# Ecosystem Rewards Model
### Fostering Stability: Utilizing Profits for Stable Growth
Leveraging the taxes on NOX trading for foundational funding in an ecosystem capable of generating its own profits allows proceeds from Noxstarter and Nox Vegas to be repurposed for enhancing token holder benefits. Nox Vegas will utilize a fair house edge in chance-based games, generating profits in all supported currencies, including NOX. Meanwhile, Noxstarter charges a fee to projects as a percent of the funds raised.
Adhering to the underlying principle of avoiding any contribution to selling pressure from the project, all NOX profits generated are directly allocated to the Ecosystem Rewards. 10% of the non-NOX profits generated by Nox Vegas is reserved for the continuous development of new games, thereby providing growing utility for NOX and expanding the platform's profit-generating capabilities.
The remaining 90% of non-NOX profits from Nox Vegas, along with 100% from the Noxstarter, are utilized for Ecosystem Rewards. To maximize the benefits to token holders, half of these profits are converted into NOX before being added to the Ecosystem Rewards pool. This conversion prioritizes the use of NOX accumulated from the transfer tax, mitigating any potential selling pressure. Excess profits are then used to purchase NOX on the open market, creating a dynamic of continuous buying pressure, directly proportional to the project’s success and growth.
This innovative design enables ecosystem rewards to be paid out in both NOX and ETH on Arbitrum. It allows stakers to realize profits through the sale of ETH rewards while reinforcing their NOX holdings through the compounding of rewards, all without incurring transaction tax. While some may choose to sell their NOX rewards, the sell tax collected on these transactions will provide funds for development and marketing, further contributing to the ecosystem's growth and adding value for long-term token holders.
{% hint style="info" %}
Equinox reserves the right to use ecosystem's profits in other means, especially within the initial launch phases, where these funds can be used to further accelerate the ecosystem's growth and secure high quality projects for Noxstarter.
{% endhint %}
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