Token Economy. The change is here

Part A.

George Karamanolis, Co-Founder & CTO/CIO, Crowdpolicy https://www.linkedin.com/in/karamanolis

Technology has radically changed many traditional sectors

Examples: the platform tripadvisor for holiday and tourism, Alibaba, ebay and amazon for trade, itunes for music, netflix for entertainment, Facebook for all the previous and the content production model, #fintech and #insurtech for financial and insurance services respectively, and crowdfunding as a process and methodology of fundraising.

We are also witnessing another transformation. The democratization of goods and participation are more dominant, stakeholders are engaged most of the times with fewer or no intermediaries at all in service transactions.

“Internet of Value” and traditional goods

The natural (and digital) world is characterized by transactions in goods and services. The goods are either tangible or intangible.

Let’s look at some examples of goods: light, water, services, shares, real estate, works of art, music, etc. Many of these transactions are based on contracts, money transfer through conventional channels, and complex agreements.

Most of these goods cannot be divided into smaller segments, be liquidated, provide profits and benefits to their owners and they are difficult to transfer. There are simpler goods (e.g. music, supermarket reward points, vouchers) that lose their value or do not give potential to the relationship of consumers with the organizations that produce those goods.

What led to the new change

Blockchain technology became widely known through the use of bitcoin. It can be described as a “book” to which anyone or a specific group of users has access in order to “read and write”. It can also be described as an accounting record (general ledger) in which every transaction is recorded, e.g. purchase, sale or transfer. For example, all the records related to the transactions are presented in the transactions of crypto-currencies. Depending on the use scenario, there are several types of blockchain and decentralized ‘Ledgers’ (DLTs) technologies: a) Open blockchain which allows everyone, according to their contribution, to read and write in this book, b) Enterprise blockchain or DLTs (Distribuled Ledger Technologies). These technologies can be used by organizations to simplify and support processes such as monitoring the supply chain from the beginning of the manufacture of a product and raw materials, and c) Hybrid: some of their parts are available, some are not.

The new asset management model is affected by blockchain / DLT technologies in market segments that do not necessarily relate to banking environments.

We have two main cases:

1. Crypto / alternative currencies based on blockchain technologies

2. The use of blockchain technology in a number of cases in sectors of the Economy as infrastructure

A key component of blockchain technology is tokens.

The token as the structural component of a trillion euro digital economy market

The token can be described as a digital asset. It is a key that uniquely certifies that the person who owns it is also the owner of a value. Tokens can be supported / assigned to tangible assets that can be used by their owners or consumed against a service product or platform. They can be used as internal units for the purchase of goods / services within a system. A token can be represented in all of the above blockchain types and can be used / available through a suitable market place.

Participation in such a process involves the purchase of tokens using a fiat currency (e.g. euro) or a compatible cryptocurrency (e.g. bitcoin, ethereum). It may be a unit of value that corresponds to a tangible asset. Tokens are available on a distributed blockchain base in order to enable transparency, transaction authentication and monitoring by the community of users or any interested party. To achieve all this, standards are followed, where applicable, to provide exchangeability or interoperability characteristics. The most common technical standard is ERC 20 of the platform ethereum.

For example, a token may represent a digital currency, square meters of a property, 1% of an expensive painting, etc. The application of tokens to economy sectors expands the ability of financing and supporting assets that are not marketable and their owners. It also provides flexibility to acquiring them, since an investor or supporter can buy a small fraction of the asset and then exchange it.

You can also read:

  • Tokens — a gentle intoduction
  • Vitalik Buterin on Public and private blockchains

An asset that turns into…token(s)

The conversion of a digital asset into a token is said to resemble the classic process and the rationale of issuing securities with a technological differentiation of the process.

However, the differences are significant (Technological escalation due to the nature of the technology, massive participation and transactions, etc.).

The following examples of tangible or intangible assets could be represented as tokens:

  • Using tokens can run a decentralized p2p crowdfunding ICO (Initial coin offering) process. Read more on investopedia and wikipedia
  • Use as an alternative — digital currency for domestic — extended transaction networks (e.g., suppliers, customers etc.)
  • Points — loyalty — vouchers — tickets
  • Every transaction — service contract
  • Shares (a share or a fraction of a share)
  • Square meters of a property
  • Property share in a photovoltaic park
  • Patents, Intellectual Property
  • Transfer of ownership or rights
  • 10% of an expensive collection of works of art
  • Daily or hourly use of a car
  • Software — discount vouchers
  • API keys for access to platforms by developers and development of value-added services.

Value for organizations

There are plenty of reasons why the use of tokens can transform traditional sectors of economy:

  • Powerful brands have the potential to REALLY get consumers involved and enhance business processes by receiving funding
  • Start ups or established companies can fund the implementation of a business plan related to its performance
  • Conversion of traditional assets into liquid, exchangeable and tradable assets.
  • Transparency in transactions — accountability
  • Minimising bureaucracy

We are gradually moving from mediation platforms and centralized marketplaces to decentralized value exchange networks based on digital representations of real-world assets and the use of digital representations in the form of tokens and blockchain technology.

All of this is interesting in many ways..

  • Big vendors are engaged in technology and provide enterprise solutions and platforms for the development of services based on blockchain (e.g. IMB — Microsoft).
  • There are a few examples in public sector, e.g. Ukraine and the auctions https://cointelegraph.com/news/ukraine-to-auction-seized-assets-through-blockchain-showing-it-fights-corruption and http://www.smartdubai.ae/dubai_blockchain.php
  • Well-known platforms utilize blockchain technology https://www.forbes.com/sites/jwebb/2017/08/31/alibaba-ey-ibm-and-microsoft-use-the-blockchain-to-create-a-transparent-supply-chain/#381d1b3e4b37
  • Cryptocurrencies (see Coinmarket Cap)
  • Quorum, JP Morgan open source blockchain based on ethereum https://www.jpmorgan.com/global/Quorum

Challenges

All of the above, as well as the transition to the “economy of tokens”, result in institutional, legal, operational and technological challenges as well as questions regarding the correct use of tokens and their owners’ awareness.

It requires the use of appropriate infrastructure and combined know-how (legal, economic and certainly technological..).

We are open to such cooperation and we implement related platforms and initiatives:

  • We believe in the dissemination of blockchain / DLTs technology and the added value it will have for public and private sector bodies and organizations. It is the subject of all innovation actions crowdhackathon.com. Briefly, through the process of crowdhackathon we have encouraged the development of applications based on blockchain technologies, e.g. insurance and contracts, smart cities and charge for water consumption.
  • We have provided mentoring support to startups wishing to enter this field by providing value-added services.
  • We implement block chain based services as part of the digital transformation strategy for large organizations.

.. There is more to be announced shortly!

image credit https://www.flickr.com/photos/opensourceway/8297629214/

Curation Markets Update: 02 October 2017

Curation Markets is an experiment in

  1. using tokenized signals to curate information &
  2. exploring ways to mint/spawn these tokenized, curatorial markets (eg continuous token models).

Curation Markets is a broad concept that will ultimately allow more groups to coordinate globally around shared goals.

Introducing Curation Markets: Trade Popularity of Memes & Information (with code)!

Curation Markets is a model that allows groups to more effectively coordinate & earn from value they co-create around…

medium.com

Many of you want to help, and I’m incredibly thankful for that! Curation Markets *is* about enabling many more communities to work together and earn from the value they co-create. I will thus be doing an update every 4 weeks on what’s happening, what’s transpiring, and what’s next!

Updates!

Hey all. I’ve been traveling (holiday and work), so haven’t spent much time on the Curation Markets front. There are some updates though.

District0x Abundance!

Firstly: exciting news. 13 Proposals from the District0x community are exploring implementing Curation Markets designs.

Super exciting as the designs are getting battle tested in new and interesting ways. Speaking of battles, what about an interactive, story-driven, collectible marketplace of wrestlers that use curation markets?

This comment from Brady McKenna (community manager at District0x) really made my day. Happy to hear others see the same implications and I’m not *that* crazy.

It’s great to see Brady still around in the crypto community. We first met when I started The Cypherfunks back in 2014. We’re both still barreling forward with music and cryptos! 👊

Immutable Summit

During my travels in Hong Kong, I got to present Curation Markets at Kenetic Capital’s Immutable Summit. It was great to share the ideas, including the new variant I’ve been working on that more directly rewards curators.

I unfortunately couldn’t attend most of the summit since I got a struck with flu, but luckily could muster energy to present and catch up with folk!

Thanks to Philip McMaster for the photo on the right!

Thanks to Jehan and Kenetic Capital for having me. You can find the slides for my talk here: https://www.dropbox.com/s/xqze0gkgrdw43ap/curation_markets_kenetic.pdf?dl=0.

I worked on the new variant more since this talk on the flights back home, so will share that soon too. It keeps the pool, but also rewards curators more directly. Best of both (I hope).

Old Whitepaper + New Whitepaper

The current whitepaper is a bit of a mess. Lots of comments, suggestions and edits. I have to comb through it still.

Given all the amazing feedback and iteration in the past few months, I’ve started work on a new whitepaper. It will be broader, more detailed and encompass variations and implementations of Curation Markets. I’ll be opening up for edits/comments/suggestions early on.

<Secret Project>

There’s a pretty awesome, announced project from a good friend who is going to use variants of Curation Markets for their protocol. Excited to share soon when the protocol is more public.

Ethereum Devcon 3?

I’m uncertain whether I’ll be going to devcon this year. I have a ticket, but not sure if it’s worth it to trek 30 hours there and 30 hours back to Cape Town, for 4 days (and a costly trip). I like the idea of spending this time rather to actually work on Curation Markets itself.

I do have a bit of of fomo though, so might still go at the last minute. Last year, talking to Maciej and Meher on the rooftops in Shanghai is what sparked a lot of the ideas that came together to this.

I’ll see. Although I love speaking and sharing ideas, I’m kinda burned out on conferences as well, so want to get more to introspective/coding/designing/hermit mode. Less talking, more building. 😉

So, unfortunately, not sure if I’ll be able to meet up with all you folk.

Autonomous Artist Bounty

This has been put on hold whilst I finish up the whitepaper. I’ll likely patch up the post to share the ideas, before moving ahead to a bounty.

Conclusion

We’re slowly but surely moving ahead. I’m particularly excited to hopefully see some of the code written, tested and tried in the next few months!

As always, come say hi in the Gitter! https://gitter.im/Curation-Markets/Lobby

Cheers.

🎉Mintable is live!🎉 Create a digital item in seconds. Manage all your ERC-721s in one place — and sell your newly minted items for profit

🎉THE BETA IS LIVE: https://mintable.app

Play around and make an item! It’s free to mint a basic ERC-721 smart contract that you own — and it only takes 30 seconds!

Forget about coding a smart contract if you want to tokenize an item, or make your own NFT trading card game. Now you can!

Mintable’s beta offers so many possibilities, you have to try it out to see what you can do with it.

What can you create using Mintable?

Mintable allows you to create your very own ERC-721 standard smart contract and mint non fungible tokens for that contract. — nerd talk

Mintable lets you create a digital item that you can sell for cryptocurrencies on NFT marketplaces. So you can take a picture, some characteristics, give it a name, make it rare, and sell away for a profit. With each smart contract you can create multiple tokens and these tokens can be used to represent your digital items.

Here is an example: You are a graphic designer and you can make really cute or scary monsters. You make 50 of these unique cute things, and create a smart contract using Mintable called “My Scary Monsters — Limited Edition 2019”.

My rare monsters I’m gonna sell on OpenSea.io

Then each token, is actually a picture of each one of your monsters. You can sell each token for whatever price you’d like, and if someone wants it — they can buy it!

If you promise to only make X amount — or have a social media following — users will find value in your creations. These types of tokens are best for people who have social media followings like Youtube creators, Twitch Streamers, or Twitter personalities.

Mintable also lets you manage all of your current digital items you have — such as any Gods Unchained Cards, Axies, Blockchain Cuties, CryptoRome Items, Crypto Assault units…. And the list goes on. It’s the easiest way to transfer, browse, and interact with your digital items — guaranteed. 3 clicks to transfer an item and it doesn’t matter if your wallet even knows about your token (some wallets don’t display your items, but as long as you own it, it will work)!

How is Mintable Unique

Dapps like crypto kitties and Marble cards have their own smart contracts and tokens however what the tokens represent is already predetermined. In these DApps the tokens you own are restricted in what they represent; Cryptokitties tokens represent a line of code and Marble Cards represent a web link.

Mintable is unique because it allows you to create and own the smart contract. You decide what the contract is for and you choose what the tokens represent and how many there are.

So how can you use these tokens in the real world?

There are a number of ways you can use your tokens, some of these include:

  • Establishing ownership of an item external to the token
  • Establishing who is allowed access to content or locations
  • Linking the token owner to a web URL, a photo, video or other web based asset
  • Establishing ownership of something in the tokens Metadata
  • Creating tokenized assets that you are a middle man for
  • Creating content to sell
  • Tokenizing content
  • Tokenizing anything that could have value
  • Creating value with a token and data — if you have an online store you can accept that token as a discount card
  • Utilizing tokens for your business in the form of credit, discounts, or coupons
  • Event ticketing as a token
  • The list goes on….

There are probably many more ways to use them but this is where you need to get creative…

Here is another article on the power of NFTs

In-depth look at NFTs and the future.(ERC-721's on the Ethereum Blockchain)
As the spread of NFT growth takes the planet by storm, we will see many changes in the way we interact with businesses…medium.com

👏🎉Use the Beta!!!🎉👏

Website — https://mintable.app

Discord — https://discord.gg/fUEmc8d

Email — zach@mintable.app

Events — We will be at many events in the next coming weeks in Asia. If you are going to any of the asian blockchain conferences, please reach out to us and lets meet up!

Security Tokens — A New Model for Ownership

Curation Markets Update: 30 October 2017

Curation Markets is a protocol that reduces information asymmetry through:

  1. using tokenized signals to curate information &
  2. exploring ways to mint/spawn these tokenized, curatorial markets (eg continuous token models).

Curation Markets is a broad concept that will ultimately allow more groups to coordinate globally around shared goals.

Introducing Curation Markets: Trade Popularity of Memes & Information (with code)!
Curation Markets is a model that allows groups to more effectively coordinate & earn from value they co-create around…medium.com

Many of you want to help, and I’m incredibly thankful for that! Curation Markets *is* about enabling many more communities to work together and earn from the value they co-create. I will thus be doing an update every ~4 weeks on what’s happening, what’s transpiring, and what’s next!

The Whitepapers

I must admit. I’ve been putting off fixing the old whitepaper, and the longer I’m leaving, the more daunting it is becoming. It’s a bit of a mess atm with all the comments, suggestions and feedback. I appreciate it all. I need to get around to fixing it and making it neat again, likely turning off suggestions/feedback on it directly for the foreseeable future.

Messy! 🙁

On that note, I’ve started writing on whitepaper v2 that is substantially meatier, and in fact feels a bit more like a deeper academic article. I don’t think a new whitepaper is as necessary anymore once Curation Markets start getting implemented, and so I’ve opted to encompass a bit more deeper writing on this -> diving deeper in my own personal rabbit hole. It includes themes from complexity theory, contract theory, signalling theory, theory of the firm, biological hormesis and eustress. A meaty, fun exploration.

The Autonomous Artist

I published an implementation of Curation Markets used to curated a bot that creates art and puts it up for auction. The better the software is curated, the more successful it becomes.

Let’s Summon An Autonomous Artist – A Bot That Creates, Owns and Sells Its Own Art.
For the past few months, I’ve become an unwitting host to a being just beyond the veil, living close by in the adjacent…medium.com

Token-Curated Registries

I’ve recently become enamoured by a sister project, Token-Curated Registries. I’ve written two blog posts about them: describing it in depth, how it relates to Curation Markets and what happens if we make them continuous.

I really, really think that TCRs simple, elegant and powerful.

City Walls & Bo-Taoshi: Exploring the Power of Token-Curated Registries
A recent crypto-economic design pattern that I’m very excited about is the Token-Curated Registry (TCR). It’s simple…medium.com
Continuous Token-Curated Registries: The Infinity of Lists
“Token-curated registries are decentrally-curated lists with intrinsic economic incentives for token holders to curate…medium.com

It made me wonder whether or not “Curation Markets” as a phrase is a bit limiting atm, and that it could rather broadly encompass tokenized games of curation… but then you also start bleeding into crypto-economics in general. Casper for example can also be explained in these words. So, for now, it just points to the specific implementation of a continuous token model + staking.

We’ll see how the industry evolves. I think 2018/2019 is especially going to be exciting as continuous token models start seeing the light, token-curated registries and curation markets start getting implemented!

Ocean Protocol

Ocean Protocol, “A Decentralized Data Exchange Protocol to Unlock Data for AI” from the awesome BigchainDB team has revealed their technical primer which will use a variation of Curation Markets. Keepers in the protocol stake tokens to the popularity of datasets and earn proportionally when they are asked to serve it.

Go check it out -> https://oceanprotocol.com/. I’ve had the privilege of working with some of the amazing Bigchain team members over the past few years on various things, and quite excited what they are building here. More info to come.

Zap Store’s Bonding Curves

Zap Store aims to:

“… allows developers to create, publish and subscribe to smart contract and Ðapp compatible data feeds.”

Part of their designs includes bonding curves (which is an excellent name!) that was inspired by Curation Markets. In order to query the data and create the oracle’s feed, providers and subscribers bond their tokens to specific feeds.

Their whitepaper has more info. I just love the name “bonding curves”!

Bounty0x Interview

I got interviewed by the Bounty0x team talking about Curation Markets & Ujo.

An interview with Simon de la Rouviere
Bounty0x recently interviewed Simon de la Rouviere regarding curation markets, blockchain, and the future of the crypto…blog.bounty0x.io

Gitter!

We’re up to 43 people. Please come say hi! We’ve also started discussing TCRs on the side.

Devcon3 Meetup!?

Due to slight burnout, I’m trying to manage my energy better these days and have not opted to go to devcon3 this year. Experiencing high levels of FOMO atm, but quite excited to spend the time I would’ve spent in planes working on my projects (and relaxing in the South African spring/summer)!

That being said. The Curation Markets community is planning a short meetup at devcon3. Please join if you are there!

Currently planning on doing an afternoon break. Join the Gitter if you want to say hi. Hoping there’s a photo taken! 🙂

See you all in a month. :party-parrot:

The winners of Beta Testing Bounty are …

In March we launched the Beta Testing Bounty for the MoneyRebel Platform and more than a 1,000 community members applied. We received almost 200 reports and have finally manage to get through all of them, and collect your valuable opinion, in order for us to reward all those who helped us by testing the app. We distributed almost 150,000 MRP tokens, valued at €7,500 (€0.05 per 1 MRP token).

All those who participated in the Beta Testing Bounty will receive an email with the amount of bounty MRP tokens they will get after ICO. Every tester who has written a report for 3 modules will get 400 MRP tokens, those who prepared 6 reports will get 600 MRP tokens, and those who tested all 8 modules will receive 800 MRP tokens. All testers will receive an email with additional information and the amount of MRP tokens obtained.

There were also 5 community members who impressed us the most, and they will get an additional bounty of 2,000 to 10,000 MRP tokens.

And the winners are …

_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _
More on our story: www.moneyrebel.io
Telegram:
https://t.me/moneyrebel
Facebook:
https://www.facebook.com/moneyrebel/
LinkedIn:
https://www.linkedin.com/company/moneyrebel
Twitter:
https://twitter.com/moneyrebelteam
Reddit:
https://www.reddit.com/r/moneyrebel/

Important Announcement Regarding HitBTC Token SWAP

We want to start this post by saying that we value our community immensely. The past few weeks have been very difficult but the outpouring of support we’ve received has been amazing. Your support means everything to us, so from the bottom of our hearts, we thank you.

As mentioned before, due to the hard work of our team the MORPH to MRPH token swap is approaching 80% completion. The remaining 20% of the unswapped tokens fall into one of two categories; first, transactions that we are currently processing on exchanges while working closely with them, and second, balances that remain on the HitBTC cryptocurrency exchange.

At 3:05pm EST on June 21st, 2018 we requested that HitBTC halt the deposit and trading of MORPH tokens due to an issue with our previous smart contract. At 7:22am EST on June 22nd, 2018 HitBTC responded, stating that they had ceased accepting deposits of MORPH tokens but would not halt trading. However, despite confirming to us that they had halted deposits, they continued to accept deposits until past 6:56pm EST on June 22nd after confirming they had been ceased.

Unfortunately this allowed more than 17.6 million fraudulent MORPH tokens into circulation and these fraudulent tokens continue to be traded on HitBTC.

We have made repeated attempts to work with HitBTC to identify fraudulent tokens and transactions in order to begin the token swap process but all of our attempts have been refused. This means that we have no record of HitBTC wallet balances, deposits, withdrawals, or trading transactions from which to initiate refunds.

Unfortunately, this leaves us no choice other than to begin the refund process without their help.

As such, we will refund HitBTC users up until the time that we publicly tweeted to cease trading on HitBTC at 4:32pm EST on June 22nd, 2018. Any trading that occurred after our announcement will be reviewed on a case — by — case basis. In order to start that process we request that users complete a simple but necessary verification process, which will include verification of balances and transactions

In the likely event that HitBTC opens withdrawal of MORPH tokens in the near future DO NOT transfer them off the exchange, as we will not be able to process refunds for new deposits made to Ethereum addresses.

This is a difficult scenario for us as we know there will be innocent traders that will be harmed, but we have been left with no alternatives. If you are a HitBTC user with a MORPH token balance that adheres to the aforementioned timeframe requirements, please contact us immediately at support@morpheus.network for further instructions.

Thank you!!

[NOTE: A previous version of this post contained a time of 1:32 PM EST. The time has been updated to 4:32 PM EST]