# MFP Lock ### 1. What is MFP and how is it calculated **MFP (Maximum Fair Price)** is an internal quality score for every server on the Clore.ai network.\ The algorithm considers **all key hardware characteristics**: GPU model and count, PCI Express version and lane width, internet-link speed, CPU model, and many other metrics.\ The more powerful and stable the configuration, the higher the MFP.\ The current upper limit is **65**.
*** ### 2. Why MFP Lock is needed A score alone is not enough-the network must see that the owner **believes in the server** and is willing to back its quality with coins.\ A host therefore **locks** CLORE in MFP Lock, confirming the server's MFP and unlocking access to a share of each block reward. *** ### 3. Reward flows in a block | Income source | Share of emission | Explanation | | --------------- | ----------------- | ------------------------------------------------------- | | **PoH Staking** | 20 % | Users without servers can simply stake their coins here | | **MFP Lock** | 20 % | Split equally: **Tier 1 (10 %)** and **Tier 2 (10 %)** | With a reward of 313 CLORE per block and 1 440 blocks per day, each basket (Tier 1 and Tier 2) receives **45 072 CLORE per day**. *** ### 4. How much must be locked *Base rule: **1 MFP = 1 000 CLORE***. | Tier | Multiplier | Stake range | Example at MFP = 20 | | ---------- | ---------- | --------------- | --------------------------------------- | | **Tier 1** | 1× | ≤ 100 % MFP | ≤ 20 000 CLORE | | **Tier 2** | 4× | 100 - 500 % MFP | up to 80 000 CLORE more (total 100 000) | | **Tier 3** | 2× | 500 - 700 % MFP | up to 40 000 CLORE more (total 140 000) | **Maximum total lock: MFP × 7 000 CLORE** *** ### 5. Daily-reward formula and limits For each basket *k* ∈ {T1, T2}:
#### Rent-price ceiling A server cannot receive from **each** tier more than its daily rental price.\ For a rent of **300 CLORE / day** the maximums are: | Source | Ceiling | | ----------------------- | ------------------- | | MFP Lock Tier 1 | 300 CLORE | | MFP Lock Tier 2 | 300 CLORE | | **Total from MFP Lock** | **600 CLORE / day** | Together with rent, a server rented out for 300 CLORE can earn **up to 900 CLORE per day**. #### Burning surplus Anything above these limits is automatically sent to a burn wallet. *** ### 5.1 Extra fee reduction through MFP Lock In addition to emission rewards, MFP Lock provides a powerful benefit for hosts: **reduction of extra hoster fees** on non-CLORE currency orders. When renters pay with Bitcoin or other non-CLORE currencies, an extra hoster fee (e.g., 15%) is deducted from the host's earnings. By locking CLORE across all three tiers, hosts can **reduce this extra fee to 0%**. #### How the reduction works Each tier contributes proportionally to how full it is: | Tier | Max Reduction | Capacity | | ---------- | ------------- | ----------------- | | **Tier 1** | 30% | MFP × 1 000 CLORE | | **Tier 2** | 30% | MFP × 4 000 CLORE | | **Tier 3** | 40% | MFP × 2 000 CLORE | | **Total** | **100%** | MFP × 7 000 CLORE | **Formula per tier:** ``` tier_reduction = round(fill_ratio × max_reduction_percent) ``` **Combined reduction:** ``` total_reduction = min(100, T1_reduction + T2_reduction + T3_reduction) ``` The reductions are **additive** - when all three tiers are fully locked, the total reduction reaches **100%**, eliminating the extra hoster fee entirely. #### Example Server with MFP = 20, Bitcoin order with 15% extra hoster fee: | Lock State | T1 Reduction | T2 Reduction | T3 Reduction | Total | Extra Fee | | -------------- | ------------ | ------------ | ------------ | ----- | --------- | | Empty | 0% | 0% | 0% | 0% | 15% | | T1 full only | 30% | 0% | 0% | 30% | 10.5% | | T1 + T2 full | 30% | 30% | 0% | 60% | 6% | | All tiers full | 30% | 30% | 40% | 100% | **0%** | | T1 half only | 15% | 0% | 0% | 15% | 12.75% | > **Key insight:** Even partially filling tiers provides proportional benefit. A host with just Tier 1 fully locked already saves 30% on extra fees. #### What fees are NOT affected * **Base marketplace fees** (10% on-demand, 2.5% spot) - these are reduced by [PoH](https://docs.clore.ai/proof-of-holding/overview), not MFP Lock * **Renter extra fees** - only hoster extra fees are reduced * **CLORE currency orders** - CLORE has 0% extra fee, so the reduction has no effect *** ### 6. The "Lock → Unlock" process * **Lock** - The host locks the desired amount; 24 h later the server starts receiving rewards. * **Unlock (per-tier).** Each tier has its own unlock period: | Tier | Unlock Period | What is returned | | ------ | ------------- | ----------------- | | Tier 1 | 7 days | Full Tier 1 stake | | Tier 2 | 14 days | Full Tier 2 stake | | Tier 3 | 28 days | Full Tier 3 stake | When **"Unlock All"** is pressed, each tier's unlock timer starts simultaneously. The funds become available in stages: * **Day 7** — Tier 1 stake returned * **Day 14** — Tier 2 stake returned * **Day 28** — Tier 3 stake returned After each waiting period, the funds are automatically moved back to the system wallet. > **Note:** You can only unlock tiers that have passed their waiting period. For example, if you locked 10 days ago, you can unlock Tier 1 (7 days) but must wait for Tier 2 (14 days) and Tier 3 (28 days). *** ### 7. Reward examples *(all examples use a server rented out for 300 CLORE / day)* | Scenario | T1 pool share | T1 payout | T2 payout | **Total** | **Burned** | | --------------------------------------------------- | ------------- | --------- | --------- | --------- | ------------------------ | | **A.** You are alone, Stake = 65 000 (T1 = 100 %) | 100 % | 300 | 0 | **600** | 45 072 - 300 = 44 772 | | **B.** 100 hosts, each 65 000 | 1 % | 300 (max) | 0 | **600** | 45 072 - 30 000 = 15 072 | | **C.** 99 × 65 000 and you 1 000 | 0.01538 % | 6.93 | 0 | **≈ 307** | pool burns ≈ 15 359 | | **D.** You are alone, Stake = 325 000 (T1 + T2 max) | 100 % | 300 | 300 | **900** | 90 144 | #### Large scenario: **500 servers (MFP = 30), all rented at 300 CLORE / day** * **150** servers - full Tier 1 (30 000 CLORE) * **150** servers - half Tier 1 (15 000 CLORE) * **150** servers - full Tier 1 + half Tier 2 (30 000 + 60 000 CLORE) * **50** servers - full Tier 1 + full Tier 2 (30 000 + 120 000 CLORE) | Group (count) | Stake T1 / server | Stake T2 / server | T1 payout / server | T2 payout / server\* | **Total / server†** | | -------------------- | ----------------- | ----------------- | ------------------ | -------------------- | ------------------- | | Full T1 (150) | 30 000 | - | **106.05** | 0 | **≈ 406** | | Half T1 (150) | 15 000 | - | **53.03** | 0 | **≈ 353** | | Full T1 + ½ T2 (150) | 30 000 | 60 000 | **106.05** | **180.29** | **≈ 586** | | Full T1 + T2 (50) | 30 000 | 120 000 | **106.05** | **300.00** | **≈ 706** | \* T2 payouts are capped at 300 CLORE / day.\ † Total = (T1 payout + T2 payout + rent 300 CLORE). **Pool outcomes (45 072 CLORE / day each):** * **Tier 1:** fully distributed - nothing burned. * **Tier 2:** 42 043.2 CLORE paid → **3 028.8 CLORE burned**. Even with 500 servers and strong competition, part of Tier 2 remains unclaimed and is burned daily, maintaining token scarcity and enhancing reward value. > **Tier 3 reminder:** Tier 3 does not earn emission rewards. Its benefit is the extra hoster fee reduction described in Section 5.1. *** ### 8. Dynamic MFP changes If the server configuration changes (GPUs added/removed, CPU swapped, etc.), the score is recalculated: * **MFP rises** → any already-locked free coins automatically fill Tier 1 then Tier 2. * **MFP falls** → excess stake moves to *unused lock balance*. **unused lock balance can be unlocked after 10 days.** *** ### 9. Fund security * **Two-factor authentication.** Always enable 2-FA-it is the first and most important defense layer. * **Cold & hot wallets.** Most assets are stored offline; hot wallets hold only the operational minimum. * **2.5 years incident-free.** The platform has never been hacked; in any force-majeure the company covers user losses. * **Unlock timers.** Even if an attacker initiates a withdrawal, the minimum 7-day period gives the owner time to react. *** ### 10. Why MFP Lock is profitable * **Transparent economics.** Higher hardware quality and higher stake mean a larger share of the pool—no hidden tricks. * **Guaranteed break-even.** A full Tier 1 covers the rental price; a filled Tier 2 doubles that bonus. * **Extra fee elimination.** A fully locked server (all 3 tiers) pays 0% extra hoster fee on non-CLORE orders—making BTC rentals as profitable as CLORE. * **Clear ceiling.** A server rented for 300 CLORE can earn up to **900 CLORE/day** from emissions (T1 + T2 + rent). * **Network self-regulation.** Surplus rewards are burned, sustaining token scarcity and price stability. * **Security.** Per-tier unlock timers (7/14/28 days), 2-FA, and cold storage protect the stake even if an account is compromised. **MFP Lock** is more than a "lock coins" button. It rewards investment in quality hardware, stabilises the network economy, and turns hosting on Clore.ai into a predictable, secure revenue stream. ### **Important information:** If you locked MFP and attempted self-renting (renting your own server from another account):\ • Both accounts are permanently banned. Unban is impossible.\ • All related GPUs (UUID) are blacklisted.\ • All funds on the account are blocked; no refunds will be issued. > 📚 For background on how MFP evolved, see [Understanding Maximum Fair Price (MFP) on the CLORE Blockchain](https://blog.clore.ai/understanding-maximum-fair-price-mfp-on-the-clore-blockchain-the-shift-to-usd/)