Core Concepts

Welcome to CryptoTrophy, where you can easily launch a branded points program to engage and reward your users. This section explains the building blocks of your organization’s program.

Organization

An Organization is any company, business, or community that participates in our platform. As an organization, you have full control over your loyalty program — including token issuance, challenges, and rewards.

⚠️ Important: Not even CryptoTrophy administrators can modify or access your organization’s configuration or tokens. This guarantees full autonomy and ownership, but also means that securing your admin account credentials is critical. If access is lost or compromised, it cannot be recovered by CryptoTrophy.

Tokens (Points)

Each organization creates their own custom Token. Tokens represent points that users can earn by participating in challenges and spend on rewards.

• Your token can function as simple digital points or be backed by ETH to give it real-world value.
• Tokens are issued as industry-standard ERC20 tokens.

Organization tokens on our platform have the following characteristics:

• Mintable: New tokens can be created (minted) even after the initial deployment.
• Backed (Optional): A backed token is guaranteed by a reserve of ETH. The backing establishes a fixed relationship between the amount of tokens minted and the ETH deposited.
• Transferable: Tokens can be freely transferred between accounts. This standard ERC-20 feature allows users to move tokens within the network without restrictions.

Challenges

A Challenge is a fun competition or activity you design to engage your users. By completing challenges, users earn your organization’s tokens.

• Challenges can be as simple as “Make a purchase” or as creative as “Share a photo with our product.”
• You define the rules, rewards, and expiration dates.

A core part of the challenge system is validation — verifying whether a user has actually completed the challenge and is eligible for a reward.

Every challenge must include a validator, which confirms the user’s eligibility. By default, we support two types of validators:

• Secret Code Validators: The user must submit a specific code (e.g., shared in-store or during an event) to claim the reward.
• Off-chain Validators: Connect to your external systems (such as your backend or CRM) to validate claims automatically.

Optionally, your organization can develop its own custom validator contract for full flexibility and control over how challenges are validated.

For more details, see the Validators section.

Users

A User is anyone who participates in your challenges and earns your organization’s tokens — including your customers, fans, or community members.

The process of earning tokens is straightforward:

1. Claim – The user submits a claim to report they’ve completed a challenge.
2. Validation – A validator checks if the user met the requirements.
3. Loot – If the claim is approved, the user receives a reward (called loot), which is a bundle of your tokens.

ℹ️ To participate in challenges and receive loot, users must have a valid blockchain account with enough ETH to cover gas fees. For more information, see the Get Started section.

Once users earn tokens, they can redeem them for rewards or exchange them for ETH — depending on how your organization has configured its program.

Rewards & Prize Catalog

The Prize Catalog is your organization’s digital storefront for rewards—real-world products or services that users can obtain by exchanging their tokens.

Organizations have full flexibility to decide how tokens can be used. You can offer access to services, discounts, merchandise, exclusive experiences, or anything else that fits your goals.

To make things simple, our platform provides a built-in Prize Center. With it, you can:

• List rewards with images, descriptions, and the required token amount.
• Set and update the exchange rate for each reward at any time.
• Manage available stock with just a few clicks.
• Present all rewards to users in a clear, user-friendly interface.

In the Prize Center, users can browse your available rewards and instantly see how many tokens they need to redeem each one.

When a user redeems a reward, they receive a Reward NFT—a unique digital certificate proving their claim to the prize. The user can present this NFT at your store or service center to receive the real-world prod

Exchange

The Exchange is where users can swap their tokens for ETH or tokens from other organizations (optional feature).

If a token is backed by ETH, users can redeem their tokens for a proportional amount of ETH held in the contract. The exchange rate is dynamically calculated based on the following:

• Total supply: The total number of tokens currently in circulation.
• Remaining ETH backing: The amount of ETH held in the token contract as collateral.

Each time a user exchanges tokens for ETH, both the total token supply and the ETH balance decrease proportionally. This keeps the exchange rate constant over time.