The Company (website www.UEC.IO) shall serve as the software developer and manager to establish the Token, which shall follow the latest Token Shield Protocol (as outlined below). The Tokens are guided by UE Smart Contracts, connected to a revolutionary energy producing machine(s) (hereinafter referred to as a “Global Energy Machine(s)”, or “GEM”), using proprietary embedded hardware/software for the purpose of a) monitoring GEM operations and b) digitally collecting energy revenue in order to distribute the revenue in real time as electricity is produced and sold. The UE Smart Contract sends the digital revenue directly to all Token holders in real time. The supply and demand of the Token is driven by market forces that may drive the Token price up or down. The supply of GEMs will come from the Company’s technology partners, regardless of where they are manufactured. The UE Platform is a closed-loop system requiring all financial transactions be completed within the UE Platform. In other words, consumers, businesses, and utilities (who may be users of electricity generated by GEMs) will pre-pay for energy credits held in the Token. Customers who do not purchase the Tokens for this purpose may use them as a currency that can be exchanged for other forms of cryptocurrency. The Company’s custom design financial model is intended to prevent misappropriation of funds and enhance Token holders trust and confidence. The sale proceeds of the Tokens are managed by the Company and will be used to fund operating expenses, including the UE Platform distributed ledger and hardware/software interface, GEM research & development, and high capacity manufacturing facilities around the world that produce the GEM. All GEMs funded by the Company will be for the exclusive use of the Company and leased to users on a highly competitive basis. The Company has identified several research and development opportunities to create GEMs that have made enormous contributions towards the development of new clean alternative energy. For the purposes of this White Paper, we are highlighting one such opportunity using the Spatial Effects Generator (“SEG”), which is described more fully below. Our mission is to find and implement uniquely designed GEM’s that are “green”, low cost, and profitable. When combined with the Token, a great combination arises to set a new standard in business practices, energy production, and token holder relations.
An amazing turn of events is coming from the digitalizing (computerization) of all facets of business including energy and finance to simplify and streamline operations. More and more automation is reducing manual repetitive tasks, freeing us humans to more challenging and creative endeavors, (i.e. Robots will replace manufacturing jobs) such as computer execution of a smart contract. Also, errors from human interventions will be virtually eliminated or reduced to a minimum, thus preventing any form of manipulations that could be used for personal gains (i.e. opportunism). Energy converted from burning hydrocarbon-based elements, of coal, petroleum and natural gas are becoming more and more expensive to produce as they face restrictions due to concerns regarding the effects that hydrocarbons have on the surrounding environment. At the same time, a worldwide negative backlash from hydrocarbon pollution grows daily and deadlier (see “The Energy Reality”). Since 1750, humanity has pumped some 150 billion tons of carbon dioxide into the atmosphere. Almost half that amount was emitted since 2000 - 9.9 billion tons of it in 2016 alone. Clean energy from solar and wind power are logical and evolutionary steps forward over hydrocarbon power. Both have been under heavy research and development and are believed to be competitive with hydrocarbon power production; however, each is subject to conditional output. Solar is dependent on daylight, and relative positioning and specific latitude play an important role in harvesting sunlight to energy. Wind power is a little more versatile than solar, but is completely dependent on wind current locations, limiting their commercial use to high wind corridors. Other forms of clean energy are being developed and one in particular, the SEG, is described more fully below.
Traditionally, ledgers are strictly managed by centralized computer systems until blockchain technology was developed. The Company’s solution is to build the UE Platform using a peer-to-peer distributed ledger (Blockchain). The Company’s business application model combines a cash flow component layer, using smart contracts that attach to revenue produced by the physical GEMs, creating a continuous cash flow directly from the gross revenue generated by the GEM to Token holders in real time. We propose to build a financial shield around GEMs, initially using SEG machines. We will start with research and development, equipment manufacturing and finish with the placement of SEG machines to end-users. With the Company’s blockchain application business model, the Tokens will become the definitive energy coin.
The UE Shield
The UE Platform’s financial shield and business model follows the Token Shield guidelines according to the “Token Shield Protocol”. Here, pre-purchased Tokens are offered to purchase energy credits. The sale of Tokens will bring new technologies to market that will change energy generation by expanding the use of decentralized, portable and scalable energy machines that produce clean green energy without burning hydrocarbons, much like running water running through an electric water turbine that produces clean green energy. The Company shall be responsible for lease placement and retention. The Company shall manage cash flow with a state of the art blockchain and Token. What distinguishes the UE Platform from everyone else is our gross revenue sharing model. This model consists of a negotiated split of gross revenue from energy user payments from each new energy product. The basis for the Company’s financial model is an agreement that ALL funds entering the UE Platform will allow for an energy credit microcosm that is easy to understand and use by all parties in the UE Community. UE will develop a peer-to- peer computer assisted self-managing system consistent with the definition of a Token Shield using the latest blockchain technology, and a firmware (embedded) mated to each energy device, inter-connected to our peer-to-peer UE Platform. This allows oversight of each GEM machine and it's electricity output while connecting key operational issues with management. It will track and order maintenance, repairs and replacements, collect revenues, disperse payments and divide UEC revenue according to the preprogrammed, unchangeable, unwavering smart contracts. The original blockchain technology has inherent issues with consensus, transaction speed and scalability. Blockchain technology 2.0 addresses these issues. First, we are “leap frogging” over the existing blockchains under development (where hundreds of millions of dollars have been spent), and moving beyond their known limitations (such as scaling and transactions per second). The aim of the UE Platform is to scale up to thousands of transactions per second, per node and cross communicate with shards which allows us to operate a highly scalable worldwide real-time peer-to-peer system at an economic cost that until now was not possible, while taking revenue directly off the top of each operating GEM and distributing it to the Token holders worldwide in real time.
Non-dilution coin growth
Embedded in this process of token management, is a non-dilution plan from tranche to tranche of new token issues. Each new commitment to build a new manufacturing facility dictates how many new tokens may be added and authorized for circulation as a new token issue. One tranche equals 65M MWH’s per year of energy producing machines that in turn produce electricity to be sold and shared by the token holders. It is done by commitments regarding manufacturing capacity to be built to total electricity output from the plant per year. The first tranche and initial token offering will be limited to One Billion, in return for a commitment to produce energy up to 65M mega-watthours (MWH) per year. Tokens will not be used in pre-launch ICO’s at discounted prices before the Initial Coin Offering ICO.
The UE Platform creates a financial shield around GEM’s and Token holders. The UE Platform (using blockchain 2.0) covers the entire SEG financial structure; it is the only financial access into and out of SEG regarding funding capital growth and revenue. All incoming fiat currency or cryptocurrency will be converted to Tokens resulting in a method that tracks all payments and remittances. In other words, all financial transactions of SEG will be automated within the UE Platform to increase efficiency, transaction speed and disbursement certainty. All SEG units will be tamper proof with computer hardware/software such as Intel SGX and linked to the UE Platform that tracks its output energy, bills the user, sends individual maintenance reports to SEG, and group reports to the UE Platform of its condition (i.e. whether or not there is a need for repairs). Each user will purchase Tokens to keep the SEG on their premises. All transactions will be through the UE Platform as an automated intermediary processor. The gross revenue in the form of Tokens is programmed into the UE Smart Contracts, and in turn is split and dispersed to the correct Token holders' account (wallets). Token demand will grow directly with the growth of the user base and, this will create an energy currency that can be used as a utility or exchanged as a cryptocurrency based on its market value.