- The form of any technical solution that finally gains popularity is to serve consumer-level applications. A good solution will move from laboratory test products to life, and consumer-level opportunities will also flourish with the maturity of emerging infrastructure.
- Loot-type assets emphasize the interaction between individuals and the overall ecology and value contribution. Do-to-Earn emphasizes the interaction between individuals and platforms and agreements. There may not be an overall value contribution, but the two are complementary.
- Social finance is a new way to drive interaction between users and the interaction between users and the system. Group behavior is social, so through the incentive social mechanism based on user ownership is an important innovative way to build a community ecology.
- Web3 will also be the paradigm shift of the next-generation Internet. The biggest feature is true user ownership, openness and fairness, non-tampering, and decentralization. The role of users is not only a co-builder but also an owner and beneficiary, which just satisfies the role. A prerequisite for consumer-grade products to occupy the market in the most effective form.
The Revelation of the Internet
If you want to look at the development of the entire encryption ecosystem and social finance, you have to first review the birth and evolution of the Internet:
In the 1950s and 1960s, there were only closed intranet predecessors (such as ARPANET) and independent computers that could only perform operations. After decades of evolution, the Internet has expanded from an independent abstract information dot matrix and host to the interconnection between two or more hosts and local area networks. The Internet has completed the evolution from point to line, and has become a two-dimensional information surface structure that is connected to the entire network.
The encryption ecology also has a similar evolutionary law of system engineering. For example, the information protocol stack of Web3 is similar to the old ICP/IP and other basic information technology protocol stacks. The basic architecture is divided into infrastructure layer, middleware, upper layer protocol and application, etc.; the above-mentioned Internet evolution from point to surface The process also previewed the evolution of the independent public chain ecology and upper-level protocols to cross-chain and aggregation protocols. It also included some consensus protocol standard proposals put forward by the head organizations for the unified development of the public chain in the future.
Image source hackernoon.com/mainframe-communication-layer-for-web3-94df76a6c72a
In the world of Web3, multi-chain DeFi and cross-chain infrastructure have emerged. It is believed that cross-ETH Layer2 and cross-Layer1&Layer2 agreements will soon appear, eventually forming General Multi-Layers ) Application-level infrastructure.
Image source docs.oracle.com/cd/E19683-01/806-4075/ipov-32/index.html
Consumer-grade applications emerge
The form of any technical solution that finally gains popularity is to serve consumer-level applications. A good solution will move from laboratory test products to life, and consumer-level opportunities will also flourish with the maturity of emerging infrastructure. With reference to the evolution of computers and the Internet, infrastructure service providers such as Google, Amazon, Netflix and other companies have shown to the public the true form of infrastructure and the performance of the services that can be carried by tens of millions to hundreds of millions of users, and educate the public to understand technological changes. In which industries and daily behaviors will life fall in, so will the blockchain and encryption technology.
In fact, applications based on blockchain and encryption technology have penetrated into the daily behavior of native encryption users, and even affected the daily life of the entire Internet ecosystem outside the industry. As some Web 3.0 venture capital institutions said: “Blockchain-based The Internet is leading a new digital life in different corners, but users will only start to care about this enlightening infrastructure transformation when they show it through the services and applications they use most often. It is difficult to see clearly in the dark. Things, when these products and applications turn on the lights, consumers will appear.” For example, Bravo browser, Status encrypted social software, Calaxy based on NFT and ecological incentive fan platform, Decentralend and Wilderworld and other Metaverse platforms… these services And applications have gradually begun to transition to ordinary Internet consumer groups, and users from these groups have gradually felt the direct and indirect beneficial effects of blockchain and encryption technology on their related applications.
Paradigm evolution of the crypto industry
In recent years, there have been several obvious events in the encryption industry, confirming that blockchain and encryption technology are gradually breaking through the industry margins and evolving into a consumer-level development stage.
The first is the NBATopShot series of NFT blind boxes. When it was most popular, hundreds of thousands of basketball fans lined up to buy thousands of NBATopShot NFTs online; in the early platform Beta stage, because of the low barriers to registration and purchase, such as Lebron James’s rarest Legendary NFT. It can be easily obtained in the Drop activity of the primary market, and even in the secondary order market, there are extremely low prices that can be acquired at any time.
In the early days, a small number of hardcore NBA fans continued to collect at low prices. They passed the silent stage, and had the first mover advantage over the influx of users in the outbreak period in terms of number and series integrity, and thus made a lot of profits. The single Legendary NFT of Lebron James mentioned above can buy up to hundreds of thousands of dollars. Previously, NBATopshot ranked at the forefront of the overall NFT trading market in terms of transaction volume and number of holders.
Secondly, on the GameFi track, the long-established Axie Infinity has focused on the development and design of chain games since 2018, although most practitioners at the time believed that entertainment was a pseudo-demand on the blockchain. Axie aims to use ecological incentives combined with games to give play to the ownership and transferability of game assets, so that players can obtain real ownership and fair incentive distribution.
In the past two years, when players in developing countries in Southeast Asia have received more rewards from participating in games than real-life wages for hard work, a large number of low-income players have poured into the game ecosystem to start the explosive growth of Axie Infinity users; later due to similar The maturity of the economic model has developed player-based crowdsourcing platforms and upstream game unions, such as YGG and others have also squeezed into the ranks of the top projects.
The above few cases only list their efficiency in the influx of consumer-level users and breaking through industry boundaries. This means that these native encryption projects and products can acquire customers on a large scale like Internet applications in a short period of time and are accepted by their users. And benefit from it; in fact, there are still many applications with the potential of consumer-level user scale. In the early stage, they emerged in the native encryption ecosystem and gradually showed cases similar to the trend of Internet customer acquisition. We will enumerate according to the concentrated form that can be observed at present:
- Community-driven story
Loot NFT, its IP started in the community, and the community built games, avatars and media around the original IP distributed. It does not have a team or top-down vision, but is driven entirely by a community of loot holders and supporters. As a bottom-up brand, Loot’s success stems from the community that supports it. The communities come together to make a particular product easily identifiable and famous in some way. Similarly, Legend Map is also based on this development model.
- A semi-driven platform for partners and communities
The WilderWorld team comes from two celebrity fashion designer brothers, aliases Frank Wilder and Phoenix Wilder, and a 3D animation design and blockchain engineering team of nearly 100 people behind them. WilderWorld is positioned as a 5D immersive virtual reality space. Its vision is not only about NFT distribution itself, but also dedicated to creating the next decentralized version of Marvel Studios.
By emphasizing Metaverse + Marketplace + Cryptoartist Guid, WilderWorld brings together the world’s top artists to collaborate on stories, characters, and architecture. Partners and NFT holders and other real participants participate in the customization and development of Metaverse. We will find partners that have reached cooperation in the Metaverse of Wilderworld, such as YGG, Illuvium, BossLogic, Jack Paul, etc.
- DAO based on specific behavior or purpose
The DAOs created to realize their respective visions highlight strong social attributes, such as FlamingoDAO, PleasrDAO, and PartyDAO surrounding NFT investment; NounsDAO surrounding governance; The LAO surrounding investment; ConstitutionDAO surrounding the original auction constitution; governance surrounding encrypted Index products IndexCoop and more. Essentially, DAO is a form of consensus-based social community, no matter what the purpose is.
- Curatorial Network and Hunter Economy
Yup is a decentralized social network created for curators. Users will rate and categorize the decentralized web content of Web2 and Web3, and organize them into classification groups according to specific rules or topics. Visitors can have information based on this. Targeted reading and sharing; Yup uses blockchain technology and ecological incentive mechanism to establish an overlay content network that has been sorted and classified in the so-called Underlay content network that already exists on the Internet.
At present, Yup has been integrated with large-scale Internet social platforms such as Twitter, SuperRare, and Opensea, NFT trading markets, and emerging social platforms. Users can easily collect through browser plug-ins and right-click methods similar to Mask.
By definition, the hunter economy enables people to obtain the status of hunters and curators through a series of products, and social and financial capital obtains their favorite characters, companies and ideas in the process. Yup is an application based on Web3 in the hunter economy. In addition, products such as Oncyber’s 3D art gallery and CPLCrypto, which is based on investment performance, also have hunter economic and social attributes.
- Loot token and Do-to-Earn
Loot token represents a general asset class, not Loot NFT or any other project named after Loot. This concept was first proposed and summarized in Adams Cochran’s Medium article post. According to its description, “Loot is a token that you obtain by contributing to a collective goal. They improve your status in the community, access rights, and Reputation or authority can be used in the community, not just to consume and own them, you will hope to make more contributions to the community over time”, the nature of Loot tokens is found in most of the original encryption ecological projects Yes, but it is more obvious in the generalized encryption social.
Do-to-Earn is a general concept summarized by the author, similar to Play-to-Earn proposed in GameFi, Voting-to-Earn in the governance system, Invest-to-Earn in the decentralized investment platform, Buy-to-earn has long appeared on the NFT trading platform (for example, based on NFT trading to obtain platform currency airdrops such as SuperRare and Pianity), there is also trading-to-earn of swap and aggregators, that is, trading airdrops.
Loot-type assets emphasize the interaction between individuals and the overall ecology and value contribution. Do-to-Earn emphasizes the interaction between individuals and platforms and agreements. There may not be an overall value contribution, but the two are complementary.
In addition, there are some new situations and areas to be explored. Due to its ingenious story and incentive design, it has the natural out-of-circle ability and the potential to quickly acquire consumer-level user groups. Social finance is a new way to drive interaction between users and the interaction between users and the system. Group behavior is social, so through an incentive social mechanism based on real ownership is an important innovative way to build a community ecology. We are also continuing to follow up and try to participate in this process.
Web3 will also be the paradigm shift of the next-generation Internet. The biggest feature is true user ownership, openness and fairness, non-tampering, and decentralization. The role of users is not only a co-builder but also an owner and beneficiary, which just satisfies the role. A prerequisite for consumer-grade products to occupy the market in the most effective form. I believe that with the transfer of ownership, there will be more innovative forms of ecological interaction and contribution that will stand out, let us wait and see.
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/the-evolution-of-consumer-level-encryption-ecology-and-social-finance-from-the-internet-to-web3/
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