We believe that it is critical to ensure that only people who believe in Civil's mission should possess Civil tokens. Speculators have the ability to effect the price of CVL (to both raise and lower), which decouples the value of the token from the actual work being done by real participants in the network. They become “free riders” - the community does the work of curating the newsrooms yet speculators get the upside.
In order to mitigate this, we are enacting restrictions that prevent an owner from transferring tokens under certain conditions.
The token restrictions are as follows:
- Everybody is allowed to receive tokens. There are only restrictions on SENDING tokens, but never on RECEIVING
- All token holders must complete the “Civil Tutorial” to do anything with their tokens. This ensures that you know how to safely hold your cryptocurrency and that you intend to use CVL for its intended purpose.
- After you complete the tutorial, you can interact with “core” Civil Smart Contracts, such as the Civil Registry, and you are allowed to send CVL to newsrooms on the Registry. However, your address is not yet “unlocked” so you cannot sell or transfer your CVL to anyone else.
- In order to “unlock” your address, you must be an active participant in the Civil economy. More details on the unlocking process are provided below.
- After your address is “unlocked” you are allowed to freely transfer or sell your CVL.