous Reward Cycle

The dual-token system creates a self-reinforcing ecosystem:

1. Mine Coiin → Participate in network activities to earn Coiin rewards

2. Convert Strategically → Transform Coiin to Raiin based on optimal timing and tier status

3. Stake Raiin → Deposit Raiin in non-custodial wallets to earn additional Coiin rewards

4. Amplify Mining → Staked Raiin increases mining power and future Coiin emissions

5. Repeat Cycle → Continuous optimization of both token holdings

Purpose and Utility

Coiin Token Utility:

● Network mining and internal rewards

● Reputation scoring and behavior measurement

● Community incentives and gamification

● Foundation for Economic Score calculations

● Internal ecosystem governance participation

Raiin Token Utility:

● External market trading and liquidity

● Cross-network functionality (SEI/ETH)

● DeFi integration and staking rewards

● Smart contract interactions on external networks

● Professional market maker support through Acheron

● Non-custodial wallet compatibility

● Enhanced mining power through staking mechanisms

Token Supply & Distribution

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Algorithmic Mechanisms for Supply Token Equilibrium

Coiin mining defines an extensible set of activities and behaviors for which all users can compete for Coiin rewards, which can then be strategically converted to Raiin tokens.

Two factors affect the mining output each period: the change in network adoption (percent change in adoption score between the latest and prior period), and the change in economic behavior. Each factor will increase or decrease the current period's mining output to ±25% the output of the last period.

Adoption Component in Coiin Mining Factors taken into consideration for new Coiin tokens minted in each lunar cycle:

● Economics (token related metrics including Coiin holdings and Raiin staking)

● Behavior metrics (UAL related actions)

● NVL Validator metrics

● Identity Metrics (Identity verification related)

● Combined User Reputation Score

Economic Component Enhancement The Economic Score now incorporates both Coiin holdings and Raiin staking activities:

● Coiin burn rate and strategic holding patterns

● Raiin staking participation and duration

● Conversion timing and strategic decision-making

● Cross-network participation metrics

User Transactions and Security Protocols

Coiin Operations: Users accumulate Coiin through network participation and mining activities within the Coiin.ai ecosystem, with all transactions recorded on the native Raiinmaker blockchain layers.

Raiin Operations: Users can convert Coiin to Raiin through the integrated converter, then transfer Raiin to personal CW20 or ERC-20 compatible wallets on SEI and ETH networks. All Raiin transactions adhere to strict security protocols, including time-based limits and multi-signature requirements.

Behavior Based Network Rewards

To compete for a pro rata portion of newly minted Coiin tokens upon release, participants may either (1) register a 3rd Party NVL validator (proxy or independent), (2) participate directly in the Raiinmaker Network consensus by signing blocks and securing the

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blockchain as a user of applications on the network, or (3) build applications on top of the Raiinmaker Blockchain and compete for network engagement.

The Raiinmaker Mining algorithm calculates a score for each 3rd Party Validator, Application, and Application User of the Raiinmaker Network via a series of measured and weighted variables tied to the value created on the Raiinmaker Network.

Additionally, Raiinmaker introduces a self-custody staking feature that allows users to earn enhanced Coiin rewards by staking their converted Raiin tokens in personal wallets. The self-custody staking mechanism incentivizes users to support the Raiinmaker ecosystem through cross-network participation while retaining full control and ownership of their staked tokens.

Enhanced Economic Scoring

The Economic Score evaluation now encompasses both token management strategies:

Coiin Management: How participants manage their native Coiin tokens, including strategic holding patterns, conversion timing, and burn activities.

Raiin Utilization: How participants leverage converted Raiin tokens through staking, cross-network activities, and DeFi participation.

Actions such as holding optimal Coiin balances, strategic conversion timing, Raiin staking, and utilizing tokens for utility purposes across networks are considered in calculating this enhanced score. Prudent management indicating long-term network commitment positively affects the Economic Score, while hasty conversion of all Coiin holdings can negatively impact future mining capacity.

This dual-token approach encourages thoughtful token management strategies that align individual economic behaviors with the overall health and growth of the Raiinmaker ecosystem, while providing market accessibility and professional liquidity management.

Behavior Based Network Rewards

To compete for a pro rata portion of newly minted Raiin tokens upon release, participants may either (1) register a 3rd Party NVL validator (proxy or independent), (2) participate directly in the Raiinmaker Network consensus by signing blocks and securing the blockchain as a user of applications on the network, or (3) build applications on top of the Raiinmaker Blockchain and compete for network engagement.

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The Raiinmaker Mining algorithm calculates a score for each 3rd Party Validator, Application, and Application User of the Raiinmaker Network via a series of measured and weighted variables tied to the value created on the Raiinmaker Network.

Additionally, Raiinmaker introduces a self-custody staking feature that allows users to earn rewards by claiming or staking their Raiin tokens and to a lesser reward multiplier other selected cryptocurrencies and NFTs such as BTC in their personal wallets. The self-custody staking mechanism incentivizes users to support the Raiinmaker ecosystem, earn additional value, and retain full control and ownership of their staked tokens.

As detailed below, the Raiinmaker Behavior based Mining Algorithm tracks the Raiinmaker Score which measures and calculates the actions of individual users and application activity, and 3rd party validators along with their network Identity, Behavior, Validator and Economic scores.

NVL Validator Score: An essential participant who operates a node to secure the blockchain. By setting up a validator node, individuals contribute to the network's integrity through regular block signing (~30 min). Validators are crucial for maintaining the blockchain's operational efficiency and security. Their performance and commitment are quantified through a Validator Score, which is influenced by the frequency of their block signing, the amount of Raiin tokens they hold, their withdrawal behaviors, and takes into account how long they have been signing. A high Validator Score indicates a strong, consistent contribution to the network's security and, in return, rewards the validators with increased Raiin rewards.

𝑉𝑟 =(𝐼𝑃𝑃·𝐼𝑃𝑃𝑊) + (𝐼𝐴𝑃·𝐼𝐴𝑃𝑊) + (𝐼𝑇𝑀·𝐼𝑇𝑀𝑊) + (𝑃𝑀·𝑃𝑀𝑊) + (𝑃𝑃·𝑃𝑃𝑊) + (𝑃𝑃·𝑃𝑃𝑊) + (𝐵𝐴·𝑃𝑃·𝐵𝑃𝑊) + (𝐵𝐴·𝐼𝑃𝑃·𝐵𝐼𝑊)

Where:

Vr represents the user’s raw score for the NVL Validator category

IPP represents independent NVL period percentage signed blocks

IPPW represents the IPP field weight

IAP represents independent NVL all time percentage signed blocks

IAPW represents the IA field weight

ITM represents total months as independent NVL

ITMW represents the IM field weight

PP represents proxy NVL period percentage signed blocks

PPW represents the PP field weight

PM represents total months as registered proxy NVL

PMW represents the PM field weight

BA represents all time burn units

BIW represents the independent NVL validator burn weight

BPW represents the proxy NVL validator burn weight

Behavior Score: Behavior refers to the actions and engagements of Raiinmaker network participants within the Coiin Console and associated applications like Raiinmaker and FanQuest. This encompasses activities such as completing identity verification, linking wallets, participating in campaigns, minting NFTs, and contributing to AI model training. The Behavior Score tracks and rewards this active engagement,

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reflecting the quality and frequency of an individual's contributions to the Raiinmaker ecosystem. High levels of proactive participation enhance the Behavior Score, demonstrating a user's commitment and positive impact on the community.

𝐵𝑟 =(𝑈𝐴𝐿·𝑈𝐴𝐿𝑊) + (𝑁𝑅·𝑁𝑅𝑊) + (𝑇·𝑇𝑊) + (𝑆·𝑆𝑊) + (𝐶𝑇·𝐶𝑇𝑊)

Where:

Br represents the user’s raw score for the network behavior category

UAL represents count of UAL actions for the period

UALW represents the UAL field weight

NR represents count of new application registrations

NRW represents the NR field weight

T represents that user has accepted terms (0 or 1)

TW represents the T field weight

S represents count of device sessions

SW represents the S field weight

CT represents native currency transfers

CTW represents the CT field weight

Identity Score: The Identity Score within the Raiinmaker ecosystem measures the level of trust and transparency associated with a participant. It is determined through levels of KYC verifications and the addition of proof of identity to the network. Some disclosure of self-certified factors (e.g. favorite color, sports team, etc.) is possible and voluntary, but a user may provide proof to the network that they are a living person without compromising their privacy or “doxing” themselves. This score underscores the importance of quantifiable data within the Raiinmaker community, rewarding users for safely providing evidence supporting attributes of their identity. A higher Identity Score signifies a greater level of trustworthiness and commitment, leading to increased opportunities and rewards within the network. Competition for a better Identity score will lead to a more powerful network with better identity services for all applications.

𝐼𝑟 =((𝐹𝐿1·𝐹𝐿1𝑊) +(𝐹𝐿2·𝐹𝐿2𝑊) + (𝐾𝑌𝐶1·𝐾𝑌𝐶1𝑊) + (𝑀·𝑀𝑊) + (𝑀𝑃·𝑀𝑃𝑊) + (𝐹𝑇·𝐹𝑇𝑊) + (𝐹𝐶·𝐹𝐶𝑊) + (𝐹𝑆·𝐹𝑆𝑊)) ·(𝐹𝑆𝑇𝑃 + 1)

Where:

Ir represents the user’s raw score for the identity category

FL1 represents level 1 identity factor completion (at least 4 factors)

FL1W represents the level 1 identity factor field weight

FL2 represents level 2 identity factor completion (at least 8 factors)

FL2W represents the level 2 identity factor field weight

KYC1 represents level 1 KYC completion

KYC1W represents the KYC1 field weight

KYC2 represents level 2 KYC completion

KYC2W represents the KYC2 field weight

M represents the number of MyFii identity factors associated with the user’s account

MW represents the M field weight

MP represents the number of MyFii identity factors created in the period

MPW represents the MC field weight

FT represents the number of identity factor transfers in the period

FTW represents the FT field weight

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FC represents the number of identity factor cross-signature events in the period

FCW represents the FC field weight

FS represents the number of identity factor sharing events in the period

FSW represents the FS field weight

FSTP represents the user’s portion of total USD value in foreign tokens staked on the network

Economic Score: The Economic Score evaluates how participants manage their Raiin tokens, reflecting their approach to investment and contribution to the network's economy. Actions such as holding, burning, self custody staking of Raiin, BTC or select NFT’s, and utilizing tokens for utility purposes are considered in calculating this score. Prudent management of tokens, indicating a long-term perspective, positively affects the Economic Score. Conversely, frequent or large withdrawals can negatively impact the score, suggesting a short-term focus. This score encourages and rewards thoughtful and strategic token management, aligning individual economic behaviors with the overall health and growth of the Raiinmaker ecosystem.

𝐸𝑟 =(𝐶𝑃+1) ·((𝐵·𝐵𝑊) + (𝐶·𝐶𝑊) + ((𝐵+𝑆)·𝑆𝑊) + ((𝐵+𝑀𝐶)·𝑀𝐶𝑊) + (𝑀·𝑀𝑊) )

Where:

Er represents the user’s raw score for the economics category

CP represents percentage change (+/-) in coiin balance in period (not including burn transactions)

B represents the amount of coiin burned by the user for the period

BW represents the coiin burn field weight

C represents the amount of coiin change (increase or decrease) for the period (not including burn transactions)

CW represents the coiin change field weight

S represents staked coiin (native & claimed addresses)

SW represents the coiin stake field weight

MC represents RaiinMonthsHeld = Amount of Raiin staked X months held

MCW represents the coiin months held field weight

M represents MonthsHeld = How many months have they shown non-zero balance staked

MW represents the months held field weight

These definitions encapsulate the multifaceted Raiinmaker scoring system designed to incentivize participation, engagement, and trust within the Raiinmaker network, fostering a vibrant, secure, and rewarding blockchain community. 1 2

2 Average of the daily staking snapshot 1 Using monthly average pricing information (excluding top and bottom 5% of hourly price snapshots) 29 of 33

Network Mining Equilibrium

In order to ensure balance of the Raiinmaker Economic ecosystem, all user behavior on all applications on the network are compared to user behavior in the prior period to determine the amount of Raiin that will be mined in the latest period. Two factors affect the mining output each period, the relative change in network adoption (percent change in adoption score between the latest and prior period), and the relative change in economic behavior (Raiin burn metrics in the first phase).

𝐴𝑟 =(𝐸−𝐸𝑝)𝐸𝑝·𝐸𝑦()+(𝑉−𝑉𝑝)𝑉𝑝·𝑉𝑦()+(𝐵−𝐵𝑝)𝐵𝑝·𝐵𝑦()+(𝐼−𝐼𝑝)𝐼𝑝·𝐼𝑦()+(𝐸𝑛𝑡−𝐸𝑛𝑡𝑝)𝐸𝑛𝑡𝑝·𝐸𝑛𝑡𝑦()+(𝐵𝑜𝑛−𝐵𝑜𝑛𝑝)𝐵𝑜𝑛𝑝·𝐵𝑜𝑛𝑦()𝐶𝐶

𝐴 =max(min(𝐴𝑟, -0.25), 0.25)

Where:

Ar represents the raw adoption component of the mining yield formula

A represents the range limited adoption component of the mining yield formula

E represents universal economics score for the period

Ep represents universal economics score for the prior period

Ey represents the economics category yield weight

V represents universal validator score for the period

Vp represents universal validator score for the prior period

Vy represents the validator category yield weight

B represents universal behavior score for the period

Bp represents universal behavior score for the prior period

By represents the behavior category yield weight

I represents universal identity score for the period

Ip represents universal identity score for the prior period

Iy represents the identity category yield weight

Ent represents universal enterprise score for the period

Entp represents universal enterprise score for the prior period

Enty represents the enterprise category yield weight

Bon represents universal bonus score for the period

Bonp represents universal bonus score for the prior period

Bony represents the bonus category yield weight

CC represents the number of implemented (non-zero) categories on the system

𝐵 =𝑂𝑚𝑖𝑛+𝑂𝑚𝑎𝑥−𝑂𝑚𝑖𝑛𝐼𝑚𝑎𝑥−𝐼𝑚𝑖𝑛·𝑆𝑃𝐵−𝐼𝑚𝑖𝑛()

Where:

B represents the burn adjustment component of the mining yield formula

SPB represents period percentage of total supply burned

Imin represents minimum tracked burn as a percentage of total supply (0%)

Imax represents maximum tracked burn as a percentage of total supply (10%)

Omin represents minimum possible yield change of the burn component (25%)

Omax represents maximum possible yield change of the burn component (-25%)

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𝑌 =𝐴+𝐵()·𝑌𝑝

Where:

Y represents the mining yield for the period

A represents the adoption component of the mining yield formula

B represents the burn adjustment component of the mining yield formula

Yp represents the prior period mining yield output

10. Raiin Rewards Algorithm

The Raiinmaker network mining algorithm defines competition in 6 separate categories:

1. Economics Metrics

2. Validator Scores

3. Network User Behaviors

4. Identity Information

5. Enterprise Metrics

6. Bonuses

These categories are scored and normalized for all users on the Raiinmaker Network at the conclusion of each cycle on the full moon, and compared to the scores of all other users on the network (the Universal Score for each respective category) in the same period to determine a user’s mining rewards.

The normalized category score for each category is defined as:

𝐶𝑁 = 𝐶𝐶𝑈

Where:

CN represents the user’s normalized score for a category

C represents the user’s field weighted sum for a category

CU represents the universal network score for a category

The user’s Raw Mining Score Sr is a sum of the user’s normalized category scores multiplied by each respective category weight.

𝑆𝑟 = (𝐸𝑁·𝐸𝑊) + (𝑉𝑁·𝑉𝑊) + (𝐵𝑁·𝐵𝑊) + (𝐼𝑁·𝐼𝑊) + (𝐸𝑛𝑡𝑁·𝐸𝑛𝑡𝑊) + (𝐵𝑜𝑛𝑁·𝐵𝑜𝑛𝑊)

Where:

Sr represents the user’s raw mining score

EN represents the user’s normalized score for the economics category

EW represents the economics category weight 3

3 Enterprise Metrics are unimplemented in the initial phase of the network. 31 of 33

VN represents the user’s normalized score for the validator category

VW represents the validator category weight

BN represents the user’s normalized score for the network behavior category

BW represents the network behavior category weight

IN represents the user’s normalized score for the identity category

IW represents the identity category weight

EntN represents the user’s normalized score for the enterprise category

EntW represents the enterprise category weight

BonN represents the user’s normalized score for the bonus category

BonW represents the bonus category weight

From the user’s raw score, a User Mining Factor is calculated as:

𝐹 = 𝑆𝑟𝑁𝑈

Where:

F represents the user’s mining factor

Sr represents the user’s raw score

NU represents the Universal Network Score

And, finally, from the user’s Mining Factor, the Raiin period mining reward for the user is determined as:

𝑀𝑈 = 𝑆𝑈·𝑀

Where:

MU represents the user’s mining rewards

F represents the user’s mining factor

M represents the period mining total

Raiin Burn Unit Equation

Burning Raiin on the native Coiin Console will provide a one time boost to your Economic Score during the current Lunar cycle, and a permanent boost to your Validator Score (both proxy and independent). Raiin burns will also affect a user’s ability to participate in governance of the Raiinmaker Network. Raiin may be burned multiple times per cycle.

Burn Units

A burn unit is equal to one millionth the current total supply of Raiin:

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𝐵𝑈𝑅𝑁 𝑈𝑁𝐼𝑇 =𝐶𝑈𝑅𝑅𝐸𝑁𝑇 𝑇𝑂𝑇𝐴𝐿 𝑆𝑈𝑃𝑃𝐿𝑌 × 1×10−6()

The current total supply is updated in each block based on new mining and burn activity, and includes Raiin on SEI and ETH as well as native Raiin on the Raiinmakers Network.

A user may burn Raiin within the Burn tab on the Coiin Console. The interface will allow the user to burn Raiin in multiples of the calculated current BURN UNIT.

Mining components affected by burning Raiin

● Economics score - directly affected by amount of Raiin burned in the current Lunar cycle only

● NVL Validators/multiplier - all time total burn units act as a multiplier to NVL validator nodes

11. References

Jacques Bughin, Jeongmin Seong, James Manyika, Michael Chui, and Raoul Joshi September 4, 2018 | Discussion Paper

https://www.mckinsey.com/featured-insights/artificial-intelligence/notes-from-the-ai-frontier-modeling-the-impact-of-ai-on-the-world-economy#/

Forrest, W., Sharma, R., Gu M., Caplan J., Liebow M., Smaje K., Van Kuiten S., (2021) Cloud's Trillion Dollar Prize is Up for Grabs. Mckinsey Quarterly

Cloud’s trillion-dollar prize is up for grabs | McKinsey

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