Page 10 - Teslacoin Review - Harnessing Energy

committee maintenance fees will be covered by a portion of the revenue

generated from staking TES.

The TES token itself is a utility token which will be used as the primary currency of

the TeslaStarter ecosystem. Investments made toward early investor concepts,

entrepreneurial projects, and later-round established projects, will all be made

using TES, which an investor will have to purchase first. Merchants and

products/projects which result from the TeslaStarter platform will use TES as well,

creating vast and valuable network effects when one considers the $3 trillion

industry Teslacoin is aiming to disrupt.

Consensus is formed on the

Teslacoin block chain using a

proof-of-stake algorithm. Proof of

stake algorithms create a

distributed form of consensus

which is at once more

decentralized than proof of work consensus and many times more energy efficient

since there is no need to create massive mining farms that collectively use as

much energy as some small countries.

Staking TES is done by downloading the Teslacoin Core Wallet and depositing

your TES. After a 24-hour coin maturation period, the coins are stakeable and

earn stakers a yearly interest rate of 7% the amount of their staked TES.