An AR or award right is a sort of gift that crown holders can give to bless the lives of others. The intent is to provide an amount of money that is useful if not life changing.

You see VIVA has a Subjective Proof of Work system, kinda like steemit's upvote thingy. Only instead of upvoting content, you upvote people (although you can cite a reason including content if you like.).

Everyone's upvote is worth the same amount of money in dollar terms. Ideally I want to see this around $1.00 but there are a number of factors that go into that value and right now it's looking closer to $0.10

Anyways, just like steemit, VIVA has a place where people hold funds when they're in it for the long haul.

In steemit we call this powering up. In VIVA we call this the VLP or VIVA Liquidity Pool. Unlike steemit, the amount of money you have, has no effect on the dollar value of each of your votes. It just determines how many votes you get each day.

There will be many people who never even bother to vote and many more who will never use their full allotment. Example 100 Crowns would make it so you could upvote once a minute for 24hrs and still not run out of votes.

Because we each have a fixed number of votes and not all of them will be used, rather than let them go to waste. Unused votes are thrown into something we call an "Awards Pool".

Every Crown Holder has the ability to issue an "Award Right" or "AR" to any person, for any reason. This award right, gives the recipient a claim to a chunk of the awards pool, proportional to the total number of ARs they receive as a fraction of the total ARs issued.

So for example, you were given 1 AR and 9 other people were each given 1 AR there would be a total of 10 ARs and when we close the books for the quarter, 1/10th of all the excess, unused votes are awarded to your liquidity pool account and since you are an AR recipient, you can draw that down immediately.

Now the thing to keep in mind. VIVA strives to give a living wage to every participant whether they are a Crown Holder or not. That means that when your VLP is in drawdown or retirement mode, you are given 24 VIVA each day. These are debited from your VLP account and credited to your current account, thus you can think of the VLP as similar to an annuity.

Since we do our level best to make sure that VIVA is always trading at it's proper peg, that means each person who is in retirement mode, receives $5.50 * 24 USD or $132 USD daily to their account. We can't guarantee exactly $5.50 but we can force it to trade within a range by controlling the rate at which new supplies enter the system. So some days it may be worth $5.00 and others it may be worth $6.00 and it's up to you to decide when the time is right for you to cash that out and how. Either way you get your 24 VIVA, the network is built specifically for that function.

What we're trying to do here is to balance Fiscal responsibility with Social Responsibility and I think we strike a nice balance.