Original | Odaily

Author | Fu Ruhe

Since last year, RWA (Real World Assets) has become a popular sector in Web3. Some projects are also constantly exploring ways to bring more assets into the crypto world, such as real estate.

One of the projects that Odaily recently noticed is Parcl. Unlike other projects that tokenize single real estate, Parcl has built a regional real estate price index trading product, which has expanded to 10 regions (mainly US cities) and will launch real estate index products for cities like Hong Kong, London, and Jakarta in the future.

The official announcement recently stated that the token PRCL will be launched in April this year. With the expectation of potential airdrops, the TVL continues to soar, currently exceeding 75 million US dollars, more than tripled since the beginning of the year. Odaily has summarized some methods to obtain potential airdrop opportunities.

Project Overview

Parcl is a decentralized derivative platform for real estate indices based on the Solana public chain.

The real estate indices of Parcl are similar to traditional financial REITs (Real Estate Investment Trusts), but Parcl does not directly tokenize mature REIT products. Instead, Parcl Labs calculates data points for a specific city or region, creates the current real estate market price index for that region, and transmits it on the chain through the Pyth oracle.Note by Odaily: The price data source (PLPF) of Parcl Labs is an estimation of the residential real estate price per square foot provided daily for multiple markets and property types.

Parcl has previously launched and operated on the V2 version, and Odaily has also compiled related articles "Comprehensive Explanation of Solana-based RWA Platform Parcl: How Does RWA Change Real Estate Investment? With Full Process User Guide". This article will not go into details about the usage process of the product. If you are interested, you can read the previous article for learning.

Parcl operates on the V3 protocol version, which extends liquidity issues compared to previous versions, introduces decentralized governance and risk control features to protect LPs (liquidity providers) and traders from excessive market imbalance, and essentially has no major differences in user experience compared to previous versions.

According to the product page, Parcl has a total of 10 tradable real estate market indices, mainly in cities in the United States. However, cities such as Hong Kong, London, and Jakarta, Indonesia, will be added in the near future.

Currently, there are no other restrictions on trading in Parcl, and trading can be done with a minimum of 1 USDT. However, based on the observed index movements in each region, the fluctuations are relatively low. The chart above shows a 10x leverage change over a 3-month period. Therefore, Parcl is more suitable for investors with large capital and a demand for asset diversification. Ordinary investors may be more accustomed to the high volatility of the cryptocurrency market and may prefer traditional financial markets for long-term and relatively stable assets.

According to DeFiLlama data, Parcl TVL is $75.44 million, more than triple the value at the beginning of the year. With the upcoming Parcl airdrop, there will be more LPs and traders participating, which may be the main reason for the increase in Parcl TVL.

Predicting Parcl Airdrop Criteria, NFT holders may have a chance to receive the airdrop

According to official news, Parcl launched the PRCL token in April this year, with a total supply of 1 billion tokens and an initial community supply of 7%-8%. The uses of the PRCL token can be summarized as follows:

• Data function: PRCL tokens are integrated into the Parcl Labs API as an access mechanism to obtain high-quality residential real estate data.

• Further protocol incentive plan: Eligible PRCL holders have the opportunity to participate in Perpetual Network Incentives (such as points), which will be launched shortly after the initial allocation event.

More specific information about token economics will be officially disclosed in March this year, and Odaily will continue to follow up.

How to get potential airdrop opportunities, through querying the development history of the Parcl project, I found the following possible airdrop criteria.

1. Points activities organized by Parcl: currently in the second quarter, this points activity adopts three criteria, LP providers earn 4 points/USD; traders earn 2 points/USD (calculated when opening a position); inviting new users (new users earn 10% points). According to data, nearly 150,000 people are currently participating in this activity.

2. NFT holders: "Homeowners Association" issued by Parcl in May 2022, with an issue price of 0.5 SOL, but it fell below the issue price in less than half a year; influenced by the airdrop expectation, the price rose to 15 SOL by the end of 2023, and currently no one is selling it on Opensea.

Summary

Parcl is different from other RWA real estate projects, especially considering the technical details of the real estate market index developed by Parcl Labs, the team is more professional, with many members coming from Microsoft and well-known financial institutions, etc.; the project design is also more innovative, using a derivatives trading platform based on a self-developed index as a foundation, which is different from directly tokenizing traditional financial assets; the entry threshold for Parcl is unlimited, allowing most Web3 users to participate directly (except for the United States), which also makes it easier to expand.

Although there is no restriction on the threshold, limited returns could be one of the limiting factors for its expansion. Due to the natural attributes of real estate, the market fluctuations are relatively low compared to the cryptocurrency market, making it more suitable for stable and familiar real estate investors. The trading enthusiasm of Web3 users may be hindered.

In addition, according to the token economic model officially released by Parcl, the initial supply accounts for only 7%-8%, which may reward some tokens for participating in transactions or adding liquidity to attract more users and sustain the outflow.

In conclusion, the fundamentals of the Parcl project are good, and the subsequent development will depend on the token strategy after the airdrop.