# 4.2.1 NFT

**The Mask Protocol is SquidVerse’s on-chain identity economy system, using a range of consumable, upgradable, and yield-bound NFTs to create a complete Web3 player identity asset model.**\
**Each Mask not only represents a player’s authority and participation rights within SquidVerse, but also binds real earning potential and governance weight.**

### **NFT Types & Core Privileges**

* **Overseer NFT (Platform Core Governors, Limited to 100)**
  * **Holders receive 10% of the platform’s daily point rewards as dividends**
  * **DAO proposal and voting rights**
  * **Bonus hash power and 1.5x weighted point-to-token conversion**
* **Frontman NFT (Alliance Nodes, Limited to 456)**
  * **5% of daily point rewards as dividends**
  * **Level creation rights, ticket revenue sharing, DAO governance power**
  * **1.3x weighted point-to-token conversion**
  * **B-side Exclusive: Frontman NFTs are exclusive channel/partner IDs, empowering B-side partners to create custom tournaments, exclusive events, and rooms—with revenue share and multi-level incentives, unlocking new business models and monetization opportunities.**

\[B-end Frontman (Channel Partner)]
\
│
\
│Buys Frontman NFT for exclusive status
\
↓
\
\[Access to level creation, ticket sharing, DAO governance]
\
│
\
├──► \[Launch levels/tournaments/tasks]
\
│ │
\
│ └──► \[Attract C-end users to join]
\
│
\
├──► \[Invite Worker/Frontman NFTs]
\
│ │
\
│ ├──► 10% direct referral rebate
\
│ └──► 5% indirect referral rebate
\
│
\
↓
\
\[Automatic platform settlement]
\
│
\
├──► Ticket/event revenue to B-end
\
├──► NFT sales rebates to B-end
\
└──► Remaining platform share burned for deflation
\
│
\
↓
\
\[B-end Frontman joins DAO governance & ecosystem incentives]
\
│
\
└──► Receives dividends & ecosystem decision rights

***

\[Frontman Community Lead (Individual/KOL)]
\
│
\
│Buys Frontman NFT to get community leader status
\
↓
\
\[Build/run a community]
\
│
\
├──► Create content/gameplay guides/host events
\
│
\
└──► Launch tasks/promos/invites
\
│
\
└──► Bring in new C-end users/Workers
\
│
\
└──► Buy NFTs, join SquidVerse
\
│
\
↓
\
\[Platform settlement]
\
│
\
├──► NFT sales rebates (10% direct/5% indirect)
\
├──► Ticket/event dividend rewards
\
├──► Performance-based incentives
\
│
\
↓
\
\[Continuous community operation]
\
│
\
├──► Boost activity/retention/DAU
\
├──► Access governance rights, ongoing dividends
\
│
\
↓
\
\[Participate in DAO governance]
\
│
\
└──► Propose/vote/build the ecosystem

***

* **Worker NFT** (Red Suit, limited to 10,000 units)
  * **Receives 10% of daily points production from invited communities**
  * **0.1T hash power**
  * **1.1x points conversion multiplier**
  * **Identity graphics & voting rights**

\[Worker (C-end user)]
\
│
\
│Buys Worker NFT for base identity & host rights
\
↓
\
\[Create rooms/events/tasks]
\
│
\
├──► Build community, viral invites
\
│ │
\
│ ├──► 10% direct referral rebate
\
│ └──► 5% indirect referral rebate
\
│
\
↓
\
\[Members play games/buy NFTs]
\
│
\
└──► Contribute points, activity, revenue
\
↓
\
\[Platform dividends & incentives]
\
│
\
├──► 10% daily points from referrals
\
├──► 2T static hash power, 1.1x conversion weight
\
│
\
↓
\
\[Participate in DAO governance]
\
└──► Propose, vote, build community

* **Character NFT** (Basic Role, 456,000 units)
  * **Only ticket to enter games**
  * **Supports health consumption, revival, upgrade, draw, burn**
  * **Can randomly obtain rare traits via blind boxes, enabling a Play-Burn-Earn loop**
* **Box NFTs** (Character, Item, Lucky Boxes)
  * **Function as airdrops, rewards, incentives**
  * **Activate on-chain engagement and boost community stickiness**

#### **Identity is incentive, gameplay is economy.** **Each NFT role is bound to different governance, revenue, hash power, and participation weights.** This not only determines a user’s growth path in the game ecosystem, but also establishes a new Web3 identity consensus and asset appreciation model.

\[User buys NFT]
\
↓
\
\[NFT sales flow into LP pool/liquidity]
\
↓
\
\[Participate in LP, gain hash power]
\
↓
\
\[Hash power drives dividends/incentives]
\
↓
\
\[Points (X-Squid) generated]
\
↓
\
\[Points exchanged for governance tokens (Squid3)]
\
↓
\
\[Governance tokens used for NFT purchase/ecosystem governance/high-level spending]
\
↓
\
\[Next user participation]
\
↺ (circular flow)


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