Distribution Schedule

Detailed description of the token distribution strategy

Token Distribution and Allocation

Initial distribution is offered to equity investors and designated as the Early Contributor tranche. These tokens with DAO Treasury allocation are distributed into the DAO Treasury to provide early-stage voting power for DAO venture capital activity. These tokens are subject to annualised, minimum distributions to all DAO members, along with all other treasury assets.

Distribution tied to ecosystem activity is focused on sustainability and merit, where rewards are primarily offset by native token revenue, while high-performing players maximise rewards through competition. This creates a fast-track mechanism for those invested in the game, its various products and features, and the larger racing series partner for those who strive to progress through the virtual game into the real-world sporting league. The token supply is structured primarily as a fair distribution with an emphasis on Ecosystem Rewards, which is the largest tranche.

• EARLY CONTRIBUTORS: Tokens granted to investors in equity of the Saltwater Games corporate entity via Token Warrants. These tokens, are not distributed at the token generation event to these equity investors and are instead vested into the Saltwater Foundation Impact Treasury, providing the initial voting power for these members to participate in the DAO’s investment activity.

• PRE-SALE: Dedicated to token sale fundraising activity for pre-public investors interested in investing in an ecosystem asset backed by the growth of the project, team and product, and should appreciate with greater player acquisition due to strong token use case.

• TREASURY: Analogous to tokens normally reserved for Marketing, Operations, and Development functions where the founding team liquidates to fund these business functions. These are tokens that are similarly vested to the Saltwater Foundation Impact Treasury where they grant the founding team voting power in investment activity.

• LIQUIDITY: These tokens are reserved for providing liquidity across both Decentralised Exchanges (DEXs) and Centralized Exchanges (CEXs).

• ECOSYSTEM REWARDS: Tokens for rewards distributions to high-performing players and meta-game contributors. The value faucets are primarily structured as “compete-to-earn” and “work-to-earn,” present across multiple features such as Training Academy, Gameplay Modes and Membership functions. This allows players multiple avenues to earn these tokens by demonstrating ability, knowledge or performing activities beneficial to the community. This large tranche of tokens helps enable these players to progress through the game, participate in high-level governance and ultimately enter the real-world sports arena.

• TEAM & ADVISORS: Tokens reserved for the founding team and board of advisors.