CRYPTO - docs.upstake.comdocs.upstake.com/UPDC_WP_v1.0.pdf · model will create a reliable asset that people can count on to maintain value and rise over time. ... balance sheet liability

CRYPTOJust got reliable.

WHITEPAPERCRYPTOC U R R E N C Y O F F I C I A L E X C H A N G E

www.upstake .comwww.updc . iov1 .0

Risk factors of buying UPDC tokens along with other disclaimers are included at

the end of this white paper.

2

The world’s first cryptocurrency with manipulation-proof predictable value, enabling mass adoption and superior user experience.

INNOVATIVE, SCALABLE,

PREDICTABLE:

in Five Short Pages

1. THE PROBLEMCryptocurrency issuers have been challenged by an

unstable, volatile market, and have had to rely on the

market to set prices. This model has failed, hurting

those that can't afford it the most. Typically, “Whales”

takes advantage by manipulating markets and

exchanges, and get-rich-quick investors cause further

damage through their pump-and-dump schemes.

Today’s cryptocurrencies are ill-suited for mass

adoption by people who need to trust that their

investments maintain and increase in value.

This is all about to change.

5Up Digital Currency Whitepaper

2. A SOLUTION FOREVERYONEThe Up Digital Currency (UPDC) token will

revolutionise cryptocurrency with a new economic

model. UPDC provides a token with a value that rises

every hour, using a preprogrammed proof of burn

algorithm that reduces circulating supply. This new

model will create a reliable asset that people can

count on to maintain value and rise over time. By

creating an ecosystem around the token, Up Digital

Currency ensures the token has utility and can be

used on a day-to-day basis.


3. OUR MISSIONUp Digital Currency believes that creating value for

everyone is the key to economic growth. The team

is motivated by the desire to create a sustainable

ecosystem where everyone has an equal chance to

preserve and increase their wealth and invest in the

future.


4. A TRIED AND TRUSTEDTEAMUPDC is grounded in staff with long-term expertise in

financial markets, development & blockchain

technologies. The development team has proven its

ability to deliver highly robust solutions, and the

management team has created a compelling vision of

a vast and sustainable ecosystem. These two

things will draw an ever-increasing group of

investors to the project.


5. LONG-TERMSUSTAINABILITY


UPDC recognizes that the key to a successful

cryptocurrency is the ecosystem and community.

UPDC is actively creating the ecosystem surrounding

the token and already has released multiple

applications that provide utility and day-to-day

circulation of the token. The overarching

sustainability is founded in the growing community

and suite of supporting Tier 2 and Tier 3 solutions

along with partners being actively brought into the

ecosystem.

Executive Summary .................................................................................................... 12

Background/Industry .................................................................................................

Token Availability ........................................................................................................

Market ..........................................................................................................................

Up Digital Currency Company

Mission ..........................................................................................................................

Token ............................................................................................................................

Exchange ......................................................................................................................

UpLink ...........................................................................................................................

Ecosystem Architecture ............................................................................................

Utility for UPDC: dApps, Applications, and Services ............................................

UPDC Token Features and Rules ....................................................................

Token Burn Mechanism ....................................................................................

Price Growth .......................................................................................................

What is Up Digital Currency Solving ........................................................................

Solution .......................................................................................................................

CONTENT

13

14

15

15

16

17

18

21

23

24

25

26

28

Why TRON (TRC-20) ...........................................................................................

Exchange Technology .......................................................................................

UPDC Funded Projects ......................................................................................

Short-term Projects ...........................................................................................

Long-term Projects ............................................................................................

30

31

32

32

32

33

35

This Document is Not a Prospectus .......................................................................

Independent Projects ......................................................................................

Business Model .........................................................................................................

Organization ..............................................................................................................

Token Holders ............................................................................................................

To ecosystem Partners/Tier 2 Solutions ...............................................................

To vendors Accepting Tokens//Tier 3 Solutions ..................................................

Use of Funds ...............................................................................................................

Permission in the Permissionless World ..............................................................

Team ............................................................................................................................

Benefits ......................................................................................................................

Token Economy .........................................................................................................

Privacy and Regulation ............................................................................................

Document Updates ...................................................................................................

40

39

39

38

38

38

37

37

35

36

42

43

44

44

45

UPDC Developer Hub ......................................................................................

Executive Summary

Up Digital Currency is a cryptocurrency built on an entirely new economic model.

UPDC is designed with two major advantages over other currencies. Firstly, the

value is designed to increase hourly, controlled in the early stages by the token

price algorithm and dedicated exchange. Secondly, the Up Digital Currency team

is building a supporting ecosystem of apps, dApps, and services that provide

immediate utility and potential growth for the UPDC token.


SUSTAINABLE ECOSYSTEM

Exchange

Token

dApps

Apps

Marketplace

Merchants

ATMs/services

Partners

The Up Digital Currency philosophy is based on the values of creating something

real, sustainable, and that provides value over time. The token ecosystem is:

Up Digital Currency has proven its sustainability over the past year and the first

three phases of the token’s development are in place and is the teams core focus.

Token Availability

The UPDC token is available on the UpStake exchange. The token had an initial

minting of 1 billion tokens and no additional tokens will be introduced into

circulation. As of April 2019, approximately 6.2 million tokens have been burned

according to the number of transactions, and the increase in value has been

steady and predictable on the exchange.

UPDC is a TRC-20 token, and is currently available on the exchange as described in

the section below on the Official Exchange www.upstake.com. The Main/Micro sell

orders are designed for different types of members of the community.


UPDC TRC-20 Token: www.updc.io

Official Exchange: www.upstake.com

Tier 2, dApps, services and applications (available from mid-2019)

Up Digital Currency services and applications community (through acquisition,

partnerships and release of API/SDK)

Tier 3, merchants that accept UPDC tokens, peer-to-peer (P2P) transactions

and business-to-business (B2B) transactions.

ATM's and other financial services on top of the ecosystem to provide a real

alternative to traditional currencies.


Buyers can join at any time, knowing that the token is always increasing in value.

The UPDC token implements an algorithm that allows sellers to choose their fee

level and calculates the priority based on the relationship between the fee value

and the trade value, as described in detail in the Exchange section. The micro

trading system allows people to sell smaller holdings with priority based on the

smallest trades first. The UPDC token is designed for long-term utility, and the

system is designed to eliminate the manipulation of token value on the market.

Market

Up Digital Currency is designed for everyone who wants to use a currency that has

a clear future value and is non-speculative. Initial early adopters come from all

backgrounds and are looking for alternatives to fiat currency as well as alternatives

to speculative and volatile cryptocurrencies. The design of UPDC is for mass

adoption, ease of use and multiple applications. The UPDC team is creating

partnerships, apps, and utilities that will increase value, exchange volume, and

utility of the token over time. Through these apps and partnerships, the market

will increase organically through the use of the token on multiple services.

Background/Industry

The cryptocurrency industry claims that it is creating a new form of store of value,

yet, the volatility of the market, the intangibility of the assets, and the number of

failed ICOs have shown the dangers of this type of thinking. While it is clear why

people want to get away from fiat currencies that can be devalued, confiscated,

and tracked, the current iterations of cryptocurrency have not addressed people’s

main concern: how to keep their savings safe.

Fiat currencies are under threat in many jurisdictions. The most recent threat was

negative interest rates, charged by Switzerland in 20181. In 2014, it was found that

the Federal Government of the United States seized more assets than burglary2. It’s

no secret that the move to a cashless society favours control by financial

institutions and governments, rather than the good of the people3. Because all of

this, it’s no wonder that people are looking for a safe alternative for storing their

money, but the current cryptocurrency market is not yet showing it can be relied

upon.

Up Digital Currency Company

Up Digital Currency values are designed to protect the holders of the UPDC tokens.


We will not build anything that is not sustainable.

We won’t delude anyone that it’s possible to create value out of thin air or

balance sheet liability (for example, invest 1 get 2).

Develop systems with long-term value: don’t expect overnight success.

Focus on adding real value through utility and functionality.

Maintain the outlined value per token as it increases over time.

Build trust through positive experiences and reliability.

Mission

Up Digital Currency’s mission is to create a useful ecosystem and alternative form

of store of value in a cryptocurrency that gives users security that their money is

safe and increases in value regardless of market conditions, since UPDC is immune

to market manipulation.


https://www.reuters.com/article/snb-results/update-1-swiss-national-bank-made-205-bln-sfr-from-

negative-interest-in-2018-idUSL5N20R0MZ

https://www.washingtonpost.com/news/wonk/wp/2015/11/23/cops-took-more-stuff-from-people-than-

burglars-did-last-year/?utm_term=.3460d3c888b0

https://www.theguardian.com/commentisfree/2018/jul/19/cashless-society-con-big-finance-banks-

closing-atms

1

2

3

What is Up Digital Currency Solving

UpStake is focused on addressing the following challenges:


Cryptocurrency volatility: By creating a token that only increases in value,

Up Digital Currency creates a high level of certainty that people will have a

return on their investment.

Barriers to adoption: In most of the cryptocurrency networks today, the holders

of the currency are not the people who actually use the crypto.

In other words, the use of the “utility” tokens is speculative. In the UPDC

economic system, the tokens are held by a large number of people who are

actually using the token.

Ecosystem creation: By directly addressing the creation of an ecosystem, UPDC

ensures that there will be a utility for the token, a myriad of partners on the

network, and a growing number of use cases for the token.

Building over time: Rather than magical thinking about how people will

suddenly adopt a technology, UPDC takes on a gradual approach to marketing

and spreading the word throughout the ecosystem, and through word-of-mouth

of satisfied users.

Reliable exchange: Today’s exchanges suffer from a variety of problems, but

the main ones are corruption, market manipulation and lack of liquidity. By

creating its own exchange until the token matures, UPDC ensures the price is

stable and increasing for all holders, buyers and sellers.

Solution

The UPDC token was launched successfully in early 2018 and continues to grow in

members and in value. Up Digital Currency is designed to have real value for

people. Unlike other tokens, Up Digital Currency’s underlying architecture ensures

that the token always increases in value. At this time, the value increases 40% per

month, over 10 years, the increase could be as low as 3-5% per month. UPDC is

designed to always retain its value and increase over time. There are many

factors that influence the rate of increase. Risk, liquidity, user experience, utility

and overall market sentiment.

In order to maintain the value of the token, the Up Digital Currency will be

developed over 4 stages.


Recognizing what it takes to build a true ecosystem is the reason that the Up Digital

Currency team has avoided the kinds of over promising and unfounded optimism in

the cryptocurrency industry. Rather the move towards decentralization is done in

stages, appropriate for the maturity of the industry as a whole and of the UPDC

community specifically.

The initial phase of UPDC is complete with the distribution of tokens in Q2 2019 via

an airdrop to UPS token holders at a rate of 100 UPDC to 1 UPS. The project has

moved into the phase of creating and releasing several applications, games, and

services that provide utility for the wider UPDC ecosystem. Over time, the team will

look to integrate existing crypto projects that are carefully vetted which add

value to the established UPDC community. These applications will be merged in a

variety of ways into the community such that the UPDC token can become the

default form of currency on an increasing number of dApps, applications, services,

and utilities.

The UpStake Exchange is currently in its initial form and will be developed along

with the increase in the communities. Trading of UPDC tokens on outside

exchanges will be authorized only when the value of the token is stable and proven.

Today’s exchanges are highly manipulated or lack the appropriate liquidity to

ensure UPDC holders the value is protected.

We’ll achieve this by upgrading the code of partnering exchanges for UPDC pairs

that they offer. This will ensure a similar business model is deployed ensuring the

exchange of UPDC to other currencies protects the value of UPDC and makes

manipulating the price impossible.


Once significant liquidity is achieved it will make it possible for the team to add

further features like send and receive and external wallets, which will support

our long-term goals of decentralizing the UPDC ecosystem.

Like all cryptocurrencies and all new technologies, buying UPDC tokens involves a

level of risk, primarily when it comes to the liquidity of the tokens. As the

ecosystem moves into the future, there will be times when there are not as many

buyers as sellers, and as the system grows, this issue is expected to get

resolved. Initially, centralized management of the exchange is the most

appropriate way to maintain the liquidity and the value of the token. Again, we see

many promises by the free-floating tokens around the liquidity and value of the

cryptocurrencies, but those promises have shown themselves to be false. Even in

organizations that claim to be decentralized, centralized control is obvious.


EXC

HA

NG

E

UPDC

Games

Markets

Wallet Apps Gaming

Shopping

Payroll Donations

FinancialServices

ATMs


At Up Digital Currency, we recognize decentralization as a goal that is to be

executed over time as the project matures. Currently, the models for

decentralized management and governance are still proving themselves, and

when there are proven models, it will be appropriate to make changes. Up

Digital Currency is not comfortable using unproven models of governance in

managing the investments and trust that the community has placed in the UPDC

team.

Users will be able to move their UPDC tokens to projects around the world. Project

owners will be able to create viable product solutions for end users with a

community already established and knowledgeable of the UPDC price in the

future. We envision project owners will operate clean projects and charge a fee to

transact, which has proven to be an effective business model around the world for

hundreds of years. The whole community stays balanced and aligned creating

equal opportunity for everyone who participates.

Token

UPDC tokens are designed to increase in value over time. The value increase is

performed consistently through a mechanism of burning tokens at the point of

transaction. The more transactions that take place, the faster UPDC tokens are

burned out of circulation. As the tokens gain utility through the ecosystem, the

velocity of use will result in improved liquidity.

It simply makes no sense to take an idea, create a website, raise millions of dollars

on speculation, and then release the tokens into a free-trade economy. It’s obvious

that there is no value to a token without a real product, real community and real

users. For that reason, UPDC isn’t releasing tokens in a public sale.

The UPDC token can only be purchased from the UPDC exchange from

existing holders.

The UPDC team is devoted to creating a sustainable product with long term value.

Therefore, the UPDC token value is not dictated by the volatile cryptocurrency

markets today; rather it is built into the token design and carefully calculated the

rise in the price based on how the project is progressing. At present the token

increases at 40% value per month. Over time this is expected to drop as the

project achieves more liquidity and utility.

As for long-term plans: the token will be designed as a decentralized,

censorship-resistant currency, with instant liquidity. The current plans have a 5–10

year trajectory to create a globally recognized brand.

The UPDC token is currently a TRC-20 smart contract, the team plan to build a

dedicated blockchain over the next 2 years, adding further censorship resistance.

Anyone holding UPDC tokens has a share in the economic success of the entire

ecosystem. The power of numbers can have such a huge impact on the

community. The UPDC community now has over 60,000 members with about

300 new members joining daily.



Distribution of tokens

UPDC Token Features and Rules

UPDC is a TRC-20 token on the TRON network. TRON is used as a base blockchain

so all users can prove ownership and trust that they are being governed by the

same rules as all other users.

At all times UPDC transactions can be confirmed by inspecting a transaction hash

on TRONSCAN https://tronscan.org or TRXPLORER https://www.trxplorer.io

UPDC rules are governed by the UPDC smart contract which can be viewed at:

https://tronscan.org/#/contract/TUezhPtdMYByMLtYXPS2J8UfRMqtXHEZsE

Limited supply

1 billion UPDC tokens were minted, the supply can never increase.

0 - 1,000 UPDC 4059

1,000 - 5,000 UPDC 320

5,000 - 10,000 UPDC 3444

10,000 - 50,000 UPDC 1872

50,000 -100,000 UPDC

> 100,000 UPDC

148

284

Amount of Tokens Members


*Please note that the burning percentages can be adjusted, notice will be provided to the market

in advance of any changes to these percentages. The percentage is subject to change as the

UPDC ecosystem grows.

When a token burn event occurs, the amount of UPDC tokens to be burnt are sent

to a unique and verifiable wallet address for holding. Once a month, the token burn

function will be executed, and all tokens held in the holding wallet are burned,

reducing the overall supply of UPDC.

• 1% of the tokens sold are burnt on the execution of a successfulexchange transaction (exchange version 1.0)

• 90% of the tokens that it took to create the Edge is burnt when the edgeis created/purchased with UPDC

• 10% of the daily dividend pool on all UPDC tokens that are wageredthrough moolah.bet once live

Send and receive

Except for burning, the only thing a UPDC token can do is move from one wallet

address to another, and this can always be verified by inspecting the transaction

hash.

Token burn

UPDC tokens can be removed from supply reducing the overall number of tokens in

circulation. The burn is verifiable on the execution of the token burn function.

Token Burn Mechanism

Tokens are burnt from the supply on the execution of token burn function via the

UPDC smart contract. Currently, a UPDC token burn event occurs in the following

situations.

The token price growth is controlled in advance by the UPDC team. To date, the

price has been proven to work consistently and reliably according to this table.

UPDC has shown its resilience for the last year, with an increasing token price,

increasing user base and increased daily liquidity, making it a non-speculative

token.

The value above is not a projected value, but the actual value the price will be

forced to trade at, controlled at the point of exchange.


Price Growth

The price of the UPDC tokens increases hourly. Tokens are tradable via the official

UPDC exchange https://www.upstake.com

The value of the UPDC tokens is set 12-18 months in advance with a scaled increase

in value for each month. The following table represents the 2019 token value.

0-6 Months

40%

1 Dec 2018 - 31 May 2019

per month

6-12 Months

30%

1 June 2019 - 30 Nov 2019

per month

28.5%

12-18 Months1 Dec 2019 - 31 May 2020

per month

18-24 Months

Announced1st June 2019

1 June 2020 - 30 Nov 2020

CURRENT PERIOD


Why TRON (TRC-20)

TRON is a scalable blockchain solution that has implemented innovative methods

for tackling challenges faced by legacy blockchain networks. Having reached over

2M transactions per day, with over 700K TRX accounts, and surpassing 2000 TPS,

TRON has enabled the community in creating a decentralized and democratized

network.

High throughput

TRON can support a very high amount of on-chain TPS (transactions per second),

making it possible to run entire products on-chain. It has already surpassed

Bitcoin and Ethereum in terms of day-to-day transaction volume.

High scalability and availability

TRON provides a highly versatile smart contract solution, providing applications

with multiple deployment options. The TRON solution supports an enormous

number of users, allowing applications to be developed and deployed rapidly.

TRON offers a highly reliable network structure that uses very little energy and is

extremely fast.

TRON's consensus mechanism is based on Delegated Proof of Stake (DPoS) as

opposed to Proof of Work (PoW). As well as improved TPS, DPoS overcomes a key

problem of PoW where miners became centralized and focused their computing

resources on hoarding tokens as assets, rather than for network participation

purposes. This decentralized structure provides improved security as well as

better reward distribution.


High trust

Within the TRON network, on-chain governance is provided through a mechanism

that determines each user’s voting power according to the number of tokens they

hold. People who have more tokens can influence the network more than people

who have very few tokens. Furthermore, the network provides fall back

mechanisms to eliminate bad actors, using an ongoing voting mechanism. If a user is

acting against the interests of the network, the other members can eliminate the

influence of that user.

As the community grows, it gets harder and harder to influence the network due to

increased competition. This system works because it can distinguish and neutralize

bad actors and promote new valuable members.

TRON uses Transaction as Proof of Stake (TaPoS) to ensure the transactions all

confirm the main blockchain while making it difficult to forge counterfeit chains. In

TaPoS, the networks require each transaction to include part of the hash of a recent

block header. This consensus mechanism protects the network against Denial of

Service, 51%, selfish mining and double spend attacks.


Exchange

To maintain the set value of the UPDC token, UpStake maintains an exchange with

its own proprietary algorithms and technology to ensure that trading is done

fairly, according to the set token price, and comply with the rules set out by UPDC.

The platform will offer the following trading pairs:

• UPDC/BTC (Bitcoin)

• UPDC/BCH (Bitcoin Cash)

• UPDC/DASH (Dash)

• UPDC/EOS (EOS)

• UPDC/TRX (TRON)

• UPDC/IOST (IOST)

*UPDC will be pegged to latest USD price.

More trading pairs will be added as the platform evolves and more utilities and

services are added to the ecosystem.

Tokens are always bought and sold at the set price at the time of purchase. Buyers

and sellers have an opportunity to trade at the set price for 1 hour. After this 1

hour, matched orders are executed, and settlement is in real time. At the

end of each hour, all orders that didn’t complete are automatically expired,

the exchange is reset, and unsold tokens are returned to your wallet. This

process ensures that the set price is always maintained. If you do not sell,

you are not charged any fees.

The Upstake Platform has 2 ways for selling tokens:

The Seller Power Score (SPS) Main trading method is designed as follows:

Every trade has an SPS rating number that is calculated as the ratio of token fees to

tokens for sale. So, if you are selling 1 token and offering 1 token as the selling fee

(100%), the SPS score is 100. Additional examples are as follows:


Main (Seller Power Score/SPS) method, 90% of trade volume. In the Main

Exchange algorithm, participants can sell any number of tokens. Sellers

determine what fee they are willing to pay to sell their tokens and based on the

SPS ranking (explained below), the sellers’ orders are prioritized for sale ranking

highest to lowest SPS.

Micro method, 10% of trade volume, with zero fees. The queue is prioritized

according to the smallest order first. This method favours small traders and

increases the number of people using the system on a daily or even hourly basis.

Tokens to be sold Fee offered Seller Power Score Ranking in Queue

100 10 10 1

100 5 5 3

1000 80 8 2

1000 40 4 4

(fee amount/token sell amount) x 100 = SPS

The above table is just to show the way that SPS is calculated. UpStake makes

no inference as to what fees sellers will or won’t offer for the tokens. In market

conditions where there are many buyers and high liquidity, it is possible that the

minimal fees will be applicable. Members can choose to pay a higher fee to climb

to the top of the exchange. Only one pair offer is allowed per user per hour so

that free market economics will determine the fair value of fees. Market

manipulation and dumping are impossible because the ranking is always fairly

determined by the percentage of the fee that people are willing to pay. Unlike

today’s banking systems, better terms are not offered to the “whales” because

they have more tokens. Everyone gets the exact same terms, and the exchange

fees are completely transparent and equal for everyone.

For tokens that are used for the SPS bidding process:

The UpStake Exchange is constantly evolving with a focus on 4 key areas

Up Digital Currency Whitepaper 30

Exchange Technology

Speed of settlement

The underlying exchange architecture is designed to support millions of customers

for thousands of exchange transactions per minute. The UpStake Exchange

employs a microservices architecture that automatically scales as load increases.

50% Buyer Referral Reward

40% Burned

10% Administration Fee

Speed of settlement

Fairness

Trust

Security


Fairness, Trust, Security

UpStake Exchange transactions are resolved on-chain on the TRON service,

ensuring verifiable fairness, trust and security.

Submitting buy and sell orders create events in an exchange smart contract. Once

an order is successful, a selling event is executed by the UpStake exchange,

and UPDC tokens are sent directly from the seller’s wallet to buyer’s wallet via

the UPDC smart contract.

At all times users can verify their own and others order position, SPS, order status

and UPDC balance.

UpLink

UpLink is an OAuth2.0 service that provides secure authentication for utility and

portability of UPDC tokens across the UPDC network.

When users join the UPDC network, they are issued an UpLink account with a

unique UPDC wallet address which holds their tokens and allows them to

authenticate to access their tokens across multiple websites and services.

Plans are in motion to connect UpLink via a browser extension and through mobile

apps.


Ecosystem Architecture

Utility for UPDC: dApps, Applications, and Services

To support the community, UPDC is creating several Tier 2 solutions that will

immediately create additional utility for the token.

UPDC Funded Projects

The initial Up Digital Currency projects are built through the UPDC network of

developers and are designed to add value to the system both in providing the

utility of the UPDC token and providing a variety of ways that benefits people

who hold UPDC tokens.

Exchange

Smart

Contracts

Exchange UpLink

UPDC

Smart

Contracts

UPDC

Blockchain

Tier 2 Solutions

Tier 3 Solutions


The different utilities create both the volume of held tokens needed for stability,

as well as the transaction volume appropriate for a full ecosystem.

Short-term Projects

Exchange

The official exchange operates as a trusted website where customers

can buy and sell UPDC. All Tier 2 solutions built by the team will

connect directly to the exchange to increase liquidity and consolidate

volume.

The Crypto Edge (Network Marketing Business)

The Crypto Edge is a smart contract which requires UPDC to create

new Edge contracts. Once created, users receive two Edge contracts

to sell. The Crypto Edge is designed as a crypto network marketing

business, providing customers two websites, a toolbox of marketing

material, handbooks and a range of tools to support their MLM

business.

Moolah.bet (Gambling)

A community-owned gambling website, all profits are paid out daily to

members that stake UPDC tokens. Focused on fairness and

sustainability, Moolah.bet has a huge strategic advantage over its

competitors in the space because UPDC tokens rise in value. Members

that wager are rewarded UPDC tokens based on their level of play.


Crypto Donation (Charity)

A nonprofit organization, Crypto Donation allows anyone to donate a

range of cryptocurrencies to their charity of choice. Built with a major

focus on transparency, the public would be able to inspect contracts

and track crypto on any partnered charity. All donations are instantly

converted to UPDC and tokens remain in the charity’s account until

they wish to liquidate. A simple $10 donation today can make a real

difference in a few years. Crypto Donation is a free service and does

not charge any processing fees, ensuring 100% of the donations goes

to the intended cause.

Crypto Payroll (Enterprise Business Solution)

Payroll solutions allow employees the ability to take a small

percentage of their salary in cryptocurrency. Business owners can buy

UPDC in advance, saving them money. As the employee holds their

UPDC tokens, they are assured their savings increase in value.

Shopping (E-commerce)

Just like a normal online shop, the Shopping site offers buying of

quality items. Initially, the app will provide approximately 100

products. Users can use lay-buy / lay-away plans with UPDC. Once the

value of the UPDC reaches the product’s value, the sale will be

instantly completed, and the product shipped.


Gaming (Entertainment)

Next generation of gaming entertainment would allow for a reliable

in-game economy. Underpinned by the economic system of UPDC

tokens, players will be able to yield a financial benefit from in-game

skill and time invested in playing.

Wallet (Utility)

The wallet provides a safe place to store UPDC allowing members to

send and receive UPDC. Wallet includes the ability to find businesses

that accept UPDC, Tap n GO for in-store purchases, withdraw instant

funds from ATM’s, and send gift certificates to friends and family. The

wallet will be the future of UPDC.

Long-term Projects

Independent Projects

While the UPDC team will be launching initial applications and services, the team

will simultaneously be looking for reliable teams of developers with independent

projects who want to join the UPDC ecosystem. Up Digital Currency will establish

partnerships/mergers with appropriate projects that add real value and exclusively

use the UPDC token. For a long-term sustainable platform, the UPDC token will

have utility in a wide range of popular use cases.

The following services will be part of the partner programs and independent

projects that will be brought into the ecosystem.


Fantasy sports platform

Gambling platform

ATM services

Game simulators

Marketplace

Payroll services

Multiple independent UPS exchanges

Gift registry/gift certificates

UPDC Developer Hub

The UPDC road map includes the release of the SDK/API and test network for 3rd

party app developers to connect to UPDC and create their own apps.

The Developer Hub will provide documentation, news, support and discussion for

working with UPDC. The community can also vote and stake UPDC tokens to

create bounties for development of apps, services, and features on the platform.

The UPDC Developer Hub is not foreseen to be released in the upcoming year

because it is essential for the maturity of the platform that the initial apps are

reliable, secure and run by known developers and managers. We foresee that it

will be launched once the ecosystem grows to the appropriate size and reputation

is established.

Once the platform has developed a strong community, the community can be

counted on as well. When the platform is open, anyone can join and anyone can


Transaction fees. 10% of SPS fee goes to the UpStake organization to develop,

maintain and market the platform.

Apps on the platform. The apps on the UPDC platform may have their own

revenue models that are aligned with the mission of UPDC.

UpStake Premium membership fees.

Holding UPDC tokens. As fees are paid in UPDC, the team will continue to hold

and support the growth in value of each token.

Organization

The UpStake organization is a privately held Company. The first jurisdiction where

www.upstake.com is investigating incorporation is Estonia. Over time, additional

corporate entities will be added as the project has activities in different

geographical locations. The long-term plan is for Up Digital Currency to be

100% decentralized and all of the Tier 2 projects to be run by independent public

teams around the world. It should be noted, that this level of compliance and

transparency is difficult and will take years to establish.

create a supporting app, but the reputation base of the community will protect

from rogue activity. A strong community will ensure that scammers and other

types of undesirable app developers are not able to get traction on the platform.

Business Model

The UPDC team is deriving its income from the following sources:


To Ecosystem Partners/Tier 2 Solutions

Benefits

UPDC tokens and partnerships hold multiple benefits for those joining the

ecosystem, particularly as the ecosystem grows.

To Token Holders

A large group of active users.

The UPDC token rises in value.

No need to worry about market manipulation or price volatility.

Access to development resources.

Consistent growth in value of holdings.

Multiple uses for UPDC within the ecosystem.

Beneficial Tier 2 solutions provide unique properties that are only available

because of the value of UPDC rises and not affected by price volatility.

Reliable exchange with no price manipulation.

Anti-pump & dump.

No ability to short the UPDC price.

Safe store of value.

Low transaction fees.

Wallet providing a variety of services that compete with traditional fiat currency.


To Vendors Accepting Tokens/Tier 3 Solutions

Large user base.

Increase in token value means they don’t lose their profits.

Low transaction fees.

Use of cryptocurrency without the complications usually involved.

Token Economy

UPDC is not issuing an ICO. The full minting of 1 billion UPDC tokens took place in

the first half of 2019 and is complete. At the time of minting, approximately 6

million of the tokens were already burned due to activity on the network which has

more than 60,000 participants. The team has a track record of being on schedule

for the rise-only stable coin and has operated a stable token for more than a

year with success.

The UPDC Token constantly rises in value based on the set table of the UPDC

architecture.

The rise in value is backed by the burning of tokens, with tokens being burned in

every transaction.

UPDC Tokens are available for purchase on the UpStake exchange; the cost is

completely predictable because it is fixed through the algorithm and token-burning

that is constant on the network.


In the future, the project will sell part of its UPDC holdings to fund operations and

advanced the project. No public raises, fundraises, private raises or any other form

of ICO, STO will be used to fund the UPDC project.

Use of Funds

The UPDC team has significant funds to execute this project, as of April 15th

2019 the UPDC foundation has over $3.5 Million USD in fiat, and 49,550,000

million UPDC tokens (4.95%). Foundation wallet addresses will be made public.

Allocation of funds will be applied to the following departments over the next 3

years:

40 %

Marketing

Development

Working Capital

Team & Advisors

Legal & Compliance

40 %

12 %5 %

3 %


Privacy and Regulation

The cryptocurrency and decentralized movement have increasingly been concerned

with regulation such as KYC, AML, the Howey Test, and securities regulations.

Dozens, if not hundreds, of management teams, are embroiled in legal

complications that detract from the projects they are launching.

What are these regulations, and how are they relevant to Up Digital Currency? First

of all, UPDC is dedicated to building value rather than covering every single

regulatory requirement in every jurisdiction. If you take a look at the legal costs of

ICOs, you’ll find out that millions of dollars in invested money is going to lawyers,

not to product development. Before any product is developed, the lawyers get

paid. That model is not sustainable.

Similar to any other of our areas of development, UPDC will develop the

appropriate legal requirements over time. As it creates a legal entity in any given

jurisdiction, the appropriate structures will be established according to local laws,

taking into account the history of the company.

As for KYC and AML, it’s appropriate to ask: Who do these laws protect? They don’t

seem to protect the investors. In fact, AML has been found to intercept less than

1% of the illicit transfer of money4. Why would the crypto industry be so quick to

adopt a regulation that has proven to be 99% ineffective? Mostly, it appears that

the existing financial system is burdening the crypto industry with these laws, with

the intention of protecting the interests of banks, big business, censorship, strong-

arm government control, and taxation.

4 https://www.dowjones.com/insight/anti-money-laundering-working-no-failing/MZ


We are deeply concerned about what happens when an individual has to go

through multiple KYC screenings and procedures for every ICO, exchange, and

token they hold. Who is protecting all the personal information for that individual?

At www.upstake.com, we respect the privacy and anonymity of our community

members, and we will stand for that as we incorporate into different locations and

implement the utilization of our tokens throughout the ecosystem.

Permission in the permissionless world

Up Digital Currency is focused on the benefit for the UPDC token holders and the

long-term viability of the platform. We are implementing the features, algorithms

and protections that best serve our users. It is appropriate at this time for people

using the tokens to stay anonymous. As we incorporate in each jurisdiction, we will

comply with the local laws, while protecting the privacy and security of our

ecosystem members.

Unlike ICOs that spend millions on complying with every regulation in the world,

before they deliver a product, Up Digital Currency first delivers a product. As the

product expands its utility, the appropriate regulations and permissions will be

acquired, to reduce the legal burden on the token holders. Any money for legal

costs comes out of the transaction fees. Therefore, it is Up Digital Currency’s

commitment to keep these costs at a minimum and maximize the value that is put

back into the system with development and marketing efforts.


Team

The Up Digital Currency team consists of more than 45 people worldwide. The

team prefers anonymity at this time due to the security, legal and publicity risks

that would possibly be imposed on themselves and their families due to the

unclear regulatory environment in the industry.

The team is already taking on a high level of risk, creating the currency inside a

system that is constantly changing, and by insisting on the privacy of its

community, investors, and developers. As the regulation is cleared up in each

jurisdiction, the management team of the legal entities will become public.

The UPDC team is not seeking an initial coin offering (ICO), and anyone who is

concerned with the anonymity of the team should wait until the group has full legal

entities in place before investing in the project.

This Document is Not a Prospectus

This document does not constitute nor implies a prospectus of any sort. No

wording contained herein should be construed as a solicitation for investment.

Accordingly, this whitepaper does not pertain in any way to an offering of

securities in any jurisdiction worldwide whatsoever. Rather, this whitepaper

constitutes a technical description of the functionality of the Up Digital Currency

ecosystem and the creation, development, and deployment of the UPDC token and

ecosystem.


Document Updates

Date Revision comments Version

April 28, 2019 Initial release, founders, with input from

the community.1.0

Documents

CRYPTO - docs.upstake.comdocs.upstake.com/UPDC_WP_v1.0.pdf · model will create a reliable asset that people can count on to maintain value and rise over time. ... balance sheet liability