> For the complete documentation index, see [llms.txt](https://doc.planz.tech/planz-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://doc.planz.tech/planz-docs/z-token/utility.md).

# Utility

PLANZ.inc will issue $Z as its corporate token. Unlike tokens specific to individual DApps (such as games or DeFi), $Z is connected to all 10+ projects involving PLANZ.inc.

PLANZ.inc will conduct buybacks using a portion of the revenue generated by the various projects it operates or is associated with.

<figure><img src="/files/KqqWqhCII5M06JsPUZ8B" alt=""><figcaption></figcaption></figure>

***

## Buyback Rate

| Project                 | Rate | Revenue Sources                    |
| ----------------------- | ---- | ---------------------------------- |
| Chain Colosseum Phoenix | 50%  | Marketplace Fee                    |
| Re.Monster              | 50%  | In-Game Purchases, Marketplace Fee |
| DeFi Vserse             | 50%  | Sequencer Earning                  |
| Gaming DEX              | 50%  | Swap Fee                           |
| BACKERZⅢ                | 50%  | Commision                          |
| Quill                   | 50%  | Market Fee                         |
| Neptune                 | 50%  | Staking Fee                        |
| Ragnarok                | 50%  | Trade Fee                          |
| Others                  |      |                                    |

***

A portion of the revenue from each project will be used to buy back Z tokens based on the specified ratios mentioned above. Half of these tokens will go toward Z staking rewards, while the other half will be stored in the treasury for future reward distributions.

## Z Staking

Half of the Buybacked $Z is put into the staking pool as a reward. Users receive a vault token (non-transferable) as $sZ for staking $Z. sZ can be reverted back to Z by applying for redemption, but there is a 180-day redemption period. Redemption is possible even before the maturity date, but a penalty will be incurred (reduced redemption rate). Also note that during the redemption period, the accumulation of rewards and other utilities will cease to occur.

$sZ tokens represent a share of the staking pool, and as additional buyback $Z tokens are introduced, the conversion ratio will adjust over time (increasing the value of $sZ relative to $Z). Rewards automatically accumulate within $sZ, resulting in a compounding effect.<br>

<figure><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXd1mfOXRhho55psaafk9oT_MsdMjuqxAskApPzVngA1d_8TTuZvj2FYsZHi-0PzwheiUk9gimW1XYfXzvWFsM6XlNlUaH2zIOh7F0JLOg64OqYEYTDheiR9YUgL9FmoxgN5Aw5HUw?key=b6ztLBQMuilRICRTLOHqdCYG" alt=""><figcaption></figcaption></figure>

Various user operations related to staking can be performed on the Gaming DEX.

#### Early Redemption Penalty

As previously stated, $sZ tokens are locked for 180 days until eligible for redemption, although early redemption is available. Early redemption, however, will incur a penalty, resulting in a less favorable redemption rate. When an $sZ holder redeems early, additional $Z tokens remain in the pool, which subsequently increases the redemption rate for other $sZ holders.

* Redemption Maturity Period: 180 days
* Minimum Lock Period: 30 days
* Redemption Rate for Early Redemption after Minimum Lock Period: 50%
* Daily Penalty for Early Redemption: 0.3333%

{% hint style="info" %}
**● Early Redemption Rate Formula ●**

Redemption rate=50%+(Days to Maturity-30)\*0.3333%
{% endhint %}

E.g.:

| Redemption Date | Redemption Rate |
| --------------- | --------------- |
| 30 Days         | 50.00%          |
| 60 Days         | 60.00%          |
| 90 Days         | 70.00%          |
| 120 Days        | 80.00%          |
| 150 Days        | 90.00%          |
| 180 Days        | 100.00％         |

Any $Z penalties incurred here will stay in the pool. This increases the redemption rate for other $sZ, which in turn enhances the overall value of $sZ.

***

## Z Flow

<figure><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXeFjFQ-A-saHMumeUqJ0zx-3jB7Xgj3Kp-973ZgnLonyxKfIhbi_lhmzO0yiiO8bA30bnc57INwvlqq-uUsGNuQKh1uzdM6JmYteIeSHY0DpH7IvByjzdFJ9O-Dsz7jxYcCSqM4MA?key=b6ztLBQMuilRICRTLOHqdCYG" alt=""><figcaption></figcaption></figure>

The $Z accumulated in the treasury will be used to provide additional rewards for various projects. These allocations will be determined through voting conducted with $sZ tokens.