Abstract of the proposal

BlockchainOS describes the Membership Reward’s budgeting and distribution policy to be paid for one year in 2020, as described in this proposal, and proposes Voting on whether to implement it.

1) In accordance with the annual reward decrement policy of White Paper 1.0, the 2020 Reward quantity is approximately 94.1% of the 2019 Reward quantity.

2) For maintenance and continuous development of the BOS Mainnet, we propose to use 20% (unrelated to BOScoin price changes) of the total Reward quantity as BlockchainOS operation cost.

- Of the total Membership reward, we considered that the Node operation reward was about 70%.

- Operation costs are also paid on the same schedule(every 4 weeks) as Membership Reward.

3) 80% of the total Rewards will be paid as Membership Rewards with the same policy as 2019.

The amount of budget

Total Issuance: 151,308,975 BOS

Budget account: GCR7BA5O3J4255X4S7TQH5NOOEYI6SAUS3GB3HK7JHMD3475CJE7BTCM

1) 121,047,180 BOS (80% of the issuance): for Membership Reward

- Based on the same criteria as in 2019, it is distributed in proportion to the Freezing quantity.

2) 30,261,795 BOS (20% of the issuance): for BlockchainOS operation costs

- Mainnet server and KYC operating costs

- Development and operation labor costs

- Outsourcing and service use costs

- Office rent

※ Receiving Account:

GDQZ47NN46DWXGDEPVWN67I6RNCODANRD3LFCIPV7SG4NUZYWPAQ63AG

Voting schedule

Start: November 12 (Tuesday), 2019 13:00

End: November 19 (Tuesday), 2019 13:00 (KST standard: UTC +09:00)

Conditions for approval of the proposal

A/C − B/C ≥ 0.1

A: The number of “Agree” votes

B: The number of “Disagree” votes

C: The number of Members as of end of voting

Detailed Description

Conditions for receiving Membership Reward

To receive Reward, all of the following conditions must be met for every 17,280 blocks (about 1 day).

1) Pre-Membership retention

- KYC certification

- Accepting the Terms (including Node Operations delegation)

- Specify Membership account

2) Freezing over 10,000 BOS in Freezing accounts linked to Membership account.

Reward receiving account: Membership account of each user

Calculation of Membership Reward

1) When to start counting Freezing quantity

: Starts at 6,477,203 block height (about December 7, 2019 12:30. KST)

2) Freezing quantity aggregation unit duration

: Aggregate Freezing quantity every 17,280 blocks

- Freezing must be continued during the aggregation unit duration (17,280 blocks).

3) Reward quantity calculation cycle

: Reward is calculated for every 17,280 blocks.

4) Reward quantity formula (Per 17,280 blocks = 1 day)

: 330,730 BOS × (Total Freezing BOS Quantity Linked to Membership Account) ÷ (Total Freezing BOS Quantity Throughout BOS Mainnet System)

Distribution of Membership Reward

1) Reward quantity per payment

: Paid 4 weeks cumulated amount of Rewards, calculated for every 17,280 blocks.

2) Reward payment schedule

- Payments are made within 24 hours after the end of the Reward aggregation period for each period.

- Operation costs for BlockchainOS will be paid on the same schedule.

- Payment schedule and Reward quantity