Question 1

What is XAI?

Accepted Answer

XAI is the governance token of the Xai network and gaming ecosystem; it does not represent equity in any company. The Xai governance site describes it as a tool through which token holders collectively manage ecosystem decisions via delegation and voting. Xai is an Arbitrum-technology-based Layer 3 ecosystem for independent games; however, being “game-focused” does not mean holding XAI automatically grants game revenue, company dividends, or redemption rights. XAI's core disclosed role is participation in its governance framework.

Question 2

How is Xai voting power calculated and delegated?

Accepted Answer

Xai uses vXAI to calculate governance voting power: vXAI aggregates XAI, esXAI, and staked esXAI held in a wallet. Under the publicly available governance description, the balances of all three categories count toward voting weight, rather than only tradable XAI being included in the calculation. Voting power can be delegated to another wallet address. Delegation allows a representative to vote on the holder's behalf and does not transfer token ownership; if holders participate themselves, they must vote according to the governance process for the relevant proposal.

Question 3

What must a Xai proposal meet to pass and be executed?

Accepted Answer

In the Phase One process described in XIP-1, a proposal first undergoes a 3-day review period, followed by a 7-day voting period; this gives holders time to read the proposal or delegate their voting power. For a proposal to succeed, at least 1% of voting power must participate by voting for, against, or abstaining to reach quorum, and votes in favor must account for 50.01% or more of the voting power of participating votable tokens. If an approved proposal requires on-chain fund operations, it can be executed only after a 3-day timelock; therefore, “submitting a proposal” and “actual on-chain execution” are not the same stage.

Question 4

Does a passed vote necessarily mean immediate implementation, and what powers does the Foundation retain?

Accepted Answer

XIP-1 establishes a framework for progressively transferring governance authority in three phases, rather than immediate full decentralization. Phase One retains substantial decision-making authority for the Foundation, which selects initiatives or policy changes from community discussions to submit to the DAO for consideration. Even when a proposal passes, the Foundation should in principle implement it within a reasonable time; however, its binding effect ceases if the proposal violates applicable law, jeopardizes the ability to maintain XAI's listing, or breaches an agreement that remains in force. The Foundation also retains veto power over proposals it considers infeasible, harmful, or inconsistent with the ecosystem's strategic objectives.

Question 5

What is the difference between XAI and esXAI?

Accepted Answer

XAI is a token that can be used in governance-weight calculations, while esXAI is a token related to network rewards. Both can count toward vXAI, but they differ in liquidity. The staking terms provide that esXAI cannot be traded, transferred, or exchanged. Therefore, receiving esXAI is not equivalent to receiving freely sellable XAI; counting esXAI toward governance weight does not alter the restrictions on its transfer and exchange.

Question 6

Does participating in the network guarantee XAI rewards?

Accepted Answer

Network rewards are distributed as esXAI at set intervals and are not guaranteed returns. Reward outcomes are affected by smart-contract logic, node performance, and network conditions, so participating in a related activity may not produce the expected rewards. The fact that rewards are issued as esXAI rather than tradable XAI means that both eligibility or performance conditions and esXAI's non-tradable, non-transferable, and non-exchangeable restrictions should be considered. Network rules may change as the network evolves, and past or current rules cannot be extrapolated as permanently fixed returns.

Question 7

Do Genesis participant incentives increase XAI's maximum supply?

Accepted Answer

XIP-1 approved minting XAI from the community allocation for Genesis participants and subsequent community and ecosystem incentives; this arrangement uses the existing community allocation rather than increasing the maximum supply. For example, the proposal lists an initial mint of 25 million XAI for Xai Vanguard: Genesis participants and an additional 25 million XAI arrangement for continuously active Genesis participants. Whether tokens can be claimed depends on eligibility specified by the program; applications in the former category require registration on Raijin with a Steam account and ownership of at least one Steam achievement.

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