Boxmining v2

Author: amri

  • Only1 ($LIKE): Solana’s NFT-Powered Social Platform

    Only1 ($LIKE): Solana’s NFT-Powered Social Platform

    Only1 ($LIKE) is the first NFT-powered social platform built on the Solana blockchain. Mixing social media, a non-fungible token (NFT) marketplace, a scalable blockchain, and the native token — $LIKE, Only1 offers fans a unique way of connecting with the creators they love. By using the Only1 platform, fans will have the ability to invest, access, and earn from the limited edition contents created by the world’s largest influencers/celebrities, all powered by NFTs.

    The ultimate goal of Only1 of revamping and innovating social media could have far reaching effects. At a time when major platforms like Facebook have rebranded with an aim at crypto, the power of content creators and users is ever more apparent. Where creators choose to upload content and where users flock to consume plays a major role.

    Issues with Traditional Social Media

    • Unfair Creator Economy

    On centralized social platforms, advertisers pay the platform for user’s attention. On decentralized social platforms, platforms pay users for their attention. Creator economy is the incentivisation structure for user-generated content. Content creators on Youtube are under constant pressure of censorship and demonetisation, while creators on platforms like Instagram and TikTok often have to rely on third parties (affiliate links, merchandise sale, paid shoutouts etc) to generate income. For a lot of the creators, social media is their full time job and their reward should be determined by their content and engagement with their fans.

    • Data Exploitation

    Traditional social media platforms provide end users with free services in exchange for their personal data. As the saying goes, “If you are not paying for the product, you are the product”. According to Clario, major social media apps collect up to 79.5% of personal data from users, including but not limited to name, addresses down to hobbies and interests. Let’s take the example of Facebook (recently renamed as Meta). Facebook with over 2.89 billion monthly active users is the most popular social media worldwide. With an audience base this big, there is no surprise that 98% of Facebook’s revenue is generated through advertising. Since these platforms own and store data in one single place, they can effectively manage and monetize through selling user data to third parties for marketing purposes. End users have no control over who Facebook sells their data to and how these purchasers use their data.

    • Algorithms & Authoritarian Control

    Discovery algorithms are built with parameters to prioritize commercialisation of the corporation and sometimes to serve some political agendas. For example, certain cartoons are banned in some countries for political reasons. China because they resemble a political figure. Also why show you a picture of your friend’s new Samoyed if they can show you a picture of an attractive person that will eventually convert you to buy the advertised into that fitness program advertisement? It is difficult to balance freedom of expression and safety of the community, it is for sure too big a power and responsibility for one corporation. The future of social platforms are looking at becoming decentralized and is community-governed.

    Key Components of a Decentralized Social Platform

    • Fair Creator Economy

    A decentralized finance (DeFi) or SocialFi structure that pays content creators for being active on social media and providing value to the audience, instead of ad companies that pay the platform.

    • Social DAO Governance

    A decentralized autonomous organization (DAO) that regulates community guidelines and platform development balancing safety of the community on the platform, and freedom of expression. Users curate and execute community guidelines and development. Not one single entity can deem specific content inappropriate, and actions are carried out if consensus is reached between the network.

    • Ads & Discovery

    Optimized for users instead of platform, without leaking user data to third parties.

    What is an NFT-Powered Social Platform?

    Instead of solely focusing on NFTs, social NFT platforms allow influencers to create content, share it with their audience, and get rewarded based on engagement. Users can create NFTs and allow their fans to engage, access, and earn through collecting these NFTs. Only1 provides a decentralized NFT-powered social platform for creators and fans to interact.

    What is NFT staking?

    Blockchains depend heavily on their global network of transaction validators who authenticate transactions before the data gets added to a block on a blockchain. These validators (or miners) are decided based on the amount of cryptocurrency they pledge towards the operation of the blockchain network. In return, miners earn rewards in the form of the native cryptocurrency for devoting resources. This model of pledging crypto assets is called the ‘Proof-of-Stake’ model, and the process is called ‘staking’.

    Similarly, you can pledge NFTs to support a project while you earn passive income in terms of rewards or fees for dedicating the asset to a blockchain. Currently, most of the NFT staking opportunities are in play-to-earn (P2E) gaming platforms such as Decentraland, Sandbox, Axie Infinity, among others. All you need to stake is a cryptocurrency wallet with NFTs.

    Over 50 percent of the NFT market is attributable to in-game NFTs, which players can buy using cryptocurrencies. Axie Infinity, for example, has garnered a sales volume of over $2 billion since its launch in 2018.

    However, it is important to note that all NFTs cannot be staked. So you need to check the details before buying the NFT.

    Features: What Makes Only1 Special?

    The Only1 marketplace will consist of several different features that sets it apart from other NFT marketplaces. Some of these features include:

    Creator Genesis NFT

    Genesis NFT Minting

    • A genesis NFT is minted once a creator passes KYC
    • Creators will then be able to mint their own Content NFTs for their fans and receive $LIKE, or native token, as a reward for engagement

    Fans Bid with $LIKE

    • Fans can utilize $LIKE, or native platform token, to bid for a Star NFTs on the Only1 Marketplace

    Genesis NFT Perks

    • Fans will have the ability to stake $LIKE on their favorite influencers profile
    • The Genesis NFT Owner as well as the creator will both earn a split of the staking rewards

    Content NFT Farming

    Creator Post Content

    • Creators have the ability to post exclusive content in form of an NFT
    • Fans bid on Only1 marketplace for NFT using the $LIKE Token
    • When an NFT is purchased a portion of the $LIKE tokens are burned

    Community Unlock

    • Other fans unlock content with $LIKE, receive lottery tickets (weekly lucky draw)

    Creator and Community Earns

    • Tx split between NFT owner and creator

    Why Solana?

    Only1 is built on the Solana blockchain for multiple reasons, including:

    • Solana has a flexible virtual machine which allows programs (known as smart contracts elsewhere) to be written in native languages such as Rust, C, and C++.
    • Solana’s infrastructure provides blazing fast speeds and no memory pool – providing the basis for global adoption of blockchain and/or distributed ledger technologies.
    • A transaction on-chain costs only a fraction of a cent (average of $0.00025 per transaction).

    Solana truly achieves the three desirable qualities of any blockchain: scalability, security, and decentralization. With Solana, users on an NFT-powered social platform such as Only1, can enjoy all the benefits of Web3 at the speed of Web2.

    $LIKE Token Economy

    $LIKE is the native token of Only1 that powers the creator economy within the network. Some of the initial utility for the token include:

    • Bidding – Fans bid for NFTs on Only1 with $LIKE
    • Staking & Governance – Fans stake their $LIKE to earn more over time
    • Reward Pool – $LIKE rewarded to stars as new NFT is minted & resold
    • Donating – Fans can tip $LIKE to their favorite creators

    Conclusion

    Since the invention of the World Wide Web (WWW) by Tim Berners-Lee in 1989, the world has been revolutionized by this technology combining computers, data networks and hypertext.

    The first iteration of the WWW evolution — Web 1.0 is a “read-only” web that enables users to search and consume information. The second iteration, although deemed as a “passing fad” by many, has flourished and brought the adoption of the internet to a whole new level. Web 2.0 as a “read-write” web, has extended its functionality to highlight user-generated content, usability and interoperability for end users.

    As time goes by, many people have grown tired of the data exploitation that major corporations have taken advantage of and wanted to regain control over their data and content. This is where Web3 comes in; the Semantic “read-write-own” Web that revolves around decentralization and token-based economics. Rather than compromising personal data in exchange for free services, users can become participants and shareholders by earning on the blockchain network, which in return allows you to impact decision-making over a network.

    Only1 fully embraces this revolution by proportionally rewarding creators and fans for simply using the platform. The goal is to support and foster the creator economy, not profit off of it. By combining social media, NFTs, DeFi and the native token $LIKE, Only1 offers a Web 3.0 solution to creator economy and fan engagement.

    Follow their media channels for more info:

    Website — https://only1.io/

    Twitter — https://twitter.com/only1nft

    Telegram — https://t.me/only1nft

    Medium — https://only1nft.medium.com/

    Sources:

    https://only1.io/pitch-deck.pdf

    https://only1.gitbook.io/only1/

    https://only1nft.medium.com/welcome-to-only1-the-first-social-nft-platform-built-on-solana-a073827e942a

    https://www.cnbctv18.com/cryptocurrency/explained-how-to-earn-passive-income-via-nft-staking-11960392.htm

    https://morioh.com/p/27ea8c22ad0d

    https://only1nft.medium.com/barriers-for-web-3-0-social-for-the-mainstream-market-fbc12c1cddf3

  • DinoSwap ($DINO) Guide: What is it?

    DinoSwap ($DINO) Guide: What is it?

    What is DinoSwap?

    DinoSwap ($DINO) is a decentralized exchange (DEX) Polygon network-based cross-chain protocol that rivals the likes of PancakeSwap and other automated market makers. Launched on 17 July 2021, the DEX allows users to use the DINO token to earn various tokens of projects operating on top of Polygon. 

    Some of the top investors of DinoSwap include DeFinance, Hashed, Spartan Group, DFG, and co-founder of Polygon Sandeep Nailwal. 

    DinoSwap’s goal is to allow users from any blockchains to benefit from increased liquidity by tapping into tethered liquidity from multiple other blockchains, thereby becoming a centralised hub for cross-chain liquidity. This can be done by building liquidity for layer one blockchains, AMMs (Automated Market Makers), and partnering projects.

    The first blockchain that DinoSwap has started with is Polygon due to its high liquid environment and extremely low transaction cost. By leveraging the strength of Polygon, DinoSwap is then able to help crypto projects boost their token liquidity. 

    How does DinoSwap work?

    DinoSwap $DINO

    Currently, DinoSwap offers three products:

    DinoSwap Exchange

    The main focus of DinoSwap, it is a DEX that does not have its own Automated Market Maker (AMM) and instead interfaces directly with third-party liquidity pools of the top DEXs on Polygon. On DinoSwap, users can exchange ERC20 tokens, and one of the features that make DinoSwap unique is that it does not charge any additional fees on exchanges. 

    Yield Farming (aka DinoSwap Fossil Farms)

    Following the dinosaur theme, DinoSwap’s Fossil Farms are where users can earn DINO by staking their LP tokens from SushiSwap, QuickSwap and Dfyn.

    Staking

    Jurassic Pools

    This is a non-burn pool where users can stake their DINO and earn more tokens from partnering projects. In addition, users can still withdraw or deposit DINO without any additional fees, time-locks, or burns. (www.stellardental.my)

    Extinction Pools

    Extinction Pools are burn pools where deposited DINO is burned when all rewards are distributed. Users can stake their DINO tokens in order to earn more tokens from other partners over a period of time.These allow projects to issue tokens to a global community of Degen Dinos which increases wallet holder count, boosts awareness of the project, and bootstraps initial market liquidity. Participating projects are announced through the official DinoSwap social media platforms and receive cross promotional benefits, and these projects will also populate on the default list of DinoSwap tokens without having to search for the contract address. 

    Tar Pits

    Users can stake DINO in the Tar Pit to earn more DINO tokens. Entering these pools requires an adjustable time lock on staked DINO, but longer lock-ups mean increased rewards.

    DINO token utility

    DINO token is the native token of DinoSwap in ERC – 20 standard and is used to get other tokens from projects partnering with DinoSwap. DINO token has no hard cap but has a burning mechanism to deter inflation and ensure the healthy development of the ecosystem. 

    The DINO token at this time has two different uses: DINO is currently used to farm yDINO, a governance token which will be part of a complete ecosystem, by staking DINO and BNB on Tenet. DINO provides passive income to its users and holders through the 1% redistribution applied from every transaction Note: It will be used in the near future as the central currency used in this ecosystem currently in development, where artists and collectors can buy and sell digital art goods using DINO Token.

    DINO Token Distribution

    65 million DINO tokens were distributed at launch as follows:

    • 65% – Farming Rewards (Fair launch).
    • 5.6% – Treasury.
    • 14.4% – Team (vested over 12 months, linearly, on a per-block basis).
    • 15% – Investors and Advisors (vested over 12 months, linearly, on a per-block basis)

    After the first 65 million DINO have hatched, new tokens will be created on-demand. For every 10 DINO created, one extra DINO will be allotted to the DinoSwap Treasury to support further protocol growth initiatives.

    Trading on DinoSwap

    Trading on DinoSwap is simple:

    1.  Navigate to the DinoSwap exchange here
    Dinoswap exchange
    Dinoswap exchange
    1. Unlock your Polygon Wallet, click connect, and choose the wallet provider of your choice
    Dinoswap Polygon wallet
    Dinoswap Polygon wallet
    1. Select the tokens you wish to swap and enter the amount (make sure you have MATIC in your wallet to push the transaction through) .
    Dinoswap and MATIC
    Dinoswap and MATIC
    1.  Check the details, and click “Swap”.
    Dinoswap finalize
    Dinoswap finalize
    1. Check the details again and click “Confirm Swap”.
    Dinoswap confirmation page
    Dinoswap confirmation page
    1. Confirm the transaction in your wallet.
    2. The swap is complete and you can click view on maticvigil to see your transaction details

    Yield Farming on DinoSwap

    This function allows users to stake DINO in order to earn even more rewards after a period of time. There are two parts to this process:

    Providing Liquidity

    Every Fossil Farm needs a specific LP Token that can be acquired by providing liquidity for the appropriate pair. The following steps will prepare you to start excavating in your favorite Fossil Farm.

    1. Go to the Fossil Farms page.
    Dinoswap Fossil Farms
    Dinoswap Fossil Farms
    1. Click on your favorite Fossil Farm.
    2. Click on the “Get LP” link on the left side.
    Dinoswap Get LP
    Dinoswap Get LP
    1. Follow the instructions to get LP tokens on either SushiSwap, Quickswap or Dfyn.

    Entering a Fossil Farm

    Now that you have your LP Tokens ready, it is time to put them at work and start excavating.

    1. Go back to the Fossil Farms page.
    2. Unlock your Wallet via the “Unlock Wallet” button or the “Connect” button (top right).
    Fossil Farm Unlock Wallet
    Fossil Farm Unlock Wallet
    1. Make sure your wallet is on the “Matic Mainnet” network.
    2.  Click on the Fossil Farm you want to excavate.
    3.  Click the “Enable” button.
    Fossil Farm MATIC Mainnet
    Fossil Farm MATIC Mainnet
    1.  Your wallet will ask you to confirm the transaction.
    Fossil Farm confirm transaction
    Fossil Farm confirm transaction
    1.  Click the “Stake LP” button.
    2.  Enter your desired amount of LP Tokens and click the “Confirm” button.
    3.  DONE! You are now farming DINO.

    Adding or removing LP Tokens

    At any time, you can decide to leave the Fossil Farm or add more LP Tokens to it.

    1. Return to the Fossil Farms page.
    2. Click the “Staked only” toggle to see the pairs you have LP Tokens in.
    3. Choose a Fossil Farm you have LP Token in and click on it.
    4. Click on the “+” or the “-“ button to add or remove LP Tokens.
    5. Enter the amount you would like to add or remove.
    6. Verify your information and click the “Confirm” button.
    7. After a short wait you should see your new balance in the details section of the LP Token pair. If you have unstaked your LP Tokens, any unclaimed rewards will automatically have been collected.

    Conclusion

    DinoSwap ran a highly successful fundraising campaign before its launch and is even backed by the co-founder of Polygon himself, indicating a large amount of confidence in the project. The DEX has also successfully completed three Certik smart contract audits and has received a “low risk” rating from the Rug Doctor. DinoSwap is already the 7th most popular dApp on Polygon in less than 2 weeks from its official launch.

    With DinoSwap’s mission of increased liquidity for cryptocurrency exchange, this DEX is one to keep an eye on and has huge potential to change the crypto exchange game.

  • Metaversal Truths: A Look Into holoride and Its Foray Into Cryptocurrency

    Metaversal Truths: A Look Into holoride and Its Foray Into Cryptocurrency

    Originally an initiative by the Autonomous Driving and Digital Business units in Audi to provide VR-like entertainment for passengers in cars in 2015, holoride had since spun off into its own in-car entertainment start-up in 2019. Their brand-new take on environmentally adaptive VR experiences, demonstrated in a moving car, made its debut at the famous Consumer Electronics Show of January that year.

    Their inspiration comes from a huge market for in-car entertainment, which traditionally is focused only on the drivers’ experience in the form of audio media, such as music and podcasts. Anything more would be patently dangerous. There were occasionally allowances for AV devices built into dashboards and seats, but with the advent of mobile devices, the need for such in-built gadgets has become somewhat passé, and the focus is oriented ideally towards social interaction within the vehicle itself. 

    However, with the presence of ride-shares, public transport and even autonomous vehicles, the core philosophies behind the in-car entertainment market will need to evolve, there will come a greater need for distraction from the boring commute or the monotonous long-distance highway trip. What’s more, some might not be able to read, watch or play media while in a moving vehicle due to the onset of carsickness. 

    Holoride virtual reality
    Holoride virtual reality

    What is Holoride ($RIDE)?

    Holoride aims to ‘turn vehicles into moving theme parks’ by combining the immersive technologies of Virtual Reality with the situational adaptability of Augmented Reality, users can experience what Co-founder and CEO of holoride Nils Wollny describes a ‘blended’ experience that moves and adapts according to the forces and movement of the vehicle, as well as terrain, weather and landmark data pulled from online maps. What the viewer experiences are then sights and sounds unique to every ride. It creates what it calls ‘elastic entertainment’ via Extended Reality.

    Holoride has now brought the capabilities of the Elrond blockchain to add even more value to its potential to entertain, enthrall and elate. It seeks to use the Elrond network to ensure the integrity and transparency of usage data, a potential fair usage-time-based compensation model for all ecosystem partners, increased security and compliance with automotive standards as well as improved experience quality and personalization and rewards. Elrond’s main selling point for holoride is that compared to the Ethereum blockchain, it’s infrastructure eliminates computational waste, and therefore reduces, “gas prices” or computational energy expenditure and costs.  

    holorider
    Holorider

    What is $RIDE?

    And with the Elrond blockchain comes RIDE – holoride’s token released December 2021. RIDE forms the transactional basis of its NFT (non-fungible token)-based content ecosystem on Elrond. RIDE is designed to provide incentives for using holoride by providing additional benefits and enhanced user engagement. As Wollny stated in a press statement: 

    “As we look to expand across global markets, blockchain technology and NFTs help us scale while securing the integrity of our developer-centric and car manufacturer-agnostic approach.” 

    Holoride seeks to use RIDE to build a sustainable economy on its ecosystem, allowing manufacturers, content creators, brands and passengers to trade transparently with each other and participate in the governance of the holoride platform and its content.

    As mentioned in its Litepaper, holoride seeks to use similar content strategies to the rest of the gaming industry. RIDE token holders will be able to purchase user subscriptions, digital items, upgrades, customisations and brand placements from holoride at a discount from their non-crypto price as well as access to special events and early access to content and rare collectables. 

    holoride platform
    Holoride platform

    Holoride also says that content creators will be able to mint unique NFTs based on their experiences, which can then be traded within the network’s marketplace. Fundamentally, this creates a token out of the social trading aspect of holoride’s experiences. Essentially, it makes RIDE a form of literal social currency. 

    “As players get more involved, these purchases generate additional revenue. In addition, unique in-game currencies are often created for these purchases to add value through enhanced functionalities, enable a universally and globally accepted in-game payment standard, or enable special discounts if players pre-purchase a specific credit – just to name a few.

    The Litepaper goes on to say that holoride’s mission “is to make transit time more valuable for everyone. Through NFTs, we envision the highest level of personalization for users while offering a one-of-a-kind XR experience with compelling monetisation opportunities for our partners.”

    Content creators and car manufacturers could also possibly receive RIDE as part of user engagement with NFTs via transaction fees. For example, in their Litepaper, a 5% split might be equally done between the original content creator, the car manufacturer the NFT was minted on and holoride itself. Holoride can also ensure via Elrond that balances can also be settled by burning RIDE and paying out the partners with Fiat currency.

    Finally, a certain percentage of holoride’s income from revenue, Fiat purchases, smart contract royalties and many more will be used each month to purchase RIDE tokens from the open market and deposit them in the holoride treasury to fund the sustainable development of the ecosystem via grants and other incentives.

    holoride experience
    Holoride experience

    According to TechCrunch, Ride is currently being sold on Elrond’s Maiar Launchpad, currently the only way to get it. Holoride will initially circulate 130 million tokens, and there is a max supply of 1 billion. Two hundred million tokens were sold at $0.02 at a private sale to raise funds and another 50 million were sold publicly before the launch of the crypto, which constitutes only 5% of the total RIDE tokens. Still, this would have brought holoride US million. (https://experience.afrotech.com/)  

    To learn more about Maiar Exchange ($MEX) and how to use it, check out our tutorial.

    The rest are reserved for members of the Ecosystem – developers, content creators, automotive manufacturers, mobility providers, operational supporters, or advisors and ambassadors, etc; the Community – early contributors to the project; a Treasury – for unexpected issues and finally the Team – who are holoride workers themselves. 

    holoride universe
    Holoride universe

    Holoride’s technology is still some time away from launch, ostensibly within 2022. Even so, it’ll require a huge amount of capital locked in to sustain its rather expansive application of the Elrond blockchain to make business sense. 

    But whatever the outcome, valuable lessons might be learnt from how it combines decentralised, socially-motivated commerce with their take on the metaverse. Wollny is optimistic about how holoride can enable its users to create value out of it. As he tells TechCrunch:

    “Now that everyone is all over the metaverse, cryptocurrencies and NFTs, the puzzle pieces might fit a little better. However, many things are still unsolved and the best is yet to come.”

    REFERENCES: 

    Holoride Official Website. Get Ride. (https://www.holoride.com/ride-token)

    Holoride Litepaper. Adding Thrill To Every Ride. (https://a.storyblok.com/f/113424/x/334861532d/holoride_litepaper_v2-1_nov21.pdf)

    Bobby Carlton. 24 May 2021. VRScout. In-Car XR Platform ‘Holoride’ Announces Blockchain Ecosystem. (https://vrscout.com/news/holoride-announces-blockchain-ecosystem/)

    Rebecca Bellan. 30 Nov 2021. TechCrunch+. Holoride debuts Ride crypto, the currency of its in-car metaverse. (https://techcrunch.com/2021/11/30/holoride-debuts-ride-crypto-the-currency-of-its-in-car-metaverse/)

    Rebecca Bellan. 20 May 2021. TechCrunch+. Holoride deploys Elrond blockchain and NFTs in prep for 2022 market launch. (https://techcrunch.com/2021/05/20/holoride-deploys-elrond-blockchain-and-nfts-in-prep-for-2022-market-launch/)

    Hashoshi. 8 Nov 2021. YouTube. holoride is bringing in-car entertainment to the metaverse! (1st Elrond Launchpad Project!) (https://www.youtube.com/watch?v=HMk9YcRAnn8)

    Anifowoshe Ibrahim. May 2021. Bitcoinist. Holoride To Integrate NFTs and Blockchain For Its In-Vehicle Entertainment Experience (https://bitcoinist.com/holoride-to-integrate-nfts-and-blockchain-for-its-in-vehicle-entertainment-experience/)

    Jon Joehnig. 21 June 2021. Holoride Talks Convergence, Content Creators, NFTs, and 5G. (https://arpost.co/2021/06/21/holoride-convergence-content-creators-nfts-5g/)

    FAQ

    What is holoride?

    holoride is a VR-entertainment start-up firm that has created a VR platform that creates experiences  combining Augmented Reality tech and is able to change and adapt along with the passenger’s ride or commute, how the vehicle moves and available terrain and weather data. The visuals moving with the vehicle’s forces actually reduces the usual motion sickness associated with VR

    What does a VR company need blockchain and cryptocurrencies for?

    platform through the sale of extra content and upgrades. But it also wants transparency and for content creators to make, share and be compensated for content for the holoride platform too. So allowing itself and others to create NFTs and trading them using its online RIDE tokens is a fairly reasonable way to create a socially-driven, traceable economy around online content. 

    Where can RIDE tokens be bought?

    Via the Elrond blockchain’s Maiar platform. It currently accepts stablecoins. There will be a maximum supply of a billion tokens. 250 millions have already been sold, and 130 million more will be sold again in the near future. Learn how to use Maiar Exchange with our tutorial- Maiar Exchange Tutorial ($MEX)- Guide to Elronds’ ($EGLD) official DEX.

  • Scaleswap: Next Gen Decentralized IDO Launchpad

    Scaleswap: Next Gen Decentralized IDO Launchpad

    Scaleswap is a fully decentralized IDO (Initial DEX Offering) launchpad that aims to make fundraising and scale trading easier. 

    Harnessing the power of an advanced layer 2 blockchain scaling protocol, Scaleswap already boasts investments from several top tier venture capitalist firms such as Spark Digital Capital and Magnus Capital. The new platform is described as the most advanced way to invest with new and unique features, making investing in pools easier and more transparent. 

    What is an Initial DEX Offering (IDO)?

    An Initial DEX Offering (IDO) is a type of decentralized and permissionless crowdfunding platform, which is opening up a new way of fundraising in the crypto space. If a project is launching an IDO, it means the project is launching a coin or token via a decentralized liquidity exchange or IDO platform. Traders can swap between different crypto assets and stablecoins based on market conditions. IDO platforms enable companies to launch a token and access immediate liquidity.

    Fundraising is a vital part of early project development – teams need to pay their workers and afford partnerships or new technologies. In the real world, this is done through public stock offerings that invite investors to buy shares of a company. That money goes toward employees who develop the business and increase share values.

    This fundraising method has carried over into crypto, with tokens taking the place of stocks. Each project offers a set amount of tokens, broken up into different avenues like team payments, public use, and more.

    Scaleswap’s IDO Launchpad

    Scaleswap is a community-driven IDO launchpad focused on transparency with a long-term vision to transform the current IDO approach to a more sustainable, less market-dependent system that honors loyalty. It deploys an Ethereum layer 2 scaling protocol powered by Polygon that allows users to enjoy low fees and convenience.

    What makes Scaleswap different from other launchpads?

    1. ScaleSCORE

    One of Scaleswap’s major differentiators is that they shift from pure lotteries and valuing only the amount of tokens that are held to a multi-dimensional loyalty scoring system where users can earn guaranteed participation in pools over time. In contrast to their competitors, holding $SCA tokens is only one of six dimensions that are used to measure loyalty and participation. And not all criteria are $SCA token related. The system was designed to ensure that the most committed supporters of their mission are always rewarded (rather than simply favoring those with the biggest budgets).

    ScaleSCORE will be the core element of the platform and the deciding factor for unlocking all of the wonderful benefits in the Scaleswap ecosystem — private pool participation, advanced platform features (ie. autopilot participation feature), determining voting power in their DAO, being considered in weighted airdrops from partners, and more.

    1. Transparency

    The team knew that most IDO launchpads are not known for its fairness and transparency. As such, Scaleswap aims to change that in a major way by setting new standards in fairness, transparency and a fully community-governed launchpad (in a DAO that is legally backed by a foundation).

    1. Advanced Technology & Seamless UX

    The Scaleswap platform makes use of the most advanced technical solutions, while simultaneously providing a state-of-the-art user experience that eliminates many of the common barriers to entry that DeFi users face. There will be no more getting priced out of network usage by the larger players. Scaleswap provides everyone with truly open access to an affordable, user-friendly, and fair IDO experience to support the successful launch of innovative blockchain-based projects.

    1. Ethereum Layer 2 Scaling

    Scaleswap is powered by Polygon’s Ethereum layer 2 solution, fully customized with unique features to deliver IDO participants with lower fees, instant execution of transactions, and a drastically improved DeFi experience. Polygon, backed by Coinbase and Binance, is the leading Layer 2 Aggregator for Ethereum and is providing Scaleswap with full technical and marketing support. The team also actively researches and follows the development progress on additional cutting-edge scaling solutions and further protocols for possible future integrations.

    1. Security

    The Scaleswap tech team is led by co-founder Stanislav Stolberg, who has an extensive background in information security, and places the strongest possible emphasis in that area. They use a security by design development approach and utilize several high-level external consultants who permanently review the code and the infrastructure.

    Hacken, a premiere cybersecurity company and leader in the blockchain security sector, completed a code review and security analysis of Scaleswap’s Smart Contracts. Hacken assigned their smart contracts with the highest possible rating of “well-secured”, having uncovered zero critical issues. Their full findings can be viewed here.

    You can also learn more about Hacken here.

    1. Cross Chain Integration

    The team has positioned themselves as an Ethereum Layer 2 Platform, but they will indeed integrate vital multi-chain/ bridge opportunities in the future, thus enabling users to participate across multiple blockchain ecosystems. Scaleswap has already integrated with BSC and Fantom. Potential candidates for future integration include Solana, Avalanche, Polkadot, and CasperLabs.

    1. Strong Infrastructure for Deal Flow

    Scaleswap has been diligent in assembling an elite backing of strategic partners to ensure a strong network (for Scaleswap as well as their launch partners), CEX listings, influencers, and most importantly, deal flow. In order to disrupt the current system and establish a more fair and sustainable approach, it was imperative to carefully select the best fitting partners who could provide the strongest networks and highest value-adds to ensure consistent deal flow of the highest quality projects.

    Scaleswap’s IDO Process

    Scaleswap’s IDO consists of 2 pools-  a public sale pool and a private pool. The private pool is only for their loyal members who have a certain amount of scaleSCORE. To gain access in the private pool, you need to have yourself ranked within the top few hundreds of the scaleSCORE ranking. The team will investigate the blockchain to calculate and rank each of the whitelisted participants using their scaleSCORE metrics. An excel sheet for the rankings will be published a few hours before the IDO starts. The top few hundreds will have a guaranteed place in the IDO but they will need to participate in the IDO within the first 15 minutes of the sale, or the spot will be given to the next 50 rankers.

    $SCA Token

    $SCA is the native ERC-20 token of Scaleswap. It is a pure utility token that will enable and empower a multitude of use cases.

    1. Pool Participation 

    $SCA token holders will obtain allocation in pools based on their ScaleSCORE. Achieving a high enough score will guarantee max allocation in all preferred pools.

    1. Governance

    $SCA token holders will build the governance organization within the ScaleDAO, which is planned to be built on the latest layer 2 DAO platform of MetisDAO. Voting power in the DAO will be weighted based on ScaleSCORE.

    1. Platform Fees & Token Burns

    Scaleswap pool fees are required to be paid in the native $SCA token and will subsequently be burned after the utility is used up. This is an organic way of burning tokens similar to consuming a voucher and stays within the framework of a real utility token. Therefore, it is easier to avoid any additional “buy-back and burn” activities.

    1. Airdrops

    Airdrops have always been a popular way for projects to accelerate early growth. Airdropping to $SCA token holders takes all of the guesswork out of the equation since distributions are weighted by ScaleSCORE. This ensures two things: the most loyal community members are always rewarded, and the project airdropping tokens is onboarding the most proven and strongest of supporters.

    Potential for Growth

    Polygon has grown massively in late 2021, with more daily active users than the Ethereum network for the first time. This would mean greater potential for $SCA as user growth would attract more protocols to launch on Matic and work with launchpads such as Scaleswap.

    Scaleswap has recently entered a partnership with Nasdaq listed firm, WISeKey International Holding Ltd, to successfully launch the NFT platform, WISe.Art. The NFT platform and technology stack allows tokenization of digital and physical assets in the form of NFTs with platform governance and utility managed by WISeKey’s own TrusteCoin utility token (TEC DAO Token).

    Scaleswap will also become the first market player to implement wrapped NFT technology in their new product: multi-chain wNFT pre-IDO Launchpad. 

    At the same time, Scaleswap is working on integrating crucial multi-chain or bridge opportunities in the future, allowing the community to engage in different blockchain ecosystems which will expand their reach beyond the Polygon ecosystem. Scaleswap is consistently working on building behind the scenes with their partnerships and technology integration, promising a lot of potential growth to come.

    Conclusion

    The IDO landscape is riddled with unsustainable motives, non-transparency, exploitation of community members, and pure luck-based lottery mechanisms. Being able to participate in IDO launches is strongly budget-driven, often mirrored in tier structures — with one basic principle: The more of the native token you hold/stake, the more rights you have.

    Scaleswap is the first truly fair IDO launchpad, focused on transparency and a long-term vision to transform IDOs into a more sustainable, market-independent, and community-driven launch strategy where fair treatment and remuneration of loyal community members is of the highest priority.

    To follow their development and news, check out Scaleswap’s official channels:

    Website – https://scaleswap.io/

    Twitter – https://twitter.com/scaleswapio

    Telegram – https://t.me/scaleswap

    Medium – https://scaleswap.medium.com/

    Sources:

    https://scaleswap.io/launch-ido.html

    https://coinmarketcap.com/alexandria/article/what-is-an-initial-dex-offering-ido-and-why-do-we-need-them

    https://egorithms.com/scaleswap-what-is-it-what-are-sca-tokens/#What_is_Scale_Trading

    https://chaindebrief.com/scaleswap-next-generation-ido-launchpad-layer-2/

    https://morioh.com/p/42fc05c8c6c9

  • Top 5 Play-to-Earn NFT Games for Cryptocurrency Rewards

    Top 5 Play-to-Earn NFT Games for Cryptocurrency Rewards

    The gaming industry has always been successful as participants yearn for escape into virtual reality. Add blockchain technology, non-fungible tokens (NFTs), and decentralised finance (DeFi), and voila! An explosive market model dubbed as play-to-earn (P2E) games.

    Blockchain for gaming has long been thought of as the perfect combination. After all, blockchain solves many traditional problems of the gaming industry, in particular, transparency between developers and gamers, as well as ownership within the game’s economy. 

    Millions of gamers are adopting DeFi-based NFT games and spending several hours every day playing them, causing their popularity to shoot through the roof. Game developers are catching on and there is no shortage of new P2E games to play.

    What is the Play-to-Earn (P2E) Model?

    The play-to-earn trend is an emerging phenomenon in the gaming industry where players of NFT games get to collect lucrative rewards for playing. That’s right, you can make money while playing your favorite NFT game. How cool is that? 

    By becoming active participants in these games, players get to monetize their time and skill to receive rewards like in-game NFT assets and tokens which can be traded or sold if the gamer so chooses. The most interesting part of this model is that these in-game assets and tokens are not just limited to the game, they can be exchanged for real money and spent in the real world.

    In normal video games, players are not given complete ownership of assets bought in-app, so they can not be traded for a higher value. The price of the NFT assets that blockchain gamers are rewarded can increase with market demand, giving players the option to sell their tokens at a much higher value. 

    Some examples of how gamers can make money in P2E games:

    • Sell in-game NFT assets such as weapons, potions, avatars, cards, etc on the appropriate platform or open marketplace for real cash.
    • Earn prizes by completing quests and daily or weekly challenges.
    • Earn rewards by defeating their opponents in player-versus-player (PvP) matchups.
    • Upgrade in-game characters to possess more unique features and subsequently sell them at a higher price in the marketplace.
    • In-game staking for crypto rewards

    The Top 5 Play-to-Earn NFT Games

    Below is our list of the top 5 play-to-earn games. Each of the games listed use different mechanics to earn, while some will require an initial investment, and some are still in early development stages.

    Axie Infinity

    axie infinity

    Launched in 2018, Axie Infinity has experienced massive growth and is currently on the list of top-ranked blockchain-based games judging by its daily, weekly, and monthly active users. 

    The game is a Pokemon-inspired metaverse where players battle, collect and raise their Axies in a land-based universe, Lunacia. No two Axies are the same as each is very unique, with varying strengths and weaknesses based on their genes. 

    The game provides more than 500 Axie body parts, allowing players to have a limitless number of body part combinations to use. The categories of Axies include the Beast, Plant, Bug, Reptile, Aquatic, and Bird, and their characters can be common, rare, ultra-rare, or legendary.

    There are two game modes in Axie Infinity: battle mode and adventure mode. 

    • Battle Mode – This game mode entails a real-time battle between two players on the platform and their Axies.
    • Adventure Mode – This game mode consists of players traveling around the map and completing tasks to defeat rogue monsters (Chimera) they encounter in their journey.

    To participate in the game, players are expected to have at least three Axies, which requires an initial investment. However, they can quickly make back their investment depending on how active they are on the platform.

    Gamers earn money in the Axie Infinity game by completing activities in the Axie universe and getting rewarded with Smooth Love Portion (SLP), the platform’s native ERC-20 utility token. 

    Players use SLP to breed more Axies. However, this token is in high demand so they can sell it to other players and make a profit. SLP can be traded on a decentralized exchange (DEX) or centralized exchange like Binance.

    Another way for players to generate income is by competing in player-vs-player (PvP) battles to win leaderboard prizes, breeding their Axies, selling them on the provided marketplace, and collecting and speculating on rare Axies.

    The game also allows players to earn or buy Axie Infinity Shards (AXS), another native ERC-20 token while playing. The AXS tokens serve as governance tokens and give players the right to vote for key decisions. The team are currently considering increasing AXS rewards for their Leaderboard winners with a view to, in future, directly distribute AXS as a battle reward.

    Axie Infinity has generated more than 15,000 ETH in revenue since it was launched. Its popularity exploded so much that many individuals in the Philippines quit their day jobs to focus fully on playing the game and earning rewards.

    The team is continuing to develop the Axie Infinity gameplay and will soon launch a new generation of battle experiences (Origins) and a land-based gaming experience known as “Project K”.

    Gods Unchained

    gods unchained

    Gods Unchained is a tactical free-to-play card game that seeks to integrate certain elements of non-fungible tokens (NFTs) into traditional card gaming. The platform gives players true ownership of their in-game assets. Gods Unchained is a very competitive game that requires players to strategically outwit their opponents and win cards.

    Players can accumulate the cards either by purchasing them from other players or winning player-versus-player (PvP) battles where the winner is often determined by the quality of cards and the gaming skill of players.  The game operates in a rank setting which ensures that players in the same ranks are paired together in PVP matches.

    To win a match, players will have to ensure that their gameplay causes their opponent’s life to drop to zero before theirs. Every time a player wins, they receive experience points that move them to the next level and a pack of cards to add to their collection. 

    Each card is an NFT based on the Ethereum blockchain, precisely an ERC-721 token, which allows players to have full ownership of their in-game assets the same way they own cryptocurrency.

    Players can choose to trade their cards on the platform’s native marketplace or the open market. Those who choose to sell their cards within the gaming ecosystem will be paid using the platform’s native token, $GODS. The $GODS token has not been officially launched but is expected to go live very soon.

    MetaWars

    metawars

    MetaWars is a science fiction multiplayer strategy and roleplaying game with a vast metaverse set in space. Players can monetize and earn from the game’s war economy while participating in a highly immersive space exploration through the MetaWars galaxy.

    The game offers infinite universes where players can choose their own path using a wide collection of NFTs, and even cooperate with other players in missions to impact major events across the metaverse. 

    The gameplay also allows players to widen their army with unique ships, classes, and various optimization options. Players can combine modules, weapons, devices and equip perks, helping their characters level up their strength, rank up and receive attractive rewards.

    There are 3 parts to the game: Exploration, Fleet Formation, and Combat.

    • Exploration – Players embark on a journey of discovery, traversing the vast MetaWars galaxy that is constantly evolving and shifting from the collective actions of every player. Players will unveil mysteries and defend valuables against enemies.
    • Fleet Formation – Players have the option to customize their fleet of ships and robots in order to build a perfect fleet. To succeed in this segment, players would have to strategically combine modules, weapons, and devices to fit their strategy. 
    • Combat – Planet is a player-versus-player (PvP) mode of gameplay that awards $WARS tokens as a reward to the winners. Missions are player-versus-environment (PvE) games which are necessary to upgrade strength, rank and reward rations. 

    $WARS token is the in-game and governance token within MetaWars. There will also be a secondary token called $GAM. Further details will be released during the game’s next phase of development.

    Read more in our article MetaWars ($WARS, $GAM): NFT Gaming in Space.

    The Three Kingdoms

    the three kingdoms

    The Three Kingdoms is a strategic third-generation NFT game that is based on the historical characters of the Three Kingdoms period in ancient China. The game features high-end graphics, the ability to collect NFT characters, complete quests, and join siege gameplays to earn NFTs. 

    The gaming experience is enriched with extensive history, well-developed characters, progression gameplay and more. In the game, users will be able to build their base, expand their territories, upgrade their character’s attributes, win battles and emerge victorious in PvE (player versus environment) and PvP (player versus player) battles.

    Similar to popular gacha games with their randomized loot boxes, The Three Kingdoms utilises NFTs to bring added excitement to the gameplay experience. 

    • Raffles – A raffle will be held every so often that will enable players to draw a character card at random, for a price. Players will be able to draw as many cards as they wish. 
    • Characters – Characters will be randomly assigned six attributes: attack power, defence power, energy, luck, leadership, and intellect. The combination of these attributes determines whether a card is normal, rare, super rare or legendary.
    • Quests – Another method to recruit NFTs is where players send out one of their characters to recruit other heroes. Each found hero is another NFT of varying quality, which could help strengthen their forces.
    • Farming – Special NFTs can also be farmed by staking $TTK, the game’s native currency.

    $TTK is the game’s native token, used to purchase new characters in the NFT marketplace, upgrade armies, and invest in land. It can also be staked to farm more valuable NFTs.

    The secondary in-game token, $CHI, is inspired by the actual use of Chi in Chinese history as the energy that runs through all living things. Some future uses of $CHI include the ability to besiege cities, battle other players and even fuse new heroes.

    Learn more about The Three Kingdoms in our article The Three Kingdoms: The New Era of GameFi.

    CryptoKitties

    cryptokitties

    CryptoKitties is one of the earliest blockchain games in existence. Launched in 2017 by Dapper Labs, the game allows players to collect and breed virtual kittens.

    Every Kitty is unique, possessing characters that distinguish it from other Kitties living on the Ethereum blockchain. Players can obtain a CryptoKitty by buying one in the provided marketplace or by breeding two Kitties together. Breeding the Kitties enables players to unlock rare attributes that are not present in either of them.

    CryptoKitty players earn rewards by creating a collection of Kitties. Once they have a collection, they can either decide to take them to KittyVerse where they participate in catfights and win prizes or sell them on the platform’s marketplace or on leading NFT marketplaces.

    This game was so popular that it caused the unforgettable congestion of the Ethereum network. It is currently among the top play-to-earn games in the market. 

    Conclusion: The Future of P2E

    Play-to-earn NFT games have created an avenue for gamers to be rewarded for doing what they love. While some see it as a thing to do in their leisure and earn some cash, several others view it as a day job and can earn up to $300 every day.

    P2E games are set to completely revolutionize the gaming industry as we know it. It has integrated the concept of an open economy which ensures that all participants of the game are financially rewarded. While NFTs have already taken a dominant position in the collectibles trading scene, their presence in these games and the P2E model is set to take the market even further.

    As with some trends in the crypto space, P2E games might outlive the hype and become one of the leading aspects of the entire crypto industry. As it stands, many gamers worldwide are simply ecstatic to earn as they play.

  • Occam: Complete DeFi Suite Tailored to Cardano

    Occam: Complete DeFi Suite Tailored to Cardano

    Named after the principle of theory construction, Occam ($OCC), aka Occam Finance or Occam.fi, is a decentralised exchange (DEX) and the first and most significant addition to Cardano’s DeFi landscape. 

    Designed to deliver market-leading launchpad capabilities, DEX tools, and liquidity pools, Occam is a suite of DeFi (Decentralized Finance) solutions tailored for Cardano and managed and maintained by the Occam Association, a blockchain entity based in Switzerland. Once the Occam.fi ecosystem has matured, the project will be handed over to a carefully designed Decentralized Autonomous Organization (DAO) to manage and guide it.

    Learn more about OccamFi in our interview with Mark Berger, President of the Occam Association.

    Background

    Occam Finance was built by a team of individuals based in Belgrade, Serbia. Launched exclusively as an ERC20 token in its early stages, OCC shifted towards a multichain ready infrastructure after the Ethereum-Cardano bridge was released.

    Mark Berger, the president of the Occam Association, is a crypto market veteran who founded Scalable Solutions. His vision is to prepare the crypto industry for institutional and enterprise adoption, holding advisory functions in various startups and traditional financial services.

    Several other equally notable members and advisors comprise the Occam Association’s core team, which seeks to build the Cardano community and the Occam.fi ecosystem.

    Occam Products

    At the time of writing, Occam offers three separate products:

    OccamRazer

    OccamRazer is a Initial Decentralized Offering (IDO) platform used to raise funds for startups on Cardano. It consists of a tier system that allows users to access IDOs depending on which tier investors fall into. In order to participate, users need to complete Know Your Customer (KYC) procedures and own at least 150 OCC tokens. 

    OccamX

    A purpose-built Cardano DEX developed by Occam.fi as a whole. It is backed by IOHK’s cFund and EMURGO, and provides liquidity and empowers trading of any Cardano Native Token.

    OccamDAO

    An autonomous organisation that allows token holders to vote on the direction of development.

    Occam Tokens

    OCC tokens can access a premium liquidity pool and will also be used to pledge stake, invest in new products in the Occam ecosystem, and more. With OCC tokens, OccamRazer is able to put a portion of project allocations back into the ecosystem. In addition, token holders are able to continuously receive a small reward in high-quality tokens from the best projects, opening up a cascade of opportunities for token holders and ecosystem participants while providing momentum for continued ecosystem diversification. As a result, this ensures that Occam becomes a thriving, self-sustaining, and flourishing ecosystem.

    OCC tokens can be used for many purposes, most notably:

    Staking: Users are required to stake OCC tokens to participate in any IDO on the platform.

    Liquidity Mining: OCC tokens are distributed to pool participants from the liquidity pool based on their liquidity volume.

    Governance: OCC token holders will have access to the governance mechanism via voting on the changes of system upgrades, system parameters, DAO investments. However, this feature will be implemented later according to the roadmap.

    How to get OCC tokens

    You can get OCC through multiple CEXs (Centralized Exchanges) nand DEXs such as Uniswap, SushiSwap, and Gate.io. It is important to note, however, that you will need a MetaMask web3.0 wallet in order to do anything in the Occam ecosystem. 

    Alternatively, instead of buying on different exchanges, you can also earn OCC via Liquidity Mining the OCC-ETH pair on Uniswap. Rebate Rewards are the amount of OCC tokens distributed via IDO pools with a specific OCC supply, and after an IDO closes, its participants will receive a portion of the OCC tokens calculated pro-rata. Continuous Ecosystem Diversification (CED) distributes CED rewards as the tokens of the projects launched on the platform. As long as you stake more than 150 OCC for a while, you will earn a portion of the rewards as project tokens.

    Conclusion

    Occam provides an all-in-one, feature-rich ecosystem to raise and exchange capital. While catering towards traditional financial institutions, the project boasts (KYC) regulatory compliance but simultaneously claims to have all the benefits of decentralization.

    With a focus on user experience, the UI is aimed towards the institutional mass market and is primarily focused on unlocking and raising capital for upcoming IDOs through its Ethereum-Cardano bridge.

  • Formation Fi: Forget Yield Chasing, Welcome Smart Farming

    Formation Fi: Forget Yield Chasing, Welcome Smart Farming

    Formation Fi is a startup aiming to revolutionize portfolio management in the world of decentralized finance (DeFi) by introducing risk parity smart farming.

    DeFi’s current obsession with speculative yield chasing often leaves out the regard for risk. With risk parity inspired smart yield farming 2.0, users get to tailor their level of exposure while receiving guidance from the protocol, which is engineered to reduce risks posed by both bull and bear cycles.

    Formation Fi’s risk parity protocol is guided by the principles of the risk parity movement adopted by top hedge funds on Wall Street, opening up a playing field that was once walled off to all but the richest few.

    What is Risk Parity?

    Risk parity is an investment strategy that aims to spread risk exposure equally across every type of portfolio asset.

    The performance of an investment portfolio is largely dictated by the risk it carries. The riskier its assets are, the higher the portfolio’s upside potential. For example, compare a 100% savings account portfolio with a 100% stocks portfolio; the former has low risk and low returns, while the latter has high risk and a greater chance of large returns. Interestingly, similar to the varying risk levels in investment portfolios, bitcoin casinos instant withdrawal services offer a dynamic environment for users seeking quick access to their winnings, enhancing the overall gambling experience. “Traditional” portfolios increase risk by concentrating money in riskier assets, while risk parity portfolios have fixed asset allocations in order to equalize risk contributions. To increase risk, a risk parity portfolio uses leverage.

    The fundamental theory behind risk parity strategies is that assets in a portfolio should be balanced by risk, not by dollars. In other words, instead of allocating more money to riskier assets to achieve a performance target, risk parity balances assets by risk contribution and then uses leverage to achieve the performance target.

    Risk Parity Smart Yield Farming: How Does It Work?

    Formation Fi’s risk parity protocol is the first chain-agnostic, algorithmic, defi yield-management platform driven by the risk parity portfolio management strategy.

    That means it’s automatic, transparent, can be tailored to everyone’s risk appetite and bag size, and won’t be tied to a single clogged chain.

    It’s the latest and the most sophisticated attempt to create a DeFi risk-parity robo-advisor to algorithmically calibrate asset allocations across core asset classes such as stablecoins, alphas, and betas based on volatility and environmental changes. All under a single unified interface that finally connects all the different DeFi tools in a clear and simple way.

    This simplicity is key.

    Chasing different yield farming strategies, different chains, and constantly changing technical layers is painful. DeFi should be as simple as a single click to make money. And it can be.

    You select your acceptable level of risk with a minimum amount of commitment determined by the algorithm in the top reserve currencies such as BTC, ETH, USDT, or BNB. The protocol will then automatically configure and recommend a chain-agnostic portfolio of yield farming strategies, tailored specifically to you and engineered to offset risks posed by both bull and bear cycles.

    The protocol also uses a small amount of leverage to boost yield while maintaining the optimal level of diversification.

    The protocol will then mint you an index token that tracks the underlying cross-chain DeFi assets and yield farming strategies. That’s all there is to it. No need to track and manage a million different assets. No need to go bankrupt from gas fees. Just let the index token do its work and track your yields in the dashboard.

    Formation Fi will save you valuable time, headaches, and most importantly, money.

    Best of all, the Formation Fi token is itself a potentially valuable crypto-asset. The index token can be sold, bought, or swapped like any other ERC-20 token. It can also be deployed into other yield farming strategies or added into a liquidity mining pool to further boost yield at the holder’s discretion. 

    Guiding Principles of Formation Fi

    Chain-agnostic

    Early DeFi is a collection of protocols, chains, dapps, tokens, pools and other inventions. Some work together, most don’t. Most only work within their own vertical ecosystems. Investing optimally across them all, one at a time, is virtually impossible manually. 

    Formation Fi takes a holistic view — aiming to be chain-agnostic and all-inclusive. From the ideals of crypto and Web3 will come the internet of value, where all blockchains are seamlessly connected through a decentralized infrastructure of bridges and relays.

    All types of DeFi assets will be able to move from point A to point B quickly and smoothly, with no barriers. Their goal is to make the network dependency irrelevant. In other words, ultimately all users of Formation Fi will be able to add any type of uncorrelated DeFi assets available in the world of Web3 to their portfolio, regardless of the protocols of the asset and those already in the portfolio and claim profits from the network of their choice.

    Low Transaction Costs

    DeFi investors have learnt that fees can eat into their capital at an alarming rate, becoming a barrier to entry for some of the more complicated protocols. Costs on Ethereum made it nearly unusable in 2020–2021 for many yield farmers, forcing them to move to other blockchains with different scalability, decentralization and security characteristics. (goldchannel.net)  

    Formation Fi will minimize users’ costs at all opportunities. There are two types of costs to consider: fund management fees and the underlying protocols’ gas/network fees. Most Wall Street hedge funds traditionally charge in excess of 30% of fund profits as management fees and carries interest. Formation Fi will not only charge a significantly lower management fee (only 5%) but will also redistribute a share of the profits to holders of the Formation Fi token, $FORM. 

    Fees for gas/network and other on-chain services such as oracles will also be kept low. For example, when it makes sense, instead of using expensive price feed oracles, Formation Fi will call sets of APIs or build their own oracles to achieve the same results. Over time and with progressive decentralization, they expect on-chain costs to reduce. Formation Fi will always strive to reduce costs and pass the savings and profits on to their users and token holders.

    Radical Simplification

    Many of the first-generation yield farming protocols were thrown together as fast as possible to catch as much of the new booming market as they could. Aspects like the user interface and automation were not top priorities. As a result, 50% of yield farming investing is repetitive and requires a high degree of understanding and attention to detail. This creates a barrier to entry for novice investors, causing confusion and increasing the probability of costly mistakes. 

    Formation Fi will make the user experience as simple and efficient as possible. They will develop algorithms and bots to predict requirements and remove repetitive tasks. They will design the user experience to be simple and a pleasure to use. Formation Fi aims to allow users to focus on investing instead of battling a screen.

    Investment over Speculation

    First-generation yield farming was about speculating on the next coin to 100x and maximizing gains out of the latest scheme. Farmers rushed in, ignorant of the risks and in the long run will lose on gas, impermanent loss, slippage and other hidden fees. 

    Formation Fi is at the lead of the second generation. They will motivate and enable users to form coherent, sensible portfolios instead of collections of random coins. Second generation yield farming is about intelligent investing — calculating quantitative risk as well as reward. 

    This methodology was pioneered by Benjamin Graham in his book “The Intelligent Investor” and employed extensively by Warren Buffet. Formation Fi takes techniques and skills learnt over decades on Wall Street and applies them through algorithms to DeFi. They aim to generate personalized funds that not only catch the market highs but also provide protection from the lows.

    Communal Effort

    DeFi is taking off because so many people can see the benefits of transparency and community governance over the centralized banks, which so often charge hidden fees and make secret backroom deals we’ll never know about. The community is what makes DeFi so compelling — but community governance is a double-edged sword. You can cast your vote and yield the reward, but you have to invest your stake and in reality, only the whales can achieve meaningful results. 

    Formation Fi is turning that around. Ultimately, through progressive decentralization, their DAO will achieve open governance by financially incentivising long-term engagement and offering exclusive original research and quantitative analysis. They will empower a new generation of yield farmers to take control of their assets, achieve better risk-adjusted results and become better investors. 

    Long-Term Focus

    Yield farming has been a fast-moving, get in and out quickly, type of business so far. The first generation of farmers were often risk-seeking ‘degens’ who loved the thrill of the 100x chase and if a coin failed, that’s ok — move on to the next one. That isn’t investing though and Formation Fi isn’t about short-term gambling. 

    Second generation yield farming is for investors who want intelligent, serious management for the long haul with safe exposure to crypto. Formation Fi’s algorithms will build personally risk-adjusted indexes for the long term that can automatically reinvest the yield across multiple chains so users can benefit from the laws of compound interest. 

    Future development, guided by the DAO community and taking advantage of progressive decentralization, will ensure a safe, intelligent and personalized haven for users.

    Constant Innovation and Safety

    Innovation is taken as given in DeFi but unfortunately, for many, is a buzzword that means hitching onto the latest craze and heading off on a dozen random paths. The biggest casualties are then the users when it all implodes, taking their invested capital with it. 

    Formation Fi has a strategic direction to build their vision of low-risk wealth for everyone. The force of innovation and safety drives the project, guided by the DAO community and regulation. The project will adopt progressive decentralization, not hide behind security audit reports, care for the TVL as if it were their own money and try to safeguard it to the best of their abilities.

    $FORM Token

    The Formation Fi protocol will enable the minting of an index token, the $FORM token, to track underlying cross-chain DeFi assets and strategies. $FORM is a triple-utility token with the following functions:

    • Governance Voting — $FORM holders vote on proposals for the FORM operational treasury.
    • Staking & Liquidity Mining — $FORM will be awarded to a user who deposits or stakes underlying digital assets to generate Alpha, Beta, Gamma and Parity or swap among the index coins.
    • Dark Pools — $FORM will confer access to investment liquidity pools which harness the wisdom of the crowd to incubate and fund the most promising new DeFi projects.

    Conclusion

    Every yield comes with risk. Formation Fi brings the risk mitigation strategies which let hedge funds conquer the stock market to crypto, for everyone to use. 

    Their focus is to better manage your risks while protecting your hard-earned yield through thick and thin. Imagine what can be accomplished as a community of smart yield farmers. The Formation Fi DAO will harness the wisdom of the crowd to make the protocol more accurate and more powerful.

    The risk parity protocol is just the first chapter of Formation Fi’s ever-expanding story. Follow Formation Fi’s development on their official channels:

    Website – https://formation.fi/

    Twitter – https://twitter.com/FormationFi

    Telegram – https://t.me/FormationFi

    Medium – https://medium.com/formation-fi

    Sources:

    https://docs.formation.fi/

    https://www.financetldr.com/posts/simply-explained-wealthfronts-risk-parity-whitepaper

    https://morioh.com/p/fcf80bde60d4

    https://cointelegraph.com/press-releases/formation-fi-closes-33m-strategic-sale-to-build-smart-yield-farming-20-framework

  • Sienna Network ($SIENNA): Privacy Meets DeFi

    Sienna Network ($SIENNA): Privacy Meets DeFi

    Sienna Network is a privacy-first decentralized finance (DeFi) protocol that allows a completely private lending, borrowing, and trading experience with great scalability and low transaction fees. 

    Sienna Network allows users to avoid the lack of privacy on exchanges that allow others to see what users are doing and arbitrage on those transactions with front-running — a key weakness of crypto transactions today. Front-running is the act of getting a transaction first in line in the execution queue, right before a known future transaction occurs. Bots executing such front-running operations by paying slightly higher transaction fees have been a difficult problem for DeFi users.

    Background

    Banking, cryptography, and even decentralized finance go back a long way; as far back as the 12th Century when financial crime took place on the roads of Europe. In 1135, Sienna (known as Siena in 21st Century Italy) was an important trade city and heists were common. To stop the scourge of constant robberies to places such as Veneto, the Bishop of Sienna offered loans against collateral and interest to Sienna citizens and the people who traveled to the city to trade.

    At the same time, the Knights Templar initiated a network of money transfer locations so people could deposit money in the Veneto region and travel to Sienna and Venice without the risk of losing all their money and possessions. Upon arrival at either destination, traveling tradesmen could withdraw their money from a Templar location by handing in an encrypted document that could only be decrypted by the Templars.

    By today’s standards, that encryption was so primitive that the so-called algorithm could be cracked in seconds, but it set the scene for today’s intricate systems. This is where Sienna Network comes into the picture — to build on that same idea and contribute to solutions that will become the standard in privacy-first DeFi.

    What is Sienna Network?

    Until now, the activities of DeFi users have remained an open book — publicly preserved on the blockchain and forever vulnerable. This level of disclosure has created a chilling effect for the industry, discouraging even remotely privacy-conscious users from participation in DeFi, whilst concerning regulators who wish to ensure that users, private and professional alike, are properly protected. 

    Modern blockchain-based technologies fall short when it comes to preserving privacy, and Sienna Network aims to solve the same problem that has been solved by banks for their customers for many years — privacy in terms of funds and transactions, as well as computational privacy, but without the need for any third party to be involved. 

    With Sienna Network, transactions are private. Which means that the user — and no intermediary — decides if any of the data exchanged should be shared with anybody else. This occurs by default, and uses strong encryption to protect the data. 

    Sienna Network is powered by the Secret Network blockchain, a privacy-first smart contract platform by Cosmos. To share data, users need to generate a viewing key, which allows them to decrypt the contents of the data they have sent to contracts on Secret Network. Only the user can decide if they want to share this key and their viewing key only corresponds to their own transactions and cannot be used to monitor a third party’s wallet transactions.

    By building Sienna Network on programmable private smart contracts, it enables a variety of powerful new use cases in DeFi. Programmable privacy allows feeding verifiable sensitive data into a decentralized world without revealing said data. Decentralized identities, credit scores, under-collateralized loans and privacy for institutions are some important examples.

    SiennaSwap

    At the heart of Sienna Network are robust tools for the assurance of privacy to users, including the decentralized exchange (DEX) called SiennaSwap. 

    SiennaSwap lets users trade “secret versions” of popular tokens like Ethereum ($ETH) and Cosmos ($ATOM), and flip them anonymously on the platform. For now, the number of assets is limited to the bridges the project has created, hence the absence of a secret version of Bitcoin ($BTC). The bridges currently available are to Ethereum, Monero, Polkadot, Cosmos, and Binance Smart Chain. Users are able to create as many swap pairs as they wish among each of the assets.

    Leveraging Cosmos means gas fees are low and transactions are almost immediate. A typical transaction costs about $0.02, which is extremely low compared to other blockchains and protocols.

    But perhaps the most important cost that SiennaSwap seeks to omit is that of front-running, or traders cutting to the front of the queue and scooping up lucrative trades before others. This is possible due to the platform’s privacy-first approach. Using Secret Network’s protocol, Sienna Network has found a way to turn legacy public smart contracts into Secret Contracts, which allow private interactions where Third Parties cannot monitor what’s going on. This is because the data remains inside TEEs — Trusted Execution Environments; not even the node operators of the underlying network.

    What does it mean for a user? On public ledger chains where anyone with a wallet address could see others’ entire transaction history and that of their friends, with Sienna’s token and via the SiennaSwap, the wrapped ‘secret’ tokens such as secretETH the transaction history cannot be looked up and seen. This fixes several core issues including the aforesaid blight of front-running.

    Sienna Lend

    Another important product by Sienna Network is Sienna Lend which allows users to borrow and lend both public and private crypto assets. Moreover, users can deposit their tokens and earn interest from them or use their deposit as collateral to borrow a wide range of assets. These assets include stablecoins, cryptocurrencies, and tokenized assets such as real estate, stocks, gold, NFTs, and more.

    The entire process will be private and no one can see a user’s earnings or other financial details.

    The Need for Financial Privacy

    Privacy is a fundamental human right — or it should be. It is a basic individual right to choose whom to share with — not just information, but other important aspects of life such as financial transactions. 

    But here a problem arises — while cash has relevant anonymous uses — larger transactions should not be anonymous because no system should enable money-laundering or the funding of bad actors. This is especially relevant at a time when the opinion of policy-makers has transmuted into a surveillance economy, with market actors required to police and report with severe penalties for failures. Whether we like it or not.

    If a crypto user sends a beneficiary an amount of tokens, both wallets are consequently linked via that transaction. This seems like a basic and fair exchange, but it also means that the beneficiary can now see the complete transactional history of that person’s wallet. This is patently an infringement of privacy and needs to be fixed.

    So, privacy matters. It is a mechanism for individuals and institutions to decide to control their data — sometimes transactionally, at other times to prove or disclose information or financial actions by choosing to share that data with relevant and selected Third Parties.

    $SIENNA Token Utility

    $SIENNA is a governance token which provides a dual function in the network’s ecosystem.

    It acts as the governance token of the Decentralized Autonomous Organization (DAO), allowing its holders to vote on possible changes on both the Decentralized Exchange (DEX) and the lending protocol.

    It also powers the incentivization mechanism to encourage positive behavior from users. Users are awarded with $SIENNA based only on its actual usage, activity and contribution on the Sienna Network, whereas users of the Sienna Network and/or holders of $SIENNA which did not actively participate will not receive any $SIENNA incentives.

    The token can be bought directly on Secret Network on SiennaSwap, but wrapped versions can also be bought on Uniswap and Pancakeswap.

    Conclusion

    Until now, DeFi users have had to choose between the personal freedom of decentralized finance, or the personal privacy of centralized finance. Never were both achievable at the same time. 

    Sienna Network solves this core problem by developing a course correction for the industry, delivering all of the many benefits within the DeFi space, while at the same time protecting users from the unwanted prying of third parties. 

    Sienna Network’s users can freely interact with powerful DeFi products, enjoying the same levels of privacy, or even greater, as in centralized finance. Sienna Network will seek to spur the sector onto new frontiers, providing tools that are programmatically private. Sienna Network’s protocols will also be used to empower self-sovereign identities. 

    These factors place Sienna Network at the vanguard of privacy-first decentralized finance. Now is the time to unlock the full potential of DeFi.

    Project Links

    Website — https://sienna.network/

    Discord — https://discord.gg/jZk8ggm7XP

    Telegram — https://t.me/GoSiennaNetwork

    Twitter — https://twitter.com/sienna_network

    Medium — https://medium.com/sienna-network

    Sources:

    https://sienna.network/static/documents/Sienna-Network-Whitepaper-V1.3—November-2021.pdf

    https://www.investopedia.com/terms/f/frontrunning.asp

    https://scrt.network/blog/introducing-sienna-a-privacy-first-defi-protocol

    https://decrypt.co/82825/sienna-network-launches-privacy-centric-defi-crypto-exchange

    https://techcrunch.com/2021/10/07/shooting-for-greater-privacy-in-defi-sienna-network-launches-siennaswap/?guccounter=1

    https://medium.com/sienna-network/privacy-matters-9ed864973f5f

  • Efinity: The NFT Platform of the future

    Efinity: The NFT Platform of the future

    What is Efinity (EFI)?

    Efinity (EFI) is a next-generation blockchain for digital assets that has been developed by Enjin (ENJ) – An ecosystem that lets the consumer buy, sell, and distribute Non-Fungible Token (NFT) items, which was started in 2009 and has more than 20 million gamers around the world.

    EFI is a parachain for NFT that was built with a consensus algorithm based on Polkadot Relay Chain validators in conjunction with the Web3 Foundation, allowing it to have its economic framework, data, and state. 

    For your better understanding, Polkadot is a blockchain platform that enables a fully decentralized web of parachains in which people fully own their identity and data.

    The Polkadot is outlined to run two kinds of blockchains:

    Relay Chain:

    The heart of Polkadot, accountable for the network’s distributed security, agreement, and cross-chain interoperability.

    Parachains:

    Main blockchains that utilize the transfer chain’s calculating sources to verify that transactions are safe and reliable.

    polkadot relay chain

    Efinity will operate as a parachain using Polkadot Relay Chain validators, allowing it to become a self-governing financial structure, data, and environment. Aside from that, it also is attempting to address blockchain issues such as interoperability, scalability, agility, safety, isolation, and many others. The Efinity’s collator nodes are responsible for processing transactions on the Efinity parachain and the network pays out EFI (its native token) from Collator Pool to them.

    How does Efinity (EFI) function?

    As we have mentioned above, the EFI blockchain will serve as a parachain in the Polkadot ecosystem. As a result of Polkadot’s interconnection technology, Efinity will be one of a hundred blockchains that can communicate with one another, allowing developers of other parachains to incorporate Efinity (EFI) NFT into their ecosystem while knowing that they will also work in different blockchains.

    Efinity has been working on developing a paratoken that will be similar to the ERC-1155 tokens they created for Ethereum. EFI will be the first paratoken in reality. The Efinity blockchain will process approximately 700 transactions per second with a confirmation period of six seconds.

    Efinity will act as a primary platform for all fungible and non-fungible tokens. Tokens from any other chain, such as the prominent ERC-721, ERC-1155 and ERC-20 standards, are accepted by the paratoken standard. This standard is necessary as it will generate network effects by attracting growing numbers of transactions. The network that solves the problem of enabling the pricing and exchange of NFTs will inevitably gain traction. To get a bid, tokens do not need to be advertised for sale or even exist on the network. In reality, users can be rewarded for initiating bid orders or ask orders and increasing network utilization by initiating transactions that other users can complete.

    This method will automatically encourage buyers and sellers to join the network and produce network effects by encouraging users to begin transactions. Third-party apps that allow the users to transfer inside other platforms such as games or that serve as NFT markets are expected to expand on this capability.

    What Makes Efinity (EFI) Special?

    EFI is special because it prioritizes token generation, transfers, and purchases since it aims to serve NFT Highway rather than general-purpose computing blockchain. Hence, the EFI transaction cost is much smaller, which will allow the users to focus on their favourite items without thinking about how the network works.

    Efinity (EFI) Features and Advantages

    According to the EFI official whitepaper, EFI provides the same features that are offered by another handful of NFT marketplaces, such as fast transactions & low fees, fuel tanks and efinity swap.

    1. Fast Transactions & Low Fees

    Based on the EFI whitepaper, EFI can process 700-1,000 transactions per second (the Ethereum network presently processes approximately 15 TPS). When the EFI and Polkadot runtime code is optimized, TPS may be increased in the future. Plus the transactions are verified in under six seconds, allowing for the fast response times required by mainstream applications.

    enifity provides fast transaction & low fees

    Aside from that, a fee payer signature may be included in a transaction before broadcasting, allowing someone else to acknowledge responsibility for fees through a signature. This can be beneficial for businesses and producers who want to reduce transaction costs for their customers.

    1. Fuel Tanks

    Fuel Tanks are special discrete accounts that are used purely for transaction fees. Developers can choose to subsidize expenses for their customers by depositing EFI tokens into a Fuel Tank that they control. They can whitelist specific tokens, tags, transaction types, or individuals for use.

    1. Efinity Swap

    Efinity Swap is an automatic conversion mechanism that improves the efficiency of paratoken exchanges by enabling an automatic conversion of paratokens into another paratokens to fulfil current bids and ask for orders. These swaps are made possible by existing bids and ask orders. The network allows for these automated exchanges for paratokens that meet a minimum number of Bids and Ask orders.

    What is an EFI token?

    As mentioned above, the EFI token is the main utility paratoken on the network, with 2,000,000,000 tokens. 

    For nominator staking and pools, 15% of the entire supply is set aside. These tokens are given out as a reward for helping to manage the parachain over the first 8-10 years.

    On genesis, 3% was allocated to the decentralized treasury pool. 15% of the total EFI supply is set aside to autonomously reward collaborators and pools for significant contributions to the network, such as transaction processing, development of new modules, network maintenance and initiatives to extend the network. This section will be gradually unlocked over the course of several years until the entire token supply is depleted.

    The EFI Token is used for all transaction fee payments on the EFI network in which the type of transaction determines the pricing and distribution of transaction fees. Any orders filled will incur a 2.5% fee will have to divide among four pools. Developers who create NFTs have the option to charge a fee for marketplace orders. This can be set to a maximum of 25% of the total cost. 

    Below is the detail of the EFI Token information:

    1. EFI token metrics
    • Token Name: Efinity.
    • Ticker: EFI.
    • Deployment Network: Efinity.
    • Relay Chain: Polkadot.
    • Token Standard: Paratokens.
    • Contract: 0x656c00e1bcd96f256f224ad9112ff426ef053733
    • Token Type: Utility and Governance.
    • Total Supply: 2,000,000,000 EFI.
    • Circulating Supply: EFI has not launched yet.
    1. EFI Token Allocation
    • Ecosystem: 35%.
    • Staking & Pools: 15%.
    • Company: 20%.
    • Team: 10%.
    • Seed Round: 3%.
    • Early Round: 7%.
    • Strategic Round: 5%.
    • Public Sale: 5%.
    1. EFI Token Sales
    EFI toke sales

    How to buy EFI tokens

    You can buy the EFI token through several ways, which can be through DEX and CEX platforms:

    1. DEX: Uniswap, Sushiswap
    2. CEX: Gate.io, crypto.com, Coinlist Pro, MEXC

    Conclusion

    In summary, EFI could be a good investment since the future related to NFT seems bright. The affiliated relationship between Efinity and Enjin will democratize NFTs using micro-fees. It will be a game-changer for developers and businesses who require better performance on massive operations, making it a good and potential place to be invested.

  • Boba Network: Is it an improvement on Ethereum?

    Boba Network: Is it an improvement on Ethereum?

    Introduction of Boba

    Boba Network is an Ethereum Layer 2 Solution that is designed to drastically improve the speed and efficiency of ethereum. Boba uses Optimistic Rollup technology that combines outstanding open-source work with the research and development of swaps based on onramps, rapid exits, and cross-chain bridging. Boba was created because it is essentially a modified version of Ethereum, making it relatively easy to ensure Ethereum Virtual Machine (EVM) and Solidity compatibility in minimizing the efforts required to migrate smart contracts from Layer 1 (L1) to Layer 2 (L2).

    What is BOBA’s vision?

    BOBA’s vision is to gain more accessibility to the market with a larger audience by providing a more cost-effective, fast migrating process and more capacity by delivering more layers to the user. Hence, BOBA takes the benefit of Ethereum by using it as an active transaction and settlement layer to encourage more transactions in BOBA. Plus, by using Ethereum as the settlement layer will make the transactions in BOBA much faster and cheaper. 

    Therefore, together with other developers such as oolong swap, senpai swap, and others, BOBA has provided more exciting opportunities for the users to farm and trade Non-fungible tokens (NFTs).

    How to bridge to Boba on the Network?

    Currently, the developer is working on user experience to a point where they even subsidise some of the costs for bridging to Boba to reduce a couple of clicks in the process.

    This is how to bridge to Boba using $OMG 

    1. Ensure that you holding $OMG in your own private wallet, not an exchange wallet and connect your wallet to Metamask. (https://metamask.io) 
    2. Go to boba.gateway.network to connect to Boba Network using your Metamask
    connect to Boba Network using Metamask
    1. Scroll down to where it shows OMG and click Bridge
    Bridging to OMG
    1. Select “Fast Bridge to L2”
    Fast bridge to L2
    1. Enter the amount of OMG you like to bridge. Choose “Use all” to bridge them all. Then click the “Bridge”button.
    enter amount of OMG to bridge
    1. Metamask will pop up. Confirm the transaction by clicking “Confirm”. First check you happy with the gas fee, which is paid with Ethereum.
    Confirm transaction using Metamask
    1. Once the transaction is confirm, the Metamask will show confirmation of the first transaction and pop up again for the second transaction confirmation. Click “Confirm”.
    transaction confirmation

    What is the Boba currency of transaction?

    Currently, Ethereum has been used as a currency of transactions on the Boba network because most users have Ethereum. The developer doesn’t want first-time users to experience acquiring Boba token before they do any transactions. The user only has access to the bridge over Ethereum; however, if they have any other access, it would be great for Boba as there will be many different pools that the users can join in and farm. 

    What is the BOBA token used for?

    The BOBA token serves two purposes. One is to join a network where there will be rolling out the boba dial. The Boba developers will invite the whole community or token holders to participate in proposing changes in the network by voting on proposals to improve Boba.

    The second purpose is staking, where the Boba developers will be sharing a portion of the network profits with token holders who stick the tokens on the mobile network. The reason for doing this is to build an engaged community of boba token holders around the network since they need strong communities to attract more people to join Boba and achieve the vision, which is to gain more access to the large market with a large audience.  

    Where do the profits come from? 

    The profits come from the transactions that happen on the networks, which any transactions that the users do will need to burn some layer 2 gas. As a result, the network itself will need to pay Ethereum to store cryptographic proofs on the main chain to prove that the user has done the transactions correctly. 

    However, the user must reach a certain break-even point in order to earn a profit. The user must reach a minimum level of transactions that needs to happen before the network starts generating profits. For example, just like the airline or bus, if they have too few passengers, they will begin to lose money, so they must reach a certain point of passengers to generate profit.

    How many transactions and profits can be made?

    As for now, Boba Network can handle 54 transactions in one block. However, how much profit can be made depends on the variable since the developer will tweak the pricing structure to ensure the network is price competitive. The more volume the network processes, the more ability they can lower the cost per transaction.

    The mechanism behind Boba

    The developers have used optimistic roll-up as a mechanism for BOBA. It is a very modular system that lets the developer easily switch up and update different pieces of the optimistic roll-up system. Hence, the developer of BOBA can keep updating and adding more functionality to the BOBA system. Aside from that, by using optimistic roll-up, the developer can easily change the existing solidity code without affecting the major barrier and re-audit the smart contract since they want to make sure that BOBA is compatible with virtually all smart contracts. 

    What is optimistic rollup?

    BOBA has been called “optimistic rollup” because its system gives the users the benefit of the doubt. The BOBA system has provided the users with a community fraud detector. The community fraud detectors can allow the users to compute whether the operator is honest or fraudulent by checking every single one of the BOBA states routes and transactions that they submit to L1.

    Why not a centralised platform?

    The system is set up in which all the funds that are on L2 are on Ethereum mainstream bridges or in volts that are positioned on a theory main chain. Everything that is going on in the L2 represents tokens and Ethereum that live on the L1. When you bridge funds on the L2, BOBA will represent those funds on the L2, and when you leave, L2 will burn them. However, the actual tokens reside on the L1 permanently, so that it gives people a little bit extra security on what would happen if BOBA went down. Aside from that BOBA is an open-source project in which the code used has been audited once and is now being reaudited for a second time. 

    What is the difference between all the L-2 solutions?

    There are two main categories that Boba considers using, which is the Zero-Knowledge (ZK) roll-up and the Optimistic roll up. However, the developer has decided to use the Optimistic roll-up to run immediately and easily arbitrary solidity smart contracts compared to the ZK roll-up which cannot take arbitrary smart contracts and run on ZK layer 2. Aside from that, the cost for Optimistic roll-up is lesser compared to ZK roll up

    Conclusion

    In conclusion, people should try BOBA since many new dApps are launching and lots of farming opportunities that many robot users have enjoyed. Plus, there will be an NFT series launching, which will be a good opportunity to try BOBA.