# Token utility Creator collectives have 1 million tokens, reflecting earnings from #hashtagged posts, while the platform holds 1 billion SEDC tokens, representing fees and governance. Each #Collective, in its initial deployment, has 1 million crypto-coins therefore each #Collective has a potential resale value of $1 million. The only technical difference between #LivetreeCollective and all other #Collectives is that the #LivetreeCollective, which represents the entire network, has 1 billion SEDC membership coins. **Fee conversion:** SEDC can be exchanged for platform fees in Glimmer ("GLMR") or stable coin on the Moonbeam blockchain. Collective tokens can be exchanged for the chosen blockchain's native token from the Collective's treasury. This exchange process reduces the total number of SEDC or collective tokens, increasing their rarity and potential value. **Governance:** SEDC governs the network's AI, content recommendations, and more, while creator collective tokens govern earnings from #tagged posts, NFT sales, and data licensing within their collectives. As each #Collective has governance attached and each collective membership coin equates to 1 vote. Fifty-one 51% percent of the total collective’s membership coins passes (“quorum”) a decentralized #Collective proposal. Thus SEDC facilitates the sale of the first 49% of a collective crypto-coins automatically via the underlying smart contracts, this is so collective owners do not need to individually approve potentially 499,000 transactions yet vitally retain control (51%) of the total #Collective’s membership voting crypto-coins. Collective owners can adjust the quorum using the #Collective’s governance. **Payments:** Users of our decentralized AI models, including advertisers, are required to pay with SEDC to access the models. SEDC can be purchased within the app at a starting price of $1 or on-chain. Additionally, SEDC provides users with the ability to convert in-app coins into on-chain membership tokens for any creator collective, simplifying the process without the need for blockchain knowledge. Users can also acquire #Collective membership coins via decentralized buy-in offers which can be accepted by the owner or anyone possessing the #Collective’s coins. Decentralised buy-in offers are made using SEDC or the native token (ETH, GLMR, MOVR, CELO, UNQ, QTZ) the blockchain was minted on.\ \ **Incentive Programs:** As users are rewarded in SEDC, by using the App, they will become an important and active part of #LivetreeCollective economy, rather than the passive participants they are presently treated as with existing platforms. While tokens can be used to acquire other #Collective’s membership coins, governance proposals and voting, there are any number of use cases for the tokens. SEDC may also be rewarded to users currently through three incentive programs: * Mini-Apps, Games & Filters Developer Program: The Livetree app can host AI mini-apps, SEDC rewards mini-app devs for app rank and consumers for usage * Creator Program: Creators earn SEDC based on subscriber count, income, and transactions, while members earn for subscriptions and one-time purchases * Ambassador Program: Rewards Ambassadors with SEDC based on attracting Collectives, Members, and Supporters, with additional bonus' points for leaderboard ranking The tokenomics release 7,145,833 SEDC per month and equal to $1.85m per year. In order to allocate these SEDC a number of points will be allocated to represent 7,145,833 SEDC. The number of points will be allocated according to the program’s objectives set out above. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://livetree.gitbook.io/livetree-whitepaper/business-model/token-utility.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.