Payment Policy

Introduction

Thank you for being a Relay Host, Partner and/or Relay Referring Agent (referred herein as “you” or “they”). Relay International Inc. (referred herein as “Relay”, “we”, or “us”)  have set forth payment information on this webpage. By being a Relay Host or Relay Referral Agent, you agree to abide by terms set forth under this Payment Policy, which may be amended by Relay, in its sole discretion, from time to time.

Relay is committed to compensate you promptly and accurately in accordance with this payment policy.

This policy describes the compensation rate, compensation period, payment schedule, cryptocurrency conversion rate, and local conversion rate used when calculating your compensation. This payment policy applies to

• Compensation payable to Relay Hosts; and
• Compensation payable to Relay Partners; and
• Compensation payable to Relay Referring Agents.

Please read this payment policy carefully to understand our policies and practices regarding how your compensation is calculated and paid out to you. If you do not agree with our policies and practices, please stop your activities as a Relay Host, Partner and/or Relay Referring Agent. By being a Relay Host, Partner and/or a Relay Referring Agent, you agree to this payment policy and any other applicable agreements, such as, without limitation, the Relay Host Agreement and the Relay Referral Policy. This payment policy may change from time to time. Although Relay will do its best to notify you of these changes, please check this payment policy periodically for updates. By continuing your status as a Relay Host, Partner and/or Relay Referring Agent you are deemed to have accepted any changes we make to this payment policy.

Compensation

All compensation to Hosts, Partners and/or Referring Agents will be made in the local currency where the Host, Partner or the Referring Agent resides. For example, if a Host, Partner or Referring Agent resides in the US, compensation will be made in USD; if a Host, Partner or Referring Agent resides in Ukraine, compensation will be made in UAH. Relay will pay you a cash equivalent to a percentage of total coins mined by your hosted Device (“Compensation”)

Compensation for Hosts

The current effective Host Compensation is twenty percent (20%) of all coins mined by a hosted Device over the “Period” (as defined below). Please find a step-by-step calculation below.

Compensation for Partners

The current effective Partner Compensation is twenty percent (20%) of all coins mined by a hosted Device over the “Period” (as defined below). Please find a step-by-step calculation below.

Compensation for Referring Agent

The current effective Referring Agent Compensation is five percent (5%) of all coins mined by all of the Referring Agent’s Hosts over the “Period” (as defined below) for the first 12 months of the Referring Agent’s Host Device Lifecycle. Please find a step-by-step calculation below.

How We Calculate Total Compensation

1. Determine the Period

“Off-Cycle” Period

An Off-Cycle period is any period that does not span the full month. In general, a hosted device has two Off-Cycle Periods, the first month of activation and the last month of termination. The initial Off-Cycle Period starts on the day the Device receives its first earnings at the Host Premises and ends the last day of the same month (“Off-Cycle Period”). The final Off-Cycle Period ends 1 day before the termination of the agreement.

• For example, if a hosted Device is activated on April 17 at 2:00 PM GMT, and the first earnings are generated at the Host Premises on April 18 at 12:00 AM GMT, then the Off-Cycle period will start on April 18 and ends the last day of April, April 30 at 11:59PM GMT.
• For example, if a written notice is sent to terminate a Hosting Agreement on June 10, the Hosting Agreement will terminate 90 days later as per the Hosting Agreement on September 8. Thus, the final Period will be an Off-Cycle Period from September 1 12:00 AM GMT and end on September 7 11:59PM GMT. On September 8, the Device will be removed from Host Premises.
  

“Regular” Period

After an Off-Cycle period, comes a Regular Period. A Regular period starts on the first of the month and ends on the last day of the month (“Regular Period”).\

• For example, the Regular Period for the same host as the example above starts May 1 at 12:00 AM GMT and ends May 31 at 11:59 PM GMT.
  

2. Calculate “Total Coins Mined”

When a Period is complete, “Total Coins Mined” are reviewed for that period. Using the Helium API all coins mined are calculated which can also be verified using the freely accessible Helium Explorer. You can enter the hosted Device details, click on “Activity”, and then export a CSV for the Period. You can then add up all the rewards within that period to get “Total Coins Mined”. In order to make reconciliation easy, "Total Coins Mined" are truncated at 2 decimal places.

• For example, in the Off-Cycle Period above from April 18 - April 30, a hosted Device may earn 30.240011212 HNT. This is truncated at 30.24 HNT.For example, in the Regular above from May 1 - May 31, a hosted Device may earn 60.240011212 HNT. This is truncated at 60.24 HNT.
  

3. Calculate “Total USD Mined Value”

Then the “Total USD Mined Value” is calculated by looking at the period (Off-Cycle or Regular) and taking an average of the close price of HNT each day over the Period. We Use Coin Market Caps API and you can use Coin Market Cap's Website to check this data.

In the event that Coin Market Cap is not available, an alternative pricing source will be used, subject to the discretion of the Company, such as: Coingecko

• For example, in the Off-Cycle Period above from April 18 - April 30, the hosted Device’s Total Coins Mined was 30.24 HNT. Using Coin Market Cap the average price of HNT over the Period was $14.75. Therefore, the “Total USD Mined Value” is 30.24 multiplied by $14.75 which equals $446.04. Again, for ease of reconciliation, this is truncated at 2 decimal places.
  

4. Calculate “USD Earnings”

Once Total USD Mined Value is calculated, the Compensation effective at the date of payment is then applied, the “Effective Compensation Date”.

• For example, in the Off-Cycle Period above from April 18 - April 30, on June 1 (the Effective Compensation Date), the Compensation may be twenty percent (20%) of all coins mined by a hosted Device. Therefore, since Total USD Mined Value is $446.04, 20% of $446.04 is $89.208. For ease of reconciliation, this value is truncated at two decimals, so USD Host Earnings will be $89.20.
  

5. Convert to “Local Earnings”

Finally, the USD Host Earnings to Local Host Earnings are converted by using the conversion rate of USD to local currency at the Effective Compensation Date using Wise Conversation Rates

• For example, in the Off-Cycle Period above from April 18 - April 30, on June 1 (the Effective Compensation Date), for a Ukrainian Host with a Ukrainian Bank Account $89.20 USD will be converted to UAH, truncated at the second decimal. For example if we converted $89.20 USD to UAH on May 25, 2021, we would get 2452.42020 UAH, which is truncated at 2452.42 UAH.

6. Add any Referring Agent Compensation

After Local Host Earnings are calculated steps 1-3 are then repeated  individually for each Referral Agent Device. After Total USD Mined Value are calculated for a Referral Agent Device, “USD Referral Agent Earnings” are then calculated by applying the Referral Agent Compensation effective at the date of payment, the “Effective Compensation Date” and then convert it to “Local Referral Agent Earnings” and add it to the total payment.

• For example, in the Off-Cycle Period above from April 18 - April 30, on June 1 (the Effective Compensation Date), a Referral Agent Device may have a Total USD Mined Value of $500. The Referral Agent Compensation is then applied  which may be five percent (5%) of all coins mined by all of the Referring Agent’s Hosts over the “Period” (as defined below), for the first 12 months of the Referring Agent’s Host Device LIfecycle. Thus, USD Referral Agent Earnings would be $500 multiplied by 5% which equals $25. Finally, this will be converted to Local Referral Agent Earnings, for example for a Ukrainian Host with a Ukrainian Bank Account $25 USD will be converted to UAH, truncated at two decimals. For example if $25 USD were converted to UAH on May 25, 2021, we would get 687.33750 UAH, which would be truncated at 687.33 UAH.

7. Calculate Total Compensation

Once we have Local Host Earnings and any Local Referral Agent Earnings we simply sum these values together to get Total Compensation.

• For example, in the Off-Cycle Period above from April 18 - April 30, on June 1 (the Effective Compensation Date), we will initiate a payment for 2452.42 UAH plus 687.33 UAH for a Total Compensation of 3139.75 UAH.
  

Payment

Payment One Month In Arrear

We will initiate payment to Hosts, Partners and Referring Agents 1 month in arrears on the first of the month for both the Off-Cycle period and the Regular Periods. Depending on your bank payment may take several days from initiation to reach your account.

For example, using the above example:

• Off-cycle Period April 18 - April 30, payment is initiated on June 1 and can take up until June 15 to reach your bank account depending on your provider.
• Regular Period May 1 - May 31, is paid on July 1 and can take up until July 15 to reach your bank account depending on your provider.

Required Documents

In order for us to make a payment, you must provide the following information:

• Full legal name and address
• Scanned Picture ID
• US Resident - W9 Form
• Non-US Resident - W8 Form

Bank Account Information

Eligible Mining Rewards

A hosted Device will only be compensated for activities that directly relate to mining HNT. These activities are limited to the following rewards below. Any reward outside of these activities, such as AirDrops, are not shared with Hosts, Partners, or Referring Agents.

PoC Challenger

Rewarded to any Hotspot that creates a valid PoC challenge and submits the corresponding receipt to the blockchain

PoC Challenges

Awarded to any Hotspot that transmits a POC packet after being targeted by the challenger

Witnesses

Distributed to all Hotspots that witness a beacon packet as part of a PoC Challenge.

Network Data Transfer

Distributed each epoch to Hotspots that route LongFi sensor data for sensors on the Network during that epoch.

Risk Disclosure

The digital asset market is a new and rapidly developing market which may be subject to substantial and unpredictable disruptions that cause significant volatility in the prices of HNT. There is no assurance that the market will be free from such disruptions or manipulation that any such disruptions may not adversely affect the amount paid to you as a Relay Host and/or Relay Referring Agent. We provide no assurance that the price of HNT will be favorable enough to compensate you.

A disruption of the Internet could impair the value and the ability to transfer HNT. A significant disruption in Internet connectivity could disrupt the HNT network’s operations until the disruption is resolved and could have an adverse effect on the value of HNT. In addition, digital asset networks have been subjected to a number of denial of service attacks, which led to temporary delays in transactions. It is possible that such an attack could adversely affect the value of HNT or the mining distribution of HNT, which would impact the amount payable to you.

The Company is not responsible for any losses, costs or expenses relating to lost access of the Relay device. The Company shall have no obligations in any form or whatsoever to you in respect of such Compensation payment described above. The Company reserves the right not to deliver any Compensation. The Company reserves the right to refuse Compensation payment if it determines, in its sole discretion, you have violated any terms in this Payment Policy, your Host Agreement (if applicable), Referral Policy (if applicable), or any other Agreement(s), policies or terms provided by Relay. The Company will not be liable for Compensation to you if any amount of HNT mined is not received by the Company. All HNT distributions received by the Company are owned by the Company, and you do not retain any right whatsoever to the HNT, or any token mined through the device. To the extent permitted by the applicable laws, all risks in relation to any payment shall be borne absolutely by you solely. The Company reserves the right to refuse or cancel any agreement you have with the Company at any time in its sole and absolute discretion. Determining what, if any, taxes apply to your Compensation, is your sole responsibility. It is also your entire responsibility to withhold, collect, report and remit the correct taxes to the appropriate tax authorities. The Company is not responsible for withholding, collecting, reporting, or remitting any sales, use, value added, or similar tax arising from your Compensation.