# $NLP Token

## NLP

NLP is the incentive token for NBX protocol, which has the functions of rewards, platform utility and liquidity guidance.

## esNLP

esNLP is non-transferable and can be obtained only by reward for providing liquidity on NBX platform.

### Redeem: esNLP > NLP

esNLP can be converted to NLP anytime through vesting.

The redeem process to convert esNLP to NLP implies vesting, the duration of which is selected by the user. The conversion ratio will increase proportionally with the vesting duration:

<table><thead><tr><th>Redeem</th><th>Min Vesting</th><th width="120">Min Ratio</th><th>Max vesting</th><th>Max Ratio</th></tr></thead><tbody><tr><td>Linear Vesting</td><td>3 days</td><td>0.3</td><td>30 days</td><td>1</td></tr></tbody></table>

## Token Utility

1\) NLP is a reward token.&#x20;

User's staking reward is distributed in two ways; 1) yields in external farming protocol (as base reward) and 2) esNLP token (as boost reward).

2\) Fees from generated in NBX swap dex is distributed to esNLP token holders.

3\) esNLP token holders receive additional launchpad tokens for marketing purpose.&#x20;

4\) esNLP token is used for Bribe function (for more $BYN)

5\) 30% of fees generated in NBX swap dex is used to buyback NLP tokens in the market.

In addition, when NBX internal zk airdrop tokens are distributed to users, the reward volume is calculated based on the amount of esNLP token holdings and its holding period, which incentivizes to retain esNLP tokens generated while using the NBX platform.&#x20;

<figure><img src="/files/c2w1V7wDeVMXg6l7waHX" alt=""><figcaption></figcaption></figure>


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