The terms and conditions of cashing out your tokens.
Last Updated: January 10, 2024Below are the terms and conditions that govern use of Rec Room Inc.'s Creator Payment Program ("Rules"). These Rules are part of Rec Room Inc.'s Terms of Service, and the term "Rec Room" and "Services" shall have the meaning set out in such Terms. If you do not agree to these Rules, you may not participate in the Creator Payment Program. We reserve the right to modify, amend, or terminate the Creator Payment Program and/or these Rules, add, remove, or modify eligibility requirements, and change the exchange rate or required minimums for an exchange of earned Rec Tokens to U.S. Dollars, at any time and for any reason, our sole discretion. The existence of the Creator Payment Program in no way creates an obligation for us to continue the program in the future, nor does it guarantee that Rec Tokens can be exchanged now or at any future time. We reserve the right to deny a cash out payment to any user that we believe may not have met these Rules.Basic Eligibility CriteriaIf you have a non-Junior account that has been active for at least 30 days, are 18 years of age or older, or 13-17 years of age with a parent or guardian's permission, you may be eligible to exchange earned Rec Tokens for U.S. Dollars at the then current exchange rate set by Rec Room Inc., if, and only if, you meet the following basic eligibility criteria at the time that payments are processed:
You have signed up for an account with our third party payment processing vendor, Tipaliti, met all of their registration and other criteria, and provide all necessary information to set up an account with Tipalti.
You have earned at least 250,000 Rec Tokens from other Rec Room users in exchange for access to your original User Content.
You have a current and active subscription to Rec Room Plus.
A verified email is associated with your Account.
You are in compliance with the Terms and with the Code of Conduct, and have not have been suspended in the last 30 days.
You have not previously requested to exchange earned Rec Tokens for U.S. Dollars at any time either in the prior calendar month.
In addition, you understand and agree that you must meet any other eligibility requirements that we or Tipalti or our then current third party vendors may establish from time to time in our sole discretion.Minimum and Maximum Earned Rec Token Exchange AmountsAs of the date of the last update of these Rules, Rec Room Inc. will require exchange requests to occur in 250,000 Rec Token increments, with a maximum of 250 million Rec Tokens per transaction, and only one requested exchange per month. The exchange rate as of the date of these Rules is $150 U.S. Dollars per 250,000 Rec Tokens. Rec Room Inc. reserves the right to alter or amend the foregoing at any time, in its sole discretion, without posting a subsequent update to these Rules. Upon your submission of an exchange request, the balance of Rec Tokens submitted for exchange will be deducted from your account pending the approval and processing of such exchange. In the event your exchange request is denied, or is otherwise unable to be completed, such submitted balance of Rec Tokens will be restored to your account. Based on your Account information and status, on the requirements described in these Rules, and by applicable laws, Rec Room Inc. will make a final determination in its sole discretion as to whether you are eligible to exchange a given increment of earned Rec Tokens for U.S. Dollars.Initiating an exchange request does not guarantee that you will be able to exchange your earned Rec Tokens for U.S. Dollars. Only we have the authority and discretion to determine if you are eligible to participate in the program or if a specific request will be honored. In addition, our third party payment vendor will have requirements that you must meet to their satisfaction.Taxes, Fees and Tax ReportingPrior to any U.S. Dollar cash out payments for Rec Tokens being completed, you will be required to provide or file any information or documentation required by any service provider appointed by Rec Room Inc. to process cash out payments, which will generally include an IRS form W-9, among other things. Cash out payments will be reported to the IRS and to you using a form 1099.Transaction fees may be assessed on each payment (which will be deducted from any amounts that would otherwise be owed to you hereunder) by Rec Room Inc. and/or any service provider we engage to assist in administering the Creator Payment Program.You are responsible for any taxes that may be owed due to an exchange of earned Rec Tokens for U.S. Dollars. We consider any such exchanges to be payments for services you have provided. You are responsible for ensuring that all payments received, if any, are reported to the proper taxing authorities. Rec Room Inc. shall bear no responsibility for withholding or paying the tax obligations of any user, nor shall Rec Room Inc. be held liable for any failure by a user to timely pay any tax obligations arising from participation in the Creator Payment Program.