Original Author: Vincent222

Original Source: Public Account - Vincent Two

tl;dr

• In Web2.0, your data has value, but it does not belong to you, and the value is not distributed to you

• The data on the chain is a gold mine, the more applications, the more data, the bigger the gold mine

• In Web3.0, your value behavior will eventually be rewarded, and the carrier of value is your data, which also belongs to yourself

In the world of Web 2.0, if you are the number one Zhao Yun in Jing’an District, Shanghai in the Glory of Kings, and you have collected all the skins, you can only go from a blank sheet of paper to Starting from zero, no one knows that you are a master of the king. If you are a well-known up host at station B, you may find that someone is already uploading a video under your name on Youtube. If you have 5,000 yuan on WeChat and want to transfer it to Alipay, you find that it is impossible. You can only withdraw cash to your bank card and recharge it to Alipay. Every time you use a new product on the website on your mobile phone, you have to go through the process of mobile phone number/email/user+password/verification code tirelessly, and then you often have to click again when you use a product that is not very used for the second time. Retrieve password.

In the world of Web 2.0, every application does everything possible to lock users, improve stickiness and retention, build a moat for users and data, and extract the maximum value from them. As a user, although you have gained the experience of using the product, you actually have nothing, and all your data can be wiped out overnight. BlogCN, once the largest Chinese blog community, and Xiaonei, not to mention how many online games have been shut down. In essence, the user's behavior and data are working for the company. When you ticked the "Service Agreement" and "Privacy Policy" when you registered, you have signed an extremely unequal contract, that is, you The data belongs to the company and can be used and realized arbitrarily. If we stop operating someday, sorry, I have the right to explain, your account is gone, your data is gone.

Therefore, in Web2.0, your data has value, but it does not belong to you, and the value is not distributed to you.

Under the framework of Web3.0 based on blockchain technology as the underlying layer, it seems to be a step forward. The blockchain is an open database on which all applications read and write data. Due to current performance limitations and high interaction costs, applications tend to only put "high-value behavior" interactions on the chain, and these behavior data are simply a gold mine.

first level title

one is all

In my last article "Talking about NFT and Metaverse as I understand it", the interoperability brought by the blockchain has been mentioned many times. From the perspective of data, interoperability is a great change unimaginable in Web2.0. An address account can natively log in thousands of applications at the same time. The high-value behaviors generated by these applications are all recorded under one account. For the interaction behavior on the chain of each address, you can know the address (the person behind it) Is it an early DeFi liquidity mining user, is it an NFT collector, is it a DEX transaction user, is it a GameFi player, etc.

first level title

secondary title

Value Behavior Gets Feedback

In Web2.0, if you make a game and want to attract King of Glory users as seed users, is this possible? Even if you are inside Tencent, you may not be able to get the resources and permissions you want. If you make a social product and want to attract Weibo users in batches, is this possible?

On the chain, it is clear at a glance which address has played which game and how much money has been spent. Which addresses have participated in YFI mining, Curve pre-mining, and NFT transactions can easily obtain the address list. You can use a series of filter conditions to find a list of seed users that meet your requirements, airdrop them, give them some benefits, and then attract them to use your product.

The value of a product comes from every on-chain interaction of each of its users, whether it is an NFT transaction or the addition of liquidity. If the value generated by these interactive behaviors is not recognized by the project party, it does not matter, other project parties will value the value brought by these behaviors. A few days ago, it was very interesting that OpenDao airdropped $SOS tokens to Opensea users. The focus of my attention is not whether OpenDao can make an NFT exchange that surpasses Opensea through this operation (I think it is difficult). It’s that even if your high-value behavior on Opensea doesn’t get the expected return (Opensea is likely to take the route of IPO), others can still give it to you. $SOS is not the first nor the last one. Rarible has sprinkled it before (For NFT holders, most people obtained NFT in the early stage through Opensea transactions), and there will be LooksRare and more later.

In the token economic model of each new project, everyone will more or less think about 1. How do I find the first batch of seed users to give them airdrops; 2. How do I give back to users who provide value to my product. So you can do whatever you want on the chain, and your "high-value behavior" will bring you "value" sooner or later.

secondary title

Traceable identity value without proof

If you are an old player of the legendary 1st generation, it is difficult for you to prove that you have played or played a magic costume, because the data is gone after the server is closed. But if Cryptokitties shuts down in a few years, you can still use your Ethereum address to tell everyone that you bought a Christmas cat in late 2017. On Linkedin, you can package "made a few pages of PPT" as "leading a $500 million merger and acquisition case", and on the blockchain, you brag that you are a big DeFi player/early player, is it real? Address Just look at it.

Last week I received a resume -

You don’t need too many words, just look at Opensea, RSS3, Mirror, and Cyberconnect to know which Dapps this brother has used in the past two years, what NFTs he has bought, and whether he is a Crypto native. On-chain data is worth a thousand words. Recruiting people in this industry, I think Linkedin can stop.

These data can not only truly reflect a person's history and identity on the chain, but also natively establish social and group relationships. We now have many groups, which are still built on Web2.0 applications such as WeChat, Discord, and telegram, such as DeFi enthusiasts, NFT discussion groups, and XX project large user groups. In fact, many users in the group may have nothing to do with the topic, may have never played DeFi, and have not bought the Token of a certain project, but they lead the rhythm in the group."

If it is a community tool based on wallet address login, it is natural to create a group based on certain screening conditions, such as an NFT community that can only be joined by holding a Punks or BAYC address, such as holding certain DeFi Tokens and the number meets certain conditions The DeFi community that can only be joined, such as the DAO community that can only be joined after participating in the Snapshot voting governance of more than 3 projects, etc. These entry thresholds can be automatically judged by reading the asset information and behavior history of the address on the chain, without proof. If the conditions are no longer met, automatically kick out users who do not meet the threshold. Rights management can also automatically raise and lower rights based on the data on the chain, without having to be manually set by the administrator. For example, if you have 100 Tokens of a certain project, you can enter the general group, and if you have more than 100,000 tokens, you can automatically enter the VIP group of large households, automatically obtain a rainbow-colored ID logo, and so on. Many projects, such as ShowMe and Metalink, are exploring in this direction.

secondary title

Data-Driven Alpha

There are billions of dollars in token transactions and hundreds of millions of dollars in NFT transactions on the chain every day, and this information is public. It is not difficult to imagine how much Alpha can be mined. nansen.ai has achieved the ultimate in this point. It took only one and a half years to iterate a product with an income of tens of millions of dollars and a valuation of nearly one billion dollars. Giant whale marks on the chain, Smart Money tracking, chip flow and distribution under Token God mode, deep mining of NFT projects... Giving these information to a user with analytical ability is equivalent to putting an ATM machine in his before.

Above, I just listed a few scenarios that are happening and rapidly iterating, which is just the tip of the iceberg. The value of the big gold mine of data on the chain has been fully reflected. In the future, we will see data based on the chain Credit Score, the widespread application of decentralized identities in the metaverse, and data products like nansen that capture a certain angle and bring value to users.

secondary title

Give yourself an AMA

Q: What about multiple addresses?

A: Many people change their addresses every time they play DeFi. A feasible solution is to bundle your multiple wallet addresses through signature verification under the framework of a DID, and label/analyze/calculate your identity based on these multiple wallet addresses. Spectral is using this method to make credit on the chain.

Q: Now the application experience of these Web3.0 is not good, I use a wool?

really. At present, the infrastructure is still not perfect. When we read the data on the chain, if we read the data directly through the blockchain every time, and read the files directly through the decentralized storage, the problem of high concurrency will definitely not be solved. Although there are Ceramics Such a solution, but it is still in the early stage, and the number of users of CyberConnect in the past few days has already killed Ceramics.

If you agree with the data value brought by the blockchain that I wrote in the article, then everything is only a matter of time.

Q: According to you, the moat of large companies in Web2.0—users and data—is no longer a moat. So what is the moat of Web3.0 companies? Is there a business problem?

A: This is a question that I have been thinking about repeatedly in the past few years, and it is worth writing a separate article to discuss. But to make a long story short, if Web 3.0 can finally allow users to obtain a more reasonable value distribution and a better user experience, then all of this will be valuable and the right direction of development. The business model created by Web 2.0 is the logic of acquiring users for free or even subsidizing them, enrolling users and monetizing them. In Web3.0, there will be another way to capture value and a commercial moat.

Q: Should I stud the items you mentioned above?

A: This article does not constitute any investment advice. It is difficult to judge at this moment which of the projects mentioned in the above article will be successful. Just like in 2018, Jihoz, the co-founder of Axie, was very excited to tell me that Axie had reached 160 DAU. At that time, I believe that neither of us dared to imagine that Axie will now have millions of daily activities and tens of billions of dollars in 3 years. The FDV. At this moment, we can only bet on the right direction, a reliable and long-term team, and continue to explore together on the road in the next few years.