Executive Summary
- DIODE sells PC games where the license is represented as an NFT held in the user’s wallet.
- Ownership is transferable: selling/transferring the license transfers the right to play.
- The marketplace supports pre-owned resale with configurable publisher controls (time lock, floor pricing, royalties).
- Developers participate in resale economics instead of losing all downstream value.
- Transactions are designed to be atomic: payment + license transfer settle together.
- DIODE is built to feel like a normal store + library, with wallet-based identity in the background.
What changes vs traditional stores?
Traditional stores sell a non-transferable entitlement. DIODE turns the purchase into a transferable license asset, enabling legal-style secondary market behavior with programmable controls.
The Problem
Digital purchases don’t behave like property
Players pay full price but can’t resell. Value collapses to zero the moment the game is finished.
Developers don’t capture secondary-market value
In physical markets, resales expand reach. In digital markets, resales are either blocked or unmanaged — and developers see none of it.
Platform fees are structurally high
Legacy platforms standardize around high take rates, reducing developer upside and limiting experimentation with alternative models.
The Solution
License NFT
Each purchase mints a license NFT to the buyer’s wallet. The app checks ownership at launch; transferring the NFT transfers the right to play.
Business Model & Economics
Primary sales
DIODE earns a platform fee on new sales (exact rate varies by publisher agreement). Developers receive the remainder.
Primary Sale Split (Illustrative)
| Game price | $60.00 |
| Platform fee | (publisher-specific) |
| Developer net | remainder |
Resale fees (pre-owned)
Total resale fee is 10%, split evenly: 5% to the developer and 5% to the platform.
Resale Example (Exact)
| Resale price | $30.00 |
| Developer royalty (5%) | $1.50 |
| Platform fee (5%) | $1.50 |
| Seller receives | $27.00 |
This is automated at settlement — no manual payout process.
Why this matters
- Players recover value → higher willingness to buy
- Developers earn on secondary flow → aligns incentives
- Platform captures marketplace volume without predatory primary fees
Publisher Controls
Resale is not “anything goes.” DIODE supports configurable constraints to reduce cannibalization while preserving ownership utility.
| Resale toggle | Enable / disable resale per title |
| Time lock | Disable resale for the first X days after purchase (e.g., 90 days) |
| Floor price | Require minimum resale price as % of current new price (e.g., 50%) |
| Royalty | Fixed % on resale (here: total 10% split 5%/5%) |
| Future extension | Per-region rules (if required) |
System Architecture
- Wallet address is the account identifier
- Ownership, listings, and history are tied to the wallet
- NFTs represent licenses
- Ownership changes are on-chain
- Listings represent intent to sell
- Purchase performs payment + license transfer atomically
- App checks ownership at runtime
- Library state is derived from current ownership
Roadmap
Risks & Mitigations
FAQ
Read the full technical design
The PDF contains the complete specification and rationale.