# Creator Earning Model

Creators are at the center of **Frak**. Users keep interacting with their content on platforms but few platforms reward them at fair value.

Creators get paid in two ways : 

#### $FRK Earning

Each unit of content consumed within the ecosystem gives Creators the right to earn $FRK. The amount of $FRK earned is calculated following the formula below. It is based on the number of Fraktions minted.

$$
n\_{k}=B\_{Creator}(w) \times \beta\_k \times CCU\_k \times TPU\times \xi\_k
$$

$$n\_k$$: number of $FRK earned for the Fraktion holder *k*\
​$$B\_{Creator}$$: Creator’s badge coefficient (defined [here](https://whitepaper.frak.id/frak-protocol/creator-work-minting/content-badge))\
$$\beta\_k$$: Earning factor for the fraction holder $$k$$ depending of the rarity of the Fraktion 

<table><thead><tr><th width="198">Profitability</th><th width="126">beta</th></tr></thead><tbody><tr><td>Diamond</td><td>2</td></tr><tr><td>Gold</td><td>1</td></tr><tr><td>Premium</td><td>0.5</td></tr><tr><td>Common</td><td>0.1</td></tr><tr><td>Free</td><td>0.01</td></tr></tbody></table>

$$CCU\_k$$ : Number of Consumed content Units (Content Played for video and audio, Content Read for text) by the fraction holder *k*\
$$TPU$$: $FRK per $$CCU$$ (*see* [*here*](https://whitepaper.frak.id/frak-protocol/earning-model/token-generator-factor))\
$$\xi\_k$$: Content support factor depending on the support of the content

| Support                         | xi  |
| ------------------------------- | --- |
| Video (not music, video Twitch) | 2   |
| Podcast                         | 1   |
| Music                           | 0.2 |
| Twitch                          | 1   |

#### Total Number of FRK earned

Then the Total Number​$$N\_{$FRK}$$ of $FRK earned is defined like below:

$$
N\_{$FRK}=B\_{Creator}\sum\_{k \in T}\bigg(\beta\_k \times CCU\_k   \times TPU\times \xi\_k \bigg)
$$

​Maximum of tokens minted at the end

![](https://266970817-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FNViTXF6BtpM1lHQddio3%2Fuploads%2FT8SzQC0wpv3TcrxNmC1O%2FCapture%20d%E2%80%99e%CC%81cran%202022-07-21%20a%CC%80%2000.22.29.png?alt=media\&token=e90406f7-54b0-4ac2-8df3-14678e34869c)

#### Revenue Sharing

For every subscribers who consume one piece of Creator Work, Creator earn a share of the subscription fee depending on this subscriber’s whole consumption during a Standard Period.

A Smart Contract is coded to allow Creators to get paid directly on their wallet.

At first, it considers an ensemble $$E\_j$$extracted from U (all users) containing all the n users $$u\_{ij}$$who made a Qualified Interaction with the Content Work *j* (ie the Number of Consumed Content Units of Creator Work *j* by User $$u\_i$$ is positive) :&#x20;

$$
E\_j={u\_{ij} \in U  |  CCU\_{ij}>0}
$$

For a given User $$u\_i$$, the share of revenue received by the Creator of the Creator Work *j* is :&#x20;

$$
SR\_i \times \frac{CCU\_{ij}}{CCU\_i}\times(1-Fee)
$$

Where&#x20;

$$SR\_i$$ : means the revenue actually received by Sybel, directly connected to providing a Paid User access to the Sybel subscription service, including direct subscription fees and indirect subscription payments received via third party co-operations, excluding VAT and other governmental taxes and fees and deducted payment services charges. If the User ui is a free user, $$SR\_i$$ = 0 \
$$CCU\_{ij}$$: Number of Consumed Content Units of Creator Work j by User i\
$$CCU\_i$$: Total Consumed Content Units by User i \
$$Fee$$: Fees charged by Sybel going to $FRK Ecosystem (*see below*). Originally set at 30%&#x20;

Thus, the all revenue earned by a Creator for a Creator Work *j* is:

$$
\sum\_{i\in E\_j}^{}SR\_i \times \frac{CCU\_{ij}}{CCU\_i}\times(1-Fee)
$$