SONM token

Virtual currency used for payments in SONM is SONM token.

It is a ERC-20 standard token, based on Ethereum. The token is published both on Ethereum main network and in SONM blockchain. In the latter case the token is called SONM blockchain token. The tokens in both blockchains can be converted between each other at rate 1:1 using Deposit and Withdraw functions on SONM GUI.

Token's purpuse is to be used as a payment carrier for SONM computing power market. Token is designed as an utility token (not a securities) according to Singapore law (SFA, FAA), juridical practice and MAS definitions.

Token usage

Each deal has a price in USD, but all transactions are made in SONM blockchain tokens using current SONM token rates on major cryptocurrency exchanges (Binance, Okex and others).

When the Customer creates a BID order, some tokens are prepaid for the future deal and are transferred to SONM Market:

• in case of time-bounded (forward) deal 1 day or deal duration is prepaid, the lesser value
• in case of spot deal 1 hour of deal is prepaid.

If the Customer cancelles the order, the tokens are returned him back.

After the deal is settled Worker initiates deal billing and tokens for the deal time already spent are transferred to his Master's account.