(2) Mileage Accumulation and Usage Structure and Policy

THE9 Mileage Service

THE9 mileage service offers THE9 tokens as incentives for making payments at all merchants with installed KIOSKs.

This service enables a mileage program that can be utilized globally, providing a direct incentive for using THE9 tokens.

For merchants, it serves as a marketing policy to retain existing customers and attract new ones.

Flexible Token Distribution

Initially, THE9 tokens may be distributed by the reward foundation for marketing activation and to promote awareness of the mileage program.

After a certain period, the token distribution or reduction may be adjusted based on individual merchant marketing policies.

Merchants, even those unable to introduce existing services, can implement mileage programs without financial burden.

Enhancing Customer Loyalty

The mileage program helps foster strong customer loyalty by distinguishing between participating merchants and non-participating ones.

Responsible Mileage Redemption

Merchants are responsible for ensuring that customers can redeem their mileage up to the total amount of mileage provided by the merchant.

Customers can utilize their mileage at any participating merchant.

If the total mileage provided by a merchant exceeds the mileage utilized by a customer, the customer cannot use the excess mileage at that particular merchant.

To avoid customer inconvenience and maintain the advantages of global use, the Foundation purchases the excess tokens used by the customer from the merchant and compensates the merchant accordingly.

The Foundation can choose to retain the acquired tokens, sell them on the exchange for customers in need of mileage, or use them for inflation adjustments in good faith.