White Paper. Blockchain Ecosystem and Developer Tools for the Video Game and Entertainment Industry. Easily Create your own Entertainment DAPPs

Transcription

1 White Paper Blockchain Ecosystem and Developer Tools for the Video Game and Entertainment Industry Easily Create your own Entertainment DAPPs

2 XMax Introduction Blockchain technology is in a start-up stage where developers and enterprises face many challenges in creating decentralized applications (DAPPs). These challenges include the difficulty of learning blockchain programming logic and the technical limitations of current blockchains. XMax is an all-in-one development ecosystem which makes it easier for entertainment industry developers to create DAPPs. We believe in the future of blockchain technology and know that by providing developers with a set of easy to use tools and the knowledge to use them we can share blockchain applications with a global user base. Here are some of the challenges we face with current blockchain systems: Low TPS and limited mining mechanisms. Smart Contracts running smart contracts can slow down blockchains. Difficult Programming Developers must often learn low-level blockchain specific code. No Developer Tools or Libraries many blockchains do not provide SDKs or libraries to help new developers build within the ecosystem. High Fees in some cases transaction fees can exceed the value of traded content. Low Compatibility many do not integrate with 3 rd party blockchains or foster an open ecosystem. Non-Scalable Asset Tokens do not allow developers to model real-world situations easily.

3 XMax is an all-in-one blockchain development ecosystem for entertainment DAPPs which includes: High TPS Mainchain (DPOS) + Functional Sidechain Structure Easy to use SDK for Digital Media, Games and DAPPs User account system with support for native languages MediaLab and Blockchain Plugin Manager XMax Studio 3D Game Engine with Integrated Tools Advanced Asset Tokens and Smart Contract Templates XMax Studio IDE with WebX.JS (supports programming in a JavaScript-based language) Cross-chain integration with 3rd Party Blockchains and Online Services Currency and Asset Tokens,Token Creation, XMax Wallet integration windows, macos and Ubuntu compatible mining nodes Performance Optimizations, support WASM,LLVM,EVM and multiple types of virtual machines and open-source systems Education Focused Developer documentation and community education are XMax priorities.

4 Table of Contents 1 BACKGROUND... 6 ENTERTAINMENT FOCUSED BLOCKCHAIN... 6 WHY NOT USE AN EXISTING SYSTEM?... 6 BRINGING BUSINESS TO THE BLOCKCHAIN... 6 WHAT IS XMAX?... 7 WHAT IS A FUNCTIONAL SIDECHAIN?... 8 XMX TOKEN... 9 PERFORMANCE OPTIMIZATIONS DESIGN CONCEPT BLOCKCHAIN MAX PRODUCT DEVELOPMENT BLOCKCHAIN DEVELOPER ECOSYSTEM DPOS+ DISTRIBUTED MULTICHAIN CONSENSUS HIGH TPS, MULTICHAIN INTEGRATION XMAX STUDIO SDK RAPID DAPP DEVELOPMENT XMAX STUDIO GAME ENGINE WEBX.JS JAVASCRIPT BASED BLOCKCHAIN PROGRAMMING OPEN ECOSYSTEM FLEXIBLE SOLUTIONS XMAX ECONOMY DIGITAL ITEM PRESALES (CURRENCY [XMX RICE] AND ASSET [XMX LOBSTER]) USING ASSET PRESALES TO FUND DAPP DEVELOPMENT TECHNICAL DETAILS OF THE XMAX ECOSYSTEM SYSTEM ARCHITECTURE INDEPENDENT ARCHITECTURE FOR VIRTUAL MACHINES CROSS-CHAIN INTERACTION CONTRACT COMPRESSION XMAX XPOT CONSENSUS MECHANISM AND MINING ID XMX WALLET CLIENT-SIDE LIBRARY/FRAMEWORK SERVER-SIDE/LOW LEVEL ARCHITECTURE XMAX NATIVE APPLICATIONS XMAX DAPP EXAMPLES BLOCKCHAIN GAMES DAPP CUSTOMIZED MINING MECHANISMS NON-FUNGIBLE TOKEN IP ASSET MAPPING PRE-SALE OR CROWDFUNDING OF NON-FUNGIBLE TOKEN ASSETS... 33

5 5 XMX TOKEN STRUCTURE COMMUNITY AND ECOSYSTEM INCENTIVES XMX USAGE XMAX TEAM LOCKOUT POSITION XMAX TOKEN SWAP PLAN UTILIZATION OF XMX EARNINGS DEVELOPMENT ROADMAP TEAM INTRODUCTION ADVISERS & INVESTORS INVESTMENT INSTITUTIONS RISK DISCLOSURE DISCLAIMER... 47

6 1 Background Entertainment Focused Blockchain Existing blockchains (like the Bitcoin and the Ethereum networks) have low transaction and data size limits as they were designed to transfer value and run simple smart contracts. In contrast, XMax focuses on meeting the demands of the entertainment and gaming industries. We have building base-layer technology to support the future of blockchain APP development and distribution, which includes free developer tools and templates. The XMax ecosystem simplifies the creation of decentralized applications and includes a blockchain which can scale for high-volume use cases like social messaging and video games. We accomplish this by using sidechains and a highly optimized mainchain alongside various virtual machines to run blockchain code created through the XMax SDK. Why not Use an Existing System? We believe in taking a simple approach and using stable open-source solutions whenever possible. However, we noticed that most base blockchain platforms did not focus on the demands of entertainment companies nor did they provide developers with an SDK, APIs or other tools to quickly build blockchain DAPPs. Our focus is to provide entertainment and game developers a complete toolset to create blockchain applications easily. We also believe that education and community building is crucial to this mission. Bringing Business to the Blockchain Businesses need safe and reliable smart contracts to run within their DAPPs. Currently, it is difficult to program in popular smart contract languages. We bridge this knowledge gap by offering a JavaScript-based smart contract language (WebX.js) and a variety of smart contract templates. XMax provides these templates and our entire development toolset for FREE to all developers. Here are some of the ways XMax helps developers build blockchain APPs:

7 Efficient Mainchain By integrating functional sidechains with a high TPS ( ) mainchain we can quickly process blockchain data and easily scale the performance of the entire system. Functional Sidechains Each sidechain supports the smart contract logic for a specific feature, DAPP or Industry. By moving complex operations to sidechains we can preserve the performance of the mainchain. What is XMax? XMax is an all-in-one blockchain ecosystem for the entertainment industry and a set of developer tools which makes it easier to build and distribute decentralized applications. XMax Includes: Mainchain with Functional Sidechains Scalable & Non-Fungible Asset Tokens 3D Game Engine JavaScript-based Programming (Easy to Learn) User Account System (supports native languages) Support for 3 rd Party Tokens Low-level support for multimedia libraries APIs DAPP Store Educational Content and Developer Community By using the XMax ecosystem, developers can quickly create their DAPPs and release them on one of our DAPP Stores. Decentralized APPs can be downloaded and executed by distributed nodes on the platform and served to APP users, with the whole process secured and guaranteed by the XMax ecosystem. The XMax system itself is an open and decentralized network run by the community.

8 What is a Functional Sidechain? A block in the blockchain is a group of transactions which is connected to another block via cryptography to ensure the information is authentic and prevent it from being altered. For ordinary users, it s like a user account with online banking capabilities, while developers can use it as a distributed database. Blockchain database features include decentralization, transparency, self-governance and tamper resistance. Blockchains are closely related to decentralized applications, so they are an ideal structure for storing decentralized data. XMax functional sidechains are blockchains built for specific purposes. They use "SPV wedging" technology to communicate with the main blockchain, which allows developers to integrate user data from 3 rd party blockchains. DAPP developers can also develop sidechains and integrate with the XMax network. One reason, besides performance, to use sidechains is to isolate different aspects of the blockchain preventing issues in one area from crossing over to the mainchain.

9 XMX Token XMX is the native token on the XMax platform and interacts with sidechains or DAPPs via dual wedging to facilitate asset exchanges on the platform. Once the XMax ecosystem opens, the core team will gradually cede control to the participants in the ecosystem. In the future XMax developments will depend entirely on node operators and XMX token holders. XMax currently supports two token models: XMX Rice - Fungible Tokens (Used to Operate XMax Ecosystem) XMax platform users can release fungible tokens (similar to ERC20) and exchange them in payment for services or other tokens on or off the platform. XMX Lobster - Non-Fungible Tokens (Assets & Groups of Assets) XMax users can release asset tokens (similar to ERC721). Each token is unique and non-divisible, these tokens represent item ownership on the blockchain. XMax asset tokens further subdivide into class tokens and item tokens. Example: You create a class

10 token to represent a set of armor in your game, and each different piece of armor is an item token within the class. The value of your class tokens can be updated based on the value of your item tokens. Performance Optimizations In the IT industry, one of the most popular solutions to limited resources is to move to a distributed structure or cloud service where the network resources scale with the user base. Blockchains excel at distributed computing but should also be supportive of distributed concurrent processing, i.e., processing many transactions at the same time. Additionally, when a functional sidechain becomes too complex for efficient processing XMax will automatically split it into parallel chains to disperse the traffic. XMax is designed to consolidate specific functions on separate sidechains, rather than consolidating all smart contracts on a single public chain. To optimize development cycles, XMax also provides customized data structures and smart contract templates for DAPP developers. As such it will be easier to manage modules and data built on the ecosystem. 2 Design Concept Blockchain Max Product Development XMax designs every product with a Blockchain Max attitude: i.e., How can we create a product that lets developers create entertainment DAPPs with maximum efficiency. XMax offers developers a versatile SDK kit with modules and APIs which substantially shorten time to market for blockchain products. The XMax platform is an open ecosystem and provides developers with the support needed to craft their ideas successful APPs. We believe offering a free and open-source SDK, as well as a DAPP Store, are vital to the success of XMax and its community. Blockchain Developer Ecosystem XMax was designed to solve the challenge of building a blockchain for a future where millions of users coexist on a decentralized global network. What makes XMax different from other blockchains is that we have created a vertically integrated developer ecosystem by providing DAPP development kits, APIs, templates and even a DAPP Store for hosting developer content.

11 XMax features a module based developer studio and a DAPP store. Miners" on the XMax platform not only provide computing and storage resources but also help construct the platform by providing reusable components, low-level cloud services, etc. People contributing resources or services will be rewarded with XMX tokens, thereby forming an active, self-sustaining community and ensuring the independence of the platform. XMax is more than just a public blockchain. It is more like an operating system, which connects to existing blockchain data sources to process data both on-chain and off-chain. DPOS+ Distributed Multichain Consensus The consensus mechanism adopted by the XMax blockchain is based on a certified DPOS+BFT model and includes a node selection system. By virtue of a variant algorithm of BFT, when t < n / 3, the message complexity of O(n^2) and the time complexity of O(1) are applied to reach a consensus among loyal nodes, without forks, where t represents the number of Byzantine nodes (i.e., nodes that cause high latency, downtime, malicious attacks, etc.) and n represents the number of all nodes. Core Node Selection Mechanism At the core of the XMax ecosystem is core node selection mechanism. The core nodes are the set of nodes responsible for block production. Other accounts are called candidates; when a candidate submits a sufficient stake to the system they have a chance to enter the core node group. There are 21 nodes involved block production each selection cycle and core node ranking changes will be reflected in the next cycle. The interval between the production of two blocks is.5s; newly established blocks will be broadcast to the network and added to the blockchain. When a new block gets added to a blockchain, the confirmation time of all previous transactions on the blockchain will be T+1, and after 15 confirmations, the transaction is considered to be safe. Accounting System

12 We use a three-round sequence to illustrate our accounting algorithm policy. In each round, n bookkeeping nodes produce N+1 blocks. The signature and sequence each node produces for a block are completely random. In Round II, block generation is also random. However, from Round II, the signature is,,wherein. Herein, node[i](t) represents the i th transaction of Round t in this node. From Round III, the sequence of each round is generated from the sequencing and signature of the previous round. In Round t+1, we will traverse the signatures of Round t according to sequence. The sequence of Round t+1 is obtained through. If the result points at a non-vacant position, we will point the node at the next vacant position. In cases where the node conflicts with n th position, we will search for usable addresses from the beginning. The node used to perform the next transaction is decided by computing the signature of the first node from the previous round, shown as below.

13 is determined according to: (1) All signatures of the previous Round (t-1); (2) Its integer value at Round (t-1); (3) Which node generates extra blocks; Therefore, it cannot be obtained before Round (t-1) ends. As it requires all signatures from the previous round and separate integer values individually submitted by each node, it is therefore impossible to control the sequence of nodes. Generally speaking, we ve created a random system that relies on external input to function. Based on the assumption that none of the nodes in each round knows the input of all other nodes, no one can control the sorting order. If a node cannot produce a block at Round t, it cannot input the integer value for the current round. In this case, the integer value of the previous round is used. Since all mining nodes are reliable nodes upon selection, block production failures will be infrequent occurrences. Even if it happens, the policy mentioned above will be sufficient to cope with the situation. For each node, only a specific Ts [T second(s)] is used to handle transactions. Under the current network environment, T=1 is a reasonable value, and it means each node

14 only has.5s to process a transaction and submit the results to the network. Any core node with no results submitted within.5s will be considered to have given up the block. If one node fails to produce a block for two consecutive rounds, there will be a period of W hour(s) generated by (W=2N, N = the number of failures) wherein the node will not participate in block production. On the XMax blockchain, only one node will generate a block at a time. So it is extremely unlikely that forks will occur while bookkeeping nodes maintain a stable connection. If there are many isolated networks produced by network connectivity issues, the system will choose the longest chain as it most likely came from the group with the most nodes. If a malicious node mines two different chains in an attempt to attack the network, the node will be kicked from the selection system. Distributed Multichain Consensus XMax developers can create functional sidechains dedicated to providing network resources to specific DAPP functions. Online gaming, social messaging and other resource intensive operations which could potentially slow down the main blockchain will operate on sidechains. The XMax mainchain uses a DPOS consensus mechanism for basic digital assets like tokens; while nodes providing services to sidechains can choose their consensus mechanisms including a Proof of Stake and Time model (XPoT), in addition to Proof of Work (PoW) or the standard Proof of Stake(PoS) models. PoW requires very powerful computers to solve a complex math problem, however aside from the security benefits of this consensus mechanism they do not provide other services to the ecosystem. XMax uses mining nodes to provide services to the blockchain. Therefore, it s reasonable to pay sidechain miners for providing network infrastructure. Once a DAPP creator (service buyer) and a sidechain service node (service provider) agree on a price, the network will negotiate services by a built-in decentralized transaction and consensus mechanism. High TPS, Multichain Integration Inefficient blockchains cannot handle the number of transactions necessary to operate popular entertainment DAPPs. However, it remains difficult to program the interactions between sidechains and mainchains required for such performance increases. XMax simplifies this process by separating blockchain data from computational logic for developers. XMax references Intel microprocessor architecture to separate different data types to handle the calculations that frequently occur in RAW, WAW and WAR processing sectors.

15 XMAX Studio SDK Rapid DAPP Development The XMax platform provides: XMax Blockchain + functional sidechain service (BaaS) XMax Studio SDK DAPP Store Developers now have the tools to quickly build applications for multiplayer games, video streaming sports, social media and sharing economies by using XMax Studio s development tools. XMax Studio also includes smart contract templates for many common applications with the team adding more as the ecosystem grows. While there are many different features within the SDK, each has been optimized to run on the XMax mainchain. XMax Studio includes a 3D game engine and functional sidechain creation tools. Game developers will find this useful when binding in-game items to asset tokens in blockchain games. XMax Studio Game Engine XMax Studio incorporates a blockchain game engine which supports 2D, 3D and

16 HTML5 resources. Within XMax Studio there are multiple game templates, which integrate XMax smart contract logic automatically, letting developers dedicate themselves to creating engaging storylines and gameplay. WebX.JS JavaScript Based Blockchain Programming WebX.JS (similar to JavaScript) is a blockchain programming language created by the XMax team to simplify decentralized APP development. Developers will not need to be skilled in blockchain programming, nor learn complex smart contract languages like Solidity. With XMax they can use a JavaScript-based language to create blockchain-based DAPPs. Having an easier to use programming language expands the potential developer base and we hope will speed the adoption of blockchain technology among developers and eventually among DAPP users. Open Ecosystem Flexible Solutions XMax connects to other public blockchains (like the Ethereum Network) by providing a set of open-chain access protocols and integrating other blockchains as XMax sidechains. With open-chain access protocols, developers can easily access data shared on other blockchains thereby improving the developers' and the users' experience. XMax focuses on designing a developer-friendly and resource efficient

17 entertainment blockchain ecosystem. We believe XMax represents technological progress in the industry and are working to build an international developer community to support the ecosystem. XMax Economy An economic model must support the independence and growth of the XMax platform. By choosing a DPoS consensus mechanism, any node can sell their XMX tokens within a short timeframe and log out of the system without losing their investment. In contrast, PoW miners face more complicated considerations before logging out such as whether they have recovered their electricity, rent or other mining associated costs. XMax s mainchain uses a DPoS consensus mechanism to support large nodes in sustaining a stable platform while the sidechains are free to choose their consensus mechanisms to complement the functions they wish to perform, i.e., providing computation for DAPPs. In the XMax ecosystem by using different consensus protocols on each sidechain, you can complete different objectives in your DAPPs. Block producer Block producers receive XMX tokens for providing bandwidth, computing capacity, and storage (similar to mining). Rewards for block producers are from a yearly token release (5% Max). XMX Token holder The proportion of the total token supply which an XMax account holds determines the percentage of the system s resources they can use. If you hold XMX Tokens but do not use the XMax computing resources, you can lend your tokens to other parties for a profit. Entertainment developers can create DAPPs on XMax and allow users to transfer basic information without fees (mainchain data). When a user or developer stores status data on the XMax blockchain, a certain amount of XMX Tokens is reserved as a guarantee. If a user behaves in a way that harms the ecosystem the guarantee will be withheld and distributed to the XMax community. DAPP Community Incentives XMax incentives will be distributed based on the contributions of each DAPP to the community and these DAPPs will obtain a certain amount of XMX Tokens each year to support their development.

18 Other Incentives XMax will place the majority of the yearly XMX Token release with the community to encourage self-governance and form a stronger blockchain ecosystem. XMax will distribute XMX tokens throughout the XMax DAPP Store, user community and the XMax platforms accessed by third-party public chains. The tokens will help to provide the services needed to connect users within and beyond the XMax ecosystem. Digital Item Presales (Currency [XMX Rice] and Asset [XMX Lobster]) XMax lets users create Currency and Asset tokens with the following guidelines: Currency and Asset tokens are compatible. Tokens are generated on the mainchain and utilized on sidechains, completely decentralized and integrated by a system smart contract. Tokens must be backed by XMX, the guarantee can be 0 and will be broadcast throughout the network, malicious nodes must pay additional fees. The released token can be burned; if all tokens are burned, the XMX guarantee returns to the initiator, who must recover all released tokens at once. In a case where over 2/3 of the released token holders determine that the initiator has taken malicious actions, the tokens will be destroyed, and the XMX

19 guarantee will be returned to token holders according to each holder's proportion. Asset tokens can circulate and be traced throughout the network. APIs on XMax can directly support third-party DAPPs and map non-fungible tokens. Using Asset Presales to fund DAPP Development XMax tokenizes assets and represents ownership on the blockchain through the use of scalable and non-fungible tokens. These unique tokens can verify the owner of a digital item and represent the scarcity of real-world objects (for example a particular seat at a concert venue). Non-fungible tokens are unique throughout the XMax ecosystem and therefore well suited for linking intellectual property to the blockchain. Tokenization allows developers to fund their projects via preselling items as an alternative to the traditional investment model. Another unique feature is the XMax Wallet account system, which includes native support for Asset tokens, which allows developers to expand their business models to include new types of entertainment service DAPPs.

20 3 Technical Details of the XMax Ecosystem XMax aims to establish a scalable, high-performance, safe and easy-to-use blockchain ecosystem for entertainment industry developers. Beyond the blockchain infrastructure, the core component of the system is a set of simple to use developer tools. This SDK has been designed to support a JavaScript-like language, and our team has created virtual machines and libraries which allow high-level code to run faster and integrate with the XMax mainchain. System Architecture

21 The XMax platform introduces a series of new features, which we call blockchain MAX technologies and will apply them to the ecosystem to simplify the DAPP development cycle. We offer APIs supporting the use of multimedia in DAPPs. The XMax team will create the infrastructure needed for the DAPP Store, Wallet, SDK development package and other dev tools. Developers are welcome to contribute to the ecosystem and participate in creating the first set of DAPPs. XMax Nodes XMax uses both bookkeeping and service nodes. Bookkeeping nodes are responsible for the storage of low-level XMax blockchain data and the operation of the DPOS consensus mechanism. Service nodes provide computational power and storage for functional side chains and will support the various SDK development packages and the DAPP ecosystem. Integrated Token Processing Token service nodes facilitate the flow of XMX tokens between accounts and multiple consensus mechanisms, as well as coordinating basic operations between multiple nodes. SDK Functional Service Chain SDK service nodes support specific SDK functions and provide low-level integration for the ecosystem APIs. Sidechains can choose to use PoW to provide computing power as a service. After rendering services, the miner will be paid a fee in addition to the fee from the PoW consensus mechanism. Services nodes are used to add value to the ecosystem during the mining process. XMax open API XMax provides open APIs to third-party users or DAPP developers, which can be used to customize applications while enjoying the functionality of the XMax SDK. Examples include an open API for storage and one for cryptographic services. Storage API This API can use existing cloud node storage or P2P technology, or perhaps even

22 third-party IPFS protocols. The protocol allows each user to define a directory structure and supports document links to a user-defined storage network, which is then stored by an XMax smart contract. Users can upload documents by programming APIs. Once XMax verifies that a document matches the size and name assigned by the user, the document will be broadcast via the blockchain to indicate its acceptance. Cryptographic Service API XMax.io allows developers to customize a cryptographic function library to encrypt video, audio, text and other digital media in a chosen format. When users open the file, a corresponding player will be required to open the file offering a measure of IP protection. Distributed Transaction Processing Service nodes will process transactions across multiple chains with multiple consensus mechanisms, validating the concurrent success or failure of smart contract behaviors. XMax Blockchain Web Browser The XMax Blockchain Web Browser is one of the first XMax plug-ins developed by the XMax core team and allows users to access DAPPS via a standard web browser. It provides a built-in WEB compiler, supporting HTML5 and the independently developed WebX.JS, as well as plenty of smart contract templates. These templates will save developers time and make blockchain development easier. Sidechain Technology Layer The core team created sidechains to integrate third-party data with the XMax mainchain; the sidechain technology layer not only provides link access protocols but also allows applications to run on different blockchains. It is not necessary to change the business logic or adopt different blockchain technologies to support these features. Open link access protocols can be established by the community to add support for additional blockchains and improve the ecosystem. Independent Architecture for Virtual Machines Virtual machines are an important component of efficiently running smart contracts on a blockchain. The XMax development ecosystem supports virtual machines and will add more as technology develops. To date, the XMax SDK has access to three types of virtual machines.

23 Web Component (WASM) WebAssembly is a new web standard for constructing high-performance web applications and can be clearly defined with a few adaptations and sandboxed. The advantages of WASM are found in its wide industry support; making it is possible to develop smart contracts using familiar languages such as C or C++. Ethereum developers have already started to adapt WASM to provide appropriate sandboxes for defining WASM on the Ethereum network. XMax currently supports this virtual machine. EVM EVM is currently the most popular virtual machine for smart contracts. EVM contracts can operate inside an XMax sandbox and can interact with other XMax applications via modifications.

24 LLVM LLVM (Low Level Virtual Machine), is a basic compiler constructor that creates optimizations for the compiling period, linking period, operation period and the "idle period" using virtual technology. XMax code relies on LLVM to interacting with highly efficient low-level blockchain-based logic. Cross-chain Interaction XMax supports cross-chain interactions between blockchains, performed via sidechain indexing and a message sequence system. Luckily, developers are not required to understand the details of cross-chain interaction and verification to use these features. Sidechain Indexing System XMax links the Merkle trees of all functional sidechains to the mainchain, which comprises all of a functional sidechains Merkle tree root nodes, and records the locations of each sidechain. XMax verifies information using these Merkle trees to interact with the mainchain quickly. Therefore, XMax sidechains do not interact with one another directly; instead, they interact via the main chain. For instance, we just need to rely on the Merkle Tree Root of the main chain to prove the existence of a Merkle Tree Root of the 1,000 th block of a functional sidechain and to prove the existence of TX1 based on the Merkle Tree Root (of the 1,000 th block of a functional sidechain) and an additional message. This method also applies to other

25 third-party public chains, such as Bitcoin and Ethereum, as long as blocks are organized based on Merkle Trees. Message Sequence Proof XMax allows each account to send structured messages to other accounts and to define scripts for message processing when messages are received. Message processing scripts can also send messages to other accounts. A portfolio of messages and automatic message processing applications is one of the core functions facilitating cross-chain interactions in the XMax ecosystem. With the message mechanism, we can handle cross-chain communication delays, or synchronous callbacks and other technical problems, to better satisfy the complex demands of entertainment industry DAPPs. Contract Compression XMax will compress smart contracts into WebAssembly and other low-level

26 languages. By smart contract compression, the XMax blockchain can efficiently store and transfer a higher number of transactions while bookkeeping nodes can store more transactions. XMax XPoT Consensus Mechanism and Mining ID As there is no GAS fee on the XMax mainchain participating nodes depend on a yearly release of XMX tokens for payment. Traditional Bitcoin PoW mining does not apply to the XMax mainchain. In order to encourage various types of sidechain service nodes to participate in the XMax ecosystem and provide DAPPs with computing capacity we offer the following consensus mechanisms: Bookkeeping nodes on the XMax mainchain do not participate in service mining. DPOS consensus is applied to select bookkeeping nodes via selection. The XMax ecosystem rewards bookkeeping nodes according to the number of blocks they produce each year. XMax functional sidechains cannot participate in accounting and only provide services to the ecosystem. Specific consensus methods vary with the services provided. The ecosystem rewards these functional sidechain service nodes according to a fixed amount each year. XMax assigns mining nodes a unique ID token which is valid for 1 year of mining. Each mining token ID is unique. Each service mining node must have one and only one ID before legal mining. XMax rewards these mining nodes as long as they hold an active token and maintain their connection to the network (XMax Proof of Time). XMax distributes rewards on a yearly basis. The non-fungible asset token IDs are destroyed automatically once a year. Service mining node IDs must be obtained via the XMax lottery system, or purchased from others before continuing to mine. XMax functional sidechain service nodes, unlike bookkeeping nodes, are not limited to a certain number to guarantee that the nodes providing services earn sufficient profits, XMax reviews each node's mining qualifications by using their mining ID. Mining IDs are valid for one year before being replaced via lottery, so the yearly profit is: P=S/N Wherein, P refers to the yearly service node profit; S references the sum of yearly rewards and N refers to the number of mining ID tokens active on the current sidechain.

27 XMX Wallet XMax provides the XMX Wallet with native support for managing asset tokens. The XMX wallet supports ecosystem expansion and includes the user account system interface. For users, this wallet will be their portal to the XMax as it will become the gateway for users to enter the DAPP Store. It allows users to experience decentralized applications and payments. Client-side Library/Framework XMax client-side libraries provide developers with a series of packaged frequently-used functions, such as the XMX Wallet, XMax account login system, a DAPP Store, incentive mechanisms and other functions. It is easy for developers to access the XMax ecosystem via integrated libraries, without extensive development. Access to client-side libraries is important for DAPP development. Normally, it takes plenty of time for developers to create client-side and user experiences; as well as a lot of coding for this layer. In contrast, on XMax developers are allowed to develop client-side applications as if they were constructing traditional non-blockchain applications. Our modular design allows developers to use the framework and tools as they like, facilitating the entire process via a developer community and documentation.

28 Server-Side/ Low-Level Architecture XMax provides multimedia libraries and templates for DAPP applications. These libraries support mainstream platforms like ios, Android, Windows, and MAC. These media libraries exist within the SDK and are supported by service nodes.

29 XMax Native Applications Currently, XMax is a blockchain ecosystem and a free set of developer tools to quickly create DAPPs designed for the entertainment and gaming industries. The R&D team will continue creating "blockchain + multimedia" low-level APIs for the XMax ecosystem; they will also integrate new features into existing system DAPPs such as the XMax Wallet to improve the user experience and increase functionality. Multimedia Files on XMax XMax performs blockchain file DNA cryptography and cryptographically time stamps media files, hard-coding the copyright and payment information set by the creator on files submitted to the bookkeeping nodes and reaches a whole-network consensus via a DPOS algorithm for an overall transparent and tamper-resistant system. Therefore each time you create a file on XMax, we can ensure that it is unique and exclusive via network consensus. Each copy of the traditional digital file becomes the same as a real-world version, naturally scarce and exclusive, which reshapes the value of traditional digital files and brings humanity one step closer to a decentralized internet of value. Other users, if they would like to play the file, must pay a fee set by the copyright owner(even if it is 0). What's more, the file cannot be separately operated outside the

30 XMax ecosystem, which removes the traditional pirating system and reshapes the value system of copyrighted content. An application outside the system, if it would like to reference the music file, can easily do so via a third-party multimedia API provided by XMax. However, this call still requires the payment of the fee set by the content owner. Blockchain Music An original music player developed using the XMax SDK. It can play music files within the XMax ecosystem and automatically calls the XMax payment system. Users can earn XMX profits by sharing their copyrighted music with others via their XMX Wallets. Blockchain Videos An original video player developed using the XMax SDK. It can play video files within the XMax ecosystem and automatically calls the XMax payment system. The user can earn XMX profits by sharing their copyrighted videos with others via their XMX Wallets.

31 Blockchain Reader An original e-text reader developed using the XMax SDK. It can view e-books within the XMax system and automatically call the XMax payment system. Users can earn XMX profits by sharing their copyrighted e-texts with others via their XMax Wallets. Blockchain Messaging An instant messaging tool developed with the XMax SDK; a useful component in social networking DAPPs. Blockchain Camera Blockchain-based camera tool developed on the XMax SDK. When a user uses the camera to take pictures or shoot videos, the file will be copyrighted and hard-coded with payment information, and automatically added as a media file on the blockchain. Blockchain Explorer An XMax blockchain explorer which can be used to view basic information for current XMax transactions and services.

32 Blockchain Settings The XMax Blockchain settings allow users to control the files they upload to the ecosystem. 4 XMax DAPP Examples Blockchain Games Although digital currencies can be circulated and used, most currencies have no usage mechanism beyond being paid to miners in the form of transaction fees. In recent years, although popular blockchain projects have released mainchains, many do not feature good use cases for their currencies. Therefore the tokens for these projects have little value aside from their position as a store of value. To help developers fund the creation of blockchain games, XMax allows them to use XMX Wallet integration in conjunction with non-fungible asset tokens to presale game items. Presales create demand not only for the content created by the game company but also for the developer's tokens and by extension the XMX currency which powers the ecosystem. Here are some examples of how XMax is combining blockchain technology with online gaming: XMax fungible tokens (XMX RICE) can be used as "gold coins" for in-game payments. These tokens can also be used to purchase in-game items which are represented by non-fungible tokens (known as XMX Lobster) on the blockchain. Direct in-game transactions between currency and game items without fees are available via the XMX Wallet. Advanced game logic such as loading all of the treasure boxes available on a particular level and running complete games on the blockchain puts great pressure on block computing and requiring high technical performance. We currently support item transfers between games as well as running certain game logic on-chain. Eventually, we will support running full complex worlds on the blockchain as the ecosystem and technology advance. XMax currently has a game engine with a functional sidechain infrastructure to support smart contracts, and the team continues to research this topic. DAPP Customized Mining Mechanisms Traditional servers have bottle-necks, and even though there are servers that can handle as many as 10,000 online users, resource intensive operations can scale more effectively with a distributed structure like that used which is used by blockchain

33 network nodes. Each node computer has their respective computing capacity and can contribute services to the DAPP ecosystem at any time. XMax makes every effort to use an equitable service node sharing model in combination a blockchain mining model, it considers computer nodes on the network as distributed servers and by placing DAPPs on functional sidechains can operate across several different chains. DAPP creators can use XMax features to develop entertainment APPs based on their business logic, setting their consensus mechanism for each sidechain. In addition, self-owned nodes on a sidechain do not conflict with the greater XMax ecosystem. XMax is not for profit and relies on a small yearly currency allotment (no greater than 5% of total supply) to pay its mainchain nodes. DAPP developers can also choose mining mechanisms that utilize a user s idle computing power to provide services to the network while allowing the user to earn XMX Rice tokens. We believe that a strong, self-sustaining ecosystem will form a beneficial relationship between end-users and DAPP developers. Non-Fungible Token IP Asset Mapping XMax supports independently creating currency tokens and non-fungible asset tokens, where each non-fungible token is unique and able to represent a real-world object. Props, stars, celebrities, etc. can submit their entertainment tokens on the blockchain and list them on a digital asset trading platforms. Resale is allowed between users and fans. When users put their assets for sale, they can set selling prices, quantities and other basic information. The XMX Wallet natively supports these functions, which allows developers to enjoy profits and increase engagement without additional effort. XMax supports third-party payments using tokens from other blockchains and will continue to develop wider support as time goes on. These features will allow the development of a platform where developers, entertainment icons, and fans can come together to build a global ecosystem. Pre-sale or Crowdfunding of Non-Fungible Token Assets Since each of the XMX Asset tokens is exclusive throughout the network and natively supported by the XMX Wallet, a company can sell virtual or real items which will produce in the future to help fund DAPP development. (These could be game props, movie tickets, a car, a house, etc.) The company would pre-sell the items using a smart contract, and this would help stimulate capital flow for the developer which can be an issue on long-term projects. As well as providing users with valuable items these

34 pre-sales can stimulate user participation and act as a marketing method to build up a user base before your DAPP is released. 5 XMX Token Structure XMX Token Distribution The XMax Foundation plans to produce and distribute 30 billion XMX tokens. XMX Allocation Only partners, venture capital institutions, prominent enterprises, executives and influential investors within the blockchain community will be invited to participate in this token swap. Citizens of the United States or the People s Republic of China are ineligible to participate in the token swap. As well Singaporeans participating in the token swap must be eligible investors. Minimum Token Swap Quantity ETH Total Supply: 30,000,000,000 XMX Tokens Funding Round XMX Distribution ETH : XMX Presale Round 40.00% 1: Distribution Plan: Item % Community and ecological incentive 40%

35 Token swap 40% Team incentive 20% Community and Ecosystem Incentives XMax will reserve 35% of the total token supply to stimulate the growth of the XMax community through fostering developer organizations, educational outreach programs and funding exceptional projects built with the XMax Studio SDK. Token Swap Tokens allocated for XMX - ETH exchange. Initial Team Incentive The proportion of tokens reserved for the XMax development team. Token swap 10% of XMX held by token swap will be locked for three months. XMX Usage Users can purchase paid content on the XMax Platform, including in-game items and services which will be tradable across different platform integrated games. XMX will also be incorporated into a community contribution and account systems as the platform develops. XMax Team Lockout Position The XMX held by the XMax.io team will be frozen after the pre-sale. The team commits to lock their position for 24 months, with 25% unlocked every six months. XMax Token Swap Plan XMax will reward community contributions and DAPP developers using 15% of the

36 token supply reserved for community incentives. These tokens will be allocated based on a ranking system structured by the number of transactions, total transaction volume and the number of accounts created within a particular DAPP. Using this standard, a comprehensive list of the top 210 DAPPs will be compiled. This list will be periodically updated and will support the initial set of DAPP creators in building the XMax ecosystem. These incentives will be provided for a 3 year period, and the remaining 20% of the community incentive tokens will be reserved for marketing events, bounty programs and building a stronger developer community. Utilization of XMX Earnings Item % Human Resources & Labor 30% Legal Compliance 5% Marketing 20% Foundation Operations 10% Savings / (Risk Fund) 10% Commercial Development & Partnerships 25%

37 6 Development Roadmap Time Period XMax Development Plan November 2017 End of December 2017 Design the Structure of the XMax Developer Ecosystem. Start development of XMax Dev Tools and base blockchain service. March 2018 Complete User Account System and the first DAPP. June 2018 September 2018 Start building the developer community, publish more APPs and open the developer tools to the global developer community. Create instructional videos and documentation as well as online classes teaching developers how to use the free XMax SDK and developer toolset. Mainchain Opens - Put digital stores on the platform and test DAPP applications with user communities. December 2018 Fully apply the XMax incentive system Continue to update the ecosystem with new functionality and base architecture. Develop a collaborative development system. Increase the scale of the ecosystem and educational content.

38 7 Team Introduction Hughes Ching CEO Senior Entertainment Industry For over ten years Hughes Ching has managed investment funds and actively participated in the development of entertainment industry enterprise projects such as Uber and Changba with many projects bringing a return on investment of over ten times the initial capital outlay. Hughes Ching has a proven track record of successfully expanding the social and financial impact of his companies. Alex Nikolaev CTO Founder of Forseti (an arbitration protocol for DAPPs) and co-founder of Hashlab.org (Blockchain development firm) Blockchain Enthusiast, Passionate about mechanism design and cryptoeconomics. Winner of numerous blockchain Hackathons: Blockchain Hack 2016(Waves 1st place) Blockchain Hack 2017(Qtum 3rd place) Christopher Manzano Community Lead Chris is a product manager for the developer community and specializes in user experience design for online economies. He's worked with some of the top game companies in Asia and believes that blockchain technology should be designed with simplicity in mind. His role is to empower developers and blockchain DAPP users on the XMax ecosystem through educational outreach. University of Nebraska Lincoln

39 s & Advisors "Lao Ge" Advisor Founding Partner of Dfund Dan Kaiser Advisor Early Blockchain Developer Blockchain Security Expert Omer Ozden Legal Advisor CEO of Rocktree Capital Roy Li and Advisor Blockchain Security Expert Founder of Ruff Chuan Zhan Founding partner of Kfund Dong Zhao Advisor Founder of Dfund

40 s & Advisors Weixing Chen Founder of Kuaidi Feng Wang Jin Shang General Manager of Xiaomi Game Qi Lin President & CEO of YOOZOO( SZ) Hong Yu Founder of 3AM Group Founder of QYGAME(acquired by 360) Mang Su "Xing Kong Hang Zhang" "Dianfu DaTou" Founder of QianFang Capital

41 s & Advisors Jia Tian of Bitfinex Haobo Ma Blockchain digital asset expert Founder of Aelf Shichun Wu Founder of Plum Ventures Zhifeng Zhou CEO of Mokylin Group Jianguo Wei Founder of LingTou Capital Jinwei Cao Founder of Letou Group Quan Li Advisor Founding Partner of Dfund Yuan Dao Advisor Early Internet

42 s & Advisors Zeyu Sun Founder of Genesis Capital Zihao Lin Founding partner of Tfund Hong Xu Famous David Su Founding Managing Partner of Matrix Partners China Harry Man Partner of Matrix Partners China Huadong Wang Partner of Matrix Partners China ShiMo Li Famous Jiapeng Lin Founder of LinkVC

43 s & Advisors "Da Kongyi" CIO of Red Nova "Chong Ge" Famous Blockchain "Liang Jiaolian" Partner of Tfund Lihua Yi Famous Blockchain Bo Feng Founding Partner of Ceyuan Ventures Forest Deng Advisor and Founding Partner of Kfund Pan Zhu Founder of Beecool Wu Ji

44 s & Advisors Dongfeng Wang CEO of YunYou Game Shuai Liu CEO of Monarch Capital Chen Xiangzhang Founder of Tuoniao.Fm

45 Institutional s DFUND KFUND Achain Foundation QTUM Foundation Beechat Foundation Ultron Foundation AELF Foundation

46 Institutional s Genesis Campus DHVC BCFOF Hello Capital MI.Ventures UB Ventures SFM Capital

47 8 Risk Disclosure Policy Risk Currently, national attitudes towards blockchain projects and supervisory financing policies are unclear, which may cause a possibility for loss to participants due to policy changes or market risk. If the integral value of the digital asset market is overestimated, there will be an increased risk to investors. Regulatory Risk Transactions by digital assets including XMX, include a high risk of uncertainty. As the digital asset field currently lacks strong regulation, digital tokens have a risk of sudden and sharp fluctuations in value. For individual participants who lack experience, it may be hard to resist the capital impact and mental stress brought about by market uncertainties. Competitive Risk Many blockchain projects are being developed so each project may face intense competition. With strong market forces at play and project operation pressures, there exists a certain risk that XMax may not have the users necessary to operate the system. Technical Program Risk Accelerated development of cryptography or the rapid development of science and technology, such as the development of quantum computing, may risk cracking the XMax ecosystem, which may give rise to loss of XMX. During the updating of a program, vulnerabilities will constantly be fixed; we cannot guarantee that such situations will not impact the operation of the ecosystem. Currently Unknown Risks Apart from the risks above, there still exist unforeseen risks by the team. Participants should fully understand the team and project before making decisions and participate in a reasonable way. 9 XMAX FOUNDATION LTD. DISCLAIMER NOTHING IN THE WHITEPAPER CONSTITUTES LEGAL, FINANCIAL,