> For the complete documentation index, see [llms.txt](https://jpt.jackpotter.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://jpt.jackpotter.com/token-overview.md).

# Token Overview

Jackpotter's economy is built on a dual-token system that separates the investment and governance functions of the JPT token from the gameplay and reward mechanics of the JPF token.

## The Dual-Token System

### JPT (Jackpotter Token)

JPT is the core investment and governance token of the Jackpotter platform.

* **Symbol:** JPT
* **Supply:** 1,000,000,000 (hard cap, no minting)
* **Standard:** ERC-20 (Ethereum)
* **Key Features:** Pausable, Burnable, Snapshot, Vesting, and a temporary 3% sell tax.

### JPF (Jackpotter Fun)

JPF is an off-chain reward point designed for gameplay and promotions.

* **Type:** Off-chain casino credit
* **Supply:** Unlimited
* **Value:** **1 JPF ≈ 1 JPT of in-casino value**
* **Transferability:** Non-transferable
* **Purpose:** To provide rewards without causing JPT inflation, and to reduce regulatory risks associated with tradable reward tokens.

## How it Works

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### Stake JPT — Earn JPF

The primary way to acquire JPF is by staking JPT tokens. The daily JPF earnings are determined by the amount of JPT staked, the lock duration, and the total daily wagers on the platform.
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### Use JPF in the Casino

JPF can be used for a wide range of in-game exchanges, including free spins, free bets, bonuses, boosts, and other in-casino perks.
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### Controlled Burns

Supply pressure reduces organically across both tokens:

* **JPF (off-chain):** Burned through in-game sinks such as exchanges, bonus usage, and utility spending.
* **JPT (on-chain):** Burned through:
  * 1% of daily JPT wager volume
  * usage-linked burns: marketplace listing fees, utility fees, and early unstake penalties
  * sell-tax buybacks and burns during the first 12 months

See [Deflation & Buybacks](/jackpotter-token-jpt/tokenomics/deflation-and-buybacks.md) for more details
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### Why a Dual-Token System?

The separation of JPT and JPF is a strategic design choice that addresses the common pitfalls of single-token economies in the crypto gaming space. This dual-token architecture provides several critical advantages:

1. **Inflation Isolation:** By using JPF for gameplay rewards and promotions, we ensure that high-frequency reward emissions do not dilute the value of the investment token (JPT). JPT maintains a fixed supply, while JPF can scale with platform activity.
2. **Price Stability:** JPT is subject to market volatility on external exchanges. By using JPF, which is treated as roughly equivalent to JPT for in-casino utility, players get a more predictable gameplay experience regardless of external market price swings.
3. **Regulatory Compliance:** JPT is designed as an investment and governance token, while JPF functions as a non-transferable utility point system. This clear distinction helps in navigating global regulatory frameworks by separating speculative assets from gameplay mechanics.
4. **Sustainable Economics**: Rewards are sourced from real casino revenue, not from token printing. JPF acts as the distribution mechanism by turning daily revenue into spendable casino credits without requiring JPT emissions. This keeps reward distribution separate from JPT supply.
5. **Flexible High-Yield Rewards**: The dual-token system enables high APRs for JPT stakers without inflationary pressure on JPT itself. Stakers receive JPF rewards sourced from real casino revenue, not from newly minted JPT.
6. **Vibrant Marketplace Economy**: JPF creates a thriving peer-to-peer marketplace where users who prefer liquidity can sell items (free spins, bonuses, boxes) at slight discounts for guaranteed sales, while buyers acquire premium value at reduced prices. This price flexibility keeps the marketplace continuously active and benefits both sellers (guaranteed liquidity) and buyers (instant value), creating a self-sustaining internal economy.

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Jackpotter's economy is built on a dual-token system that separates the investment and governance functions of JPT from the gameplay and reward mechanics of JPF. JPT and JPF coexist through the marketplace, where players can trade items acquired with JPF for JPT — keeping both tokens useful while preserving JPT's fixed supply. This creates a self-sustaining internal economy where JPF and JPT each have clear roles, JPT scarcity is preserved, and players have flexible exit options.
{% endhint %}