# Platform Token Economy

Sparkle uses a dual-token mechanism, which contains a platform token (SVT) and a governance token (SMT).

SVT can be used within our app, such as pet NFT upgrades and attribute upgrades. SMT is used for app revenue distribution and in-app activities, premium upgrades, etc.

### Platform Token Economics

Buy NFTs and complete tasks to make SVT

Rent out your own NFTs to make SVT

Rent in others' NFTs and complete tasks to make SVT

Free market trading

### Platform Token Burning

To limit the amount of SVT circulation and build a sustainable economy, our platform will burn SVT by the following ways:&#x20;

1: Pet upgrade costs a certain amount of SVT

2: Pet companionship deadline extension (different extension time requires the number of SVT)

3: Paying in-app fees, buying consumables, participating in platform specific activities

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