Principal components of RADA NFT

As shown in the diagram below, The RADA foundation plans to perform various activities to take back reward to its ecosystem once profits are made by RADA NFT in the NFT marketplace, an external NFT sales platform. Please note that the RADA Foundation will not mint RADA NFTS on any third-party marketplace in the early phase of the RADA program operation, although individual holders can drop and trade in any open marketplace, depending on one’s willingness. From the perspective of the RADA nurturing program, there can be further development on the major system (i.e., rookie NFT funding procedure) depending on the direction of projects led by the RADA Foundation.

In regard to sports club management and operation by DAO governance, the privilege function is additionally applied to RADA NFT, which will act as a Tangible Asset on either OnChain or OffChain.

Below are the core components of the ecosystem associated with RADA NFT.

1. RADA Token (ERC 20)

In the RADA nurturing program, RADA NFT is not traded in any third marketplace but is only minted and dropped through the RADA drawing system. Such a system requires different RADA tokens depending on the type of draw. In other words, holding and transferring the RADA token to the drawing system is compulsory to acquire a RADA NFT.

2. Verifiable Random Function (VRF)

When the RADA token is consumed for a minting of RADA NFT, the Verifiable Random Function (VRF) system is activated to make a fair draw. The so-called ‘Random Oracle’ is used for this system and is further explained below.

3. Minting System

Once a random NFT is drawn by the drawing system developed specifically for the RADA Programme, an NFT is issued by the minting system. For RADA NFT to function, all contents about the corresponding RADA shall be digitalized, which is then saved and distributed on IPFS to preclude the forgery of information.

In regard to sports club operation by the DAO, the same procedure stated above would be applied in the minting of RADA NFT except for the draw procedure.

4. RADA NFT (ERC721)

The RADA NFT, which is dropped through the minting system, can record any digital content and information about the rookie player, such as contract conditions. These records can never be forged as these data are permanently recorded on IPFS.

Hence, RADA NFT can be used as a digital token to verify numerous pieces of information, such as verification of RADA Foundation affiliation, funding, promotion, support records for the RADA, and so on.

In addition, through the expansion interface, the ‘authority’ function is adopted to RADA NFT used in sport club operations by the DAO.

5. NFT Marketplace

In order to invigorate the transaction of RADA NFT, which will ultimately prosper its ecosystem, the NFT marketplace is fundamentally required. The RADA foundation will not develop and operate its own NFT marketplace in the early phase. Instead, 3rd party marketplace, ‘OpenSea’ for instance, shall be used for the trade of RADA NFTs. Commissions for RADA NFT transactions may be set according to the policy announced by the RADA Foundation, while the minting-and-drop procedure will follow the guideline given by a 3rd party platform.